EFTPS Mandate for FIRPTA: What Buyers Need to Do Now

The IRS issued a mandate requiring all FIRPTA withholding to be remitted electronically via EFTPS. The mandate has been postponed — but buyers should enroll now. Here's why and how.

On September 30, 2025, the IRS issued a mandate requiring all FIRPTA withholding payments to be remitted electronically via the Electronic Federal Tax Payment System (EFTPS). The mandate was scheduled to take effect quickly, but in early 2026 the IRS announced a postponement — the new effective date hasn't been published.

If you're a buyer (or a closing agent acting for a buyer) on a FIRPTA transaction, here's what this means and why you should enroll in EFTPS now even though the mandate isn't currently in force.

Where things stand

Currently, both paper checks and electronic payments are accepted for FIRPTA withholding. The 20-day deadline is the same regardless of payment method — Forms 8288 and 8288-A plus the withheld funds must reach the IRS within 20 days of closing.

The postponement means buyers can still choose paper checks for now. But every closing agent we've talked to in 2026 is preparing for the mandate to come back. There's no public timeline, but "any quarter now" seems to be the consensus.

Why enroll in EFTPS now anyway

EFTPS enrollment is the bottleneck. Here's why:

• Enrollment requires a valid U.S. Tax ID (SSN, ITIN, or EIN)
• Once enrolled, the IRS mails a PIN to the U.S. address on file — this takes 7–10 business days
• You can't make a payment without the PIN
• If your closing is 14 days out and you haven't started enrollment, you may not have an EFTPS account ready in time

Once the mandate takes effect, paper checks will be rejected. A buyer who closed on a Tuesday with a 20-day deadline of Day 22 cannot start EFTPS enrollment on Day 12 — by the time the PIN arrives, the deadline is past, and late-remittance penalties up to 25% start accruing on the buyer.

How to enroll

1. Go to eftps.gov
2. Click "Enrollment" and follow the individual or business path
3. Provide your Tax ID, name, U.S. mailing address, and bank account information
4. The IRS mails a PIN to the address you provide — 7–10 business days
5. Once you have the PIN, log in at eftps.gov and you're ready to make payments

For foreign buyers without a U.S. Tax ID, the situation is more complex — they'll typically need either an EIN (if a business entity) or to engage a U.S.-resident agent who can use their own EFTPS account on the buyer's behalf. We can advise on the right structure during the engagement.

Same-day federal wire as a backup

If a closing tightens and EFTPS enrollment is incomplete, a same-day federal wire to the IRS Treasury account is a viable fallback. It's not "electronic" in the EFTPS sense, but it's an electronic payment method the IRS accepts. The mechanics are different — your bank initiates the wire to the Treasury account using IRS-supplied wire instructions — and there's typically a same-day-wire fee from your bank.

We coordinate same-day wires when timing requires it. For most closings, EFTPS-from-the-buyer is the cleanest option. The 7–10 day PIN delivery means: enroll when you accept a contract, not when you're approaching closing.