Grow your business by offering bank products for tax preparers. Bank products are a scalable way to expand your customer base, close more returns, get paid reliably, and earn more this tax season.
A bank product is a refund-related service that allows tax professionals to have their preparation fees deducted from a client’s refund instead of charging them upfront.
You prepare and e-file the return.
The client chooses pay-by-refund (and any other eligible options).
The IRS issues the refund (when processed) and routes it through the selected bank product program.
Authorized fees (including your prep fee) are deducted and paid to you.
The remaining refund is delivered to the taxpayer via the selected disbursement method.
Bank products help you remove upfront-payment friction, close more clients during peak weeks, and collect fees through a cleaner, more reliable process.
Here are the key outcomes you can expect:
“No upfront fees” is a simple differentiator for price-sensitive shoppers.
Fees are handled through the refund flow instead of chasing payments.
Reduce follow-ups and awkward payment conversations chasing preparation fees.
Helps you compete with big-box storefront expectations and DIY alternatives.
Expand your customer base by serving clients who can’t (or don’t want to) pay upfront.
Use Sigma’s professional tax preparation software with bank products and choose from trusted partners based on fit.
Bank products give taxpayers more flexibility in how they pay for preparation and how they receive their refund, especially as refund delivery continues shifting toward electronic options.
Here are the biggest benefits clients typically care about:
(with pay-by-refund): Pay your preparation fees from the refund instead of out-of-pocket.
Helps taxpayers who can’t (or don’t want to) pay upfront still file early.
Select from multiple disbursement methods (program-dependent).
Refund advances can provide funds earlier on a loan basis (up to $7,500).
Fees can be shown upfront so clients understand what they’ll receive after deductions.
Sigma Tax Pro supports common categories used across bank products for tax preparers:
The most common bank product option. A refund transfer lets the client pay your preparation fee from their refund. The settlement bank receives the refund, deducts authorized fees (your prep fee plus any applicable program fees), pays you, and then disburses the remaining refund to the client.
Refund advances are short-term loans offered against a taxpayer’s expected refund. They’re optional, approval-based, and repaid when the refund arrives. The following key points should be communicated clearly:
Some bank partner programs offer pre-season funding designed to help EROs cover upfront costs (software, staffing, rent, marketing) before peak filing volume begins. These are business financing decisions that require careful review of repayment mechanics and requirements.
In-season ERO funding can help offices stay cash-positive while returns are being prepared and funded. Structures vary by provider and may be tied to funded returns, fee withholding flow, or other program requirements.
After-season fee collection programs are designed to help with unfunded or unresolved preparation fees. This can be useful for managing exceptions, but it’s still best practice to maintain clear disclosures and consistent documentation throughout the season.
Availability, eligibility, fees, and exact product names vary by bank partner and program. Sigma Tax Pro can help you choose a compatible provider mix and configure your offerings within your professional tax preparation software, including bank products.
Sigma Tax Pro supports multiple trusted providers so you can match the right program to your clients and your workflow inside professional tax software with bank products.
PayDash is positioned as a simpler, refund-transfer-focused option for offices that want to start with pay-by-refund without adding extra product layers. In Sigma Tax Pro, PayDash is available specifically through Sigma 1040-TW, making it a straightforward choice for preparers who want to keep their bank product offering lean.
TPG is a well-known provider in the tax bank product space, offering refund-related programs that support pay-by-refund workflows for tax offices. It’s often chosen by preparers who want a widely used, established option with a broad ecosystem of tax-season products.
EPS Financial provides bank product programs designed for professional tax offices, including pay-by-refund and other program options depending on eligibility. A strong fit for offices that want a structured offering with flexibility across program tracks.
Refund Advantage is built around refund transfer programs that help offices offer pay-by-refund and related refund delivery options where available. It is commonly selected by independent preparers who want a streamlined experience and a dependable set of tax-season tools.
Republic Bank offers bank product programs used by many tax professionals, centered on pay-by-refund and additional program options, depending on office approval. Often considered by offices that want an established provider with strong seasonal planning support.
Here’s a comparison table to see which provider suits your needs:
| Bank Partner | Best Fit For |
|---|---|
|
PayDash |
Offices that want it simple or are just starting out |
|
Tax Products Group (TPG) |
Offices wanting a widely used, full-suite ecosystem |
|
EPS Financial |
Offices wanting flexibility in program tracks |
|
Refund Advantage |
Independent offices wanting a “full menu” approach |
|
Republic Bank |
Offices prioritizing established programs and seasonal planning |
Getting started is straightforward when you follow a clear, repeatable setup process. Use the step-by-step guide below to choose a bank partner, complete enrollment, and enable bank products inside Sigma Tax Pro so you’re ready before peak season.
Sigma Tax Pro offers professional tax prep software with bank products across its lineup (1040-TW / 1040-SR / 1040-DR).
Choose the provider(s) that match your goals for this tax season.
We use a streamlined setup flow: you send paperwork, we register the banks, integrate, and confirm.
Keep it clear and compliance-friendly with simple choices for payment.
Remind clients that the IRS notes most refunds are issued in fewer than 21 days, but some take longer.
A bank product is a service that lets you deduct your preparation fees from the client’s refund instead of charging upfront.
No. They’re optional, but they can boost conversions and simplify fee collection.
Bank products do not speed up the IRS’s refund process. The fastest standard route remains e-file + direct deposit. Often, bank products help clients avoid mail-based delays and access electronic delivery options, especially now that paper refund checks are being phased out for most taxpayers.
Get the fee breakdown, disclosure tips, and refund-timing guidance in our complete guide.
A refund advance is a short-term loan against the taxpayer’s expected refund. It’s approval-based (underwriting applies), and repayment happens when the refund arrives. It’s a loan, not the IRS sending the refund early.
Some advance programs include office-level costs or added operational steps. Many offices still choose them to compete for clients who heavily value “early access” options in markets shaped by large franchises and DIY messaging.
You’ll remove upfront fee friction, build a client base faster, and establish a track record. This often unlocks more program tiers and options over time. Lots of new offices start with refund transfers.
Refund transfers (pay-by-refund), refund advances (short-term loans), and (in some programs) office funding options. Availability depends on the provider and your office profile.
Fees vary by provider/program and can include a refund transfer fee, optional delivery fees (e.g. secondary disbursement), and potential technology/transmission fees. Your best protection is a consistent “fees-first” disclosure that shows the client’s net after fees.
Bank products are designed to fund your prep fees through the refund flow, per program terms, once the return is filed and the refund is processed. This process will normally take no more than 21 days. Although you should be aware that sometimes it can take longer.
Before peak season, so that enrollment, compliance steps, and software setup are complete before volume ramps up.
Offsets, corrections, or IRS adjustments can reduce a refund and affect final disbursement amounts. Program terms determine handling, so set expectations early and use a clear fee summary.
Yes. Sigma professional tax preparation software supports up to three banks at a time, with compatibility rules (for example, EPS + Refund Advantage cannot be paired). Sigma Tax Pro can recommend the best configuration based on your goals.
