March 10, 2025
As tax season approaches, businesses are busy preparing financial documents, submitting returns, and meeting tight deadlines. However, this hectic period presents an opportunity for cybercriminals who target business owners and employees who are preoccupied.
Many hackers aim to exploit sensitive data, defraud businesses, and create disruptions. In this blog, we will discuss why tax season gives cybercriminals an upper hand and how you can stay ahead of them.
Why Tax Season Attracts Cybercriminals
1. Increased Exchange Of Sensitive Data
Tax season necessitates the sharing of sensitive financial and personal information, both internally and with external parties such as accountants or payroll providers. This creates numerous vulnerabilities for hackers to exploit, particularly through phishing emails.
2. Tight Deadlines Lead To Mistakes
The pressure to meet deadlines can lead employees to overlook critical details, making them less cautious about verifying emails, links, or attachments. This increases the risk of falling victim to phishing scams and malware.
3. Higher Volume Of E-mails
During tax season, businesses receive a surge of emails related to forms, payment requests, and compliance updates. Cybercriminals take advantage of this by sending convincing phishing emails that appear legitimate in order to intercept sensitive data.
4. Widespread Scams Targeting Taxpayers
Hackers frequently impersonate trusted entities like the IRS or tax preparation services to deceive businesses into sharing confidential information or making fraudulent payments.
Common Tax Season Threats You Need To Watch Out For
- Phishing E-mails: Fraudulent messages claiming to be from the IRS, your bookkeeper, or a tax service that request sensitive information or direct you to harmful links.
- Fake Invoices Or Payment Requests: Scammers may send bogus invoices or payment demands to trick businesses into transferring money.
- Ransomware Attacks: Hackers can encrypt critical financial data and demand payment for its release.
- Social Engineering: Phone calls or emails impersonating accountants, payroll providers, or other trusted contacts to extract sensitive information.
How To Protect Your Business This Tax Season
1. Train Your Team
Educate employees about current scams and how to identify phishing attempts. Instruct them to:
- Confirm email senders before opening attachments or clicking links.
- Exercise caution with urgent payment requests or unusual account updates.
- Report suspicious emails immediately.
2. Secure Your Communications
Ensure that all data exchanges are encrypted, especially when sharing sensitive tax documents. Whenever possible, use secure portals or file-sharing tools instead of email.
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 essential layer of security, even if credentials are compromised. The importance of this feature cannot be overstated; it can provide protection if your password is compromised. If available, please enable it on any account you have.
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 necessary patches.
- Securing network endpoints and devices.
- Verifying the integrity of data backups.
5. Verify All Financial Requests
Thoroughly check payment requests, especially those involving large sums or sensitive accounts. Confirm through a secondary communication method (like a phone call) to ensure their authenticity.
Don't Let Hackers Score This Tax Season
Tax season doesn't have to be a free-for-all 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
with a FREE Discovery Call to uncover potential vulnerabilities and
ensure your systems are ready to handle whatever comes your way.
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here or give us a call at (336) 390-5142 to schedule your FREE Discovery Call now!
