March 10, 2025
As tax season approaches, businesses are busy preparing financial documents, filing returns, and meeting deadlines. Unfortunately, cybercriminals view this hectic period as an ideal time to launch their attacks.
Many hackers aim to exploit sensitive information, defraud businesses, and create disorder. In this blog, we will discuss why tax season presents a significant opportunity for cybercriminals and how you can stay ahead of them.
Why Tax Season Attracts Cybercriminals
1. Increased Exchange Of Sensitive Data
During tax season, sensitive financial and personal information is shared both internally and with external parties like accountants and payroll providers. This creates numerous vulnerabilities for hackers, particularly through phishing emails.
2. Tight Deadlines Lead To Mistakes
The pressure to meet deadlines can lead employees to be less careful about verifying emails, links, or attachments. This oversight makes it easier for phishing scams and malware to succeed.
3. Higher Volume Of E-mails
Businesses receive a large number of emails related to forms, payment requests, and compliance updates during tax season. Cybercriminals take advantage of this by sending convincing phishing emails that appear legitimate, aiming to capture sensitive data.
4. Widespread Scams Targeting Taxpayers
Hackers often impersonate trusted organizations like the IRS or tax preparation services to deceive businesses into disclosing confidential information or making fraudulent payments.
Common Tax Season Threats You Need To Watch Out For
- Phishing E-mails: Fraudulent emails pretending to be from the IRS, your bookkeeper, or a tax service, soliciting sensitive information or directing you to harmful links.
- Fake Invoices Or Payment Requests: Scammers send counterfeit invoices or payment demands to trick businesses into transferring money.
- Ransomware Attacks: Hackers may encrypt critical financial data and demand a ransom to unlock it.
- Social Engineering: Phone 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 current scams and how to identify phishing attempts. Instruct them to:
- Verify email senders before opening attachments or clicking links.
- Be cautious of 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. Use secure portals or file-sharing tools instead of email whenever possible.
3. Implement Multifactor Authentication (MFA)
Require MFA for accessing financial systems, email accounts, and any platforms used for tax-related activities. This adds an additional layer of security, even if credentials are compromised.
We cannot emphasize the importance of this feature enough. If your password is compromised, MFA can help protect you. 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 exploit 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, particularly those involving large sums or sensitive accounts. Confirm through a second 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 free-for-all for hackers. By remaining vigilant, educating your team, and implementing proactive cybersecurity measures, you can safeguard your business from becoming a victim.
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.
Click
here or give us a call at 859-245-0582 to schedule your FREE Discovery Call now!
