In an effort to reduce paper transactions, the Treasury has implemented a three-pronged approach to move toward electronic systems. Highlights of this initiative that will have a broad affect include the following:
- Individuals who receive Social Security, Supplemental Security Income, Veterens, Railroad Retirement and Office of Personnel Management benefits will wil required to receive these payments electronically either through direct deposit or a Treasury’s Direct Express debit card. This requirement will apply to individuals who enrol beginning March 1, 2011. Existing recipients will have to begin electronic payment beginning March 1, 2013.
- Business who use paper Federal Tax Deposit coupons will have to make those deposits electronically beginning in 2011. There are few exceptions, most notably businesses with $2,500 or less in quarterly tax liability that pay when filing their return.