March 10, 2025
As tax season approaches, businesses are busy preparing financial documents, filing returns, and meeting strict deadlines. This hectic period presents an appealing opportunity for cybercriminals, who target business owners and employees distracted by their responsibilities.
Cybercriminals often seek to exploit sensitive data, defraud businesses, and create disorder. In this blog, we will discuss why tax season offers cybercriminals a significant advantage and how you can stay ahead of them.
Why Tax Season Attracts Cybercriminals
1. Increased Exchange Of Sensitive Data
Tax season requires the sharing of sensitive financial and personal information, both within companies and with external parties such as accountants or payroll providers. This creates multiple vulnerabilities for hackers to exploit, particularly through phishing emails.
2. Tight Deadlines Lead To Mistakes
With the pressure of deadlines, employees may not be as careful in verifying emails, links, or file attachments. This oversight can allow phishing scams and malware to infiltrate systems more easily.
3. Higher Volume Of E-mails
During tax season, businesses deal with a surge of emails regarding forms, payment requests, and compliance updates. Cybercriminals take advantage of this by sending convincing phishing emails that appear legitimate to capture sensitive information.
4. Widespread Scams Targeting Taxpayers
Hackers frequently impersonate trusted organizations like the IRS or tax preparation services to deceive businesses into disclosing confidential information or making unauthorized payments.
Common Tax Season Threats You Need To Watch Out For
- Phishing E-mails: Fraudulent communications posing as the IRS, your bookkeeper, or a tax service, requesting sensitive information or directing you to malicious links.
- Fake Invoices Or Payment Requests: Scammers may send fraudulent invoices or payment demands to trick businesses into transferring money.
- Ransomware Attacks: Hackers may encrypt critical financial data and demand payment for its release.
- Social Engineering: Calls or emails impersonating accountants, payroll providers, or other trusted contacts to extract information.
How To Protect Your Business This Tax Season
1. Train Your Team
Educate employees about the current scams and how to identify phishing attempts. Encourage them to:
- Verify email senders before opening attachments or clicking links.
- Be wary of urgent payment requests or unusual account changes.
- Report suspicious emails immediately.
2. Secure Your Communications
Ensure that all data exchanges are encrypted, particularly when sharing sensitive tax documents. Use secure portals or file-sharing tools instead of email whenever possible.
3. Implement Multifactor Authentication (MFA)
Require MFA for access to financial systems, email accounts, and any platforms used for tax-related activities. This adds an additional layer of security, even if credentials are compromised. It is crucial to enable this feature wherever possible.
4. Conduct A Cybersecurity Audit
Collaborate with your IT provider to identify vulnerabilities in your systems before hackers can take advantage of them. Focus on:
- Updating software and applying patches.
- Securing network endpoints and devices.
- Verifying the integrity of data backups.
5. Verify All Financial Requests
Double-check payment requests, especially those involving large amounts or sensitive accounts. Confirm through a separate communication method (e.g., a phone call) to ensure authenticity.
Don't Let Hackers Score This Tax Season
Tax season doesn't have to be a prime opportunity for hackers. By remaining vigilant, educating your team, and implementing proactive cybersecurity measures, you can safeguard your business from becoming a target.
Let's make sure the only thing you're filing this
season is a successful tax return - not a cybersecurity incident report. Start
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