Cybercriminals Love Tax Season

Cybercriminals Love Tax Season – Here’s How To Protect Your Business

As tax season approaches, businesses are busy preparing financial documents, filing returns, and meeting tight deadlines. But while you’re focused on your financial obligations, cybercriminals are preparing to exploit your vulnerability. The busy season offers a prime opportunity for hackers to strike, targeting businesses when they’re preoccupied.

In this blog, we’ll explain why cybercriminals love tax season and how you can protect your business from becoming their next victim.

Why Tax Season Attracts Cybercriminals

1. Increased Exchange of Sensitive Data
Tax season often involves sharing sensitive personal and financial information both within your company and with external partners such as accountants or payroll providers. This gives cybercriminals multiple points to exploit, especially with fraudulent e-mails aimed at intercepting sensitive data.

2. Tight Deadlines Lead to Mistakes
Employees under pressure to meet deadlines may overlook safety measures, such as verifying e-mails or double-checking file attachments. These lapses make it easier for phishing scams or malware to slip through.

3. Higher Volume of E-mails
The high volume of e-mails related to forms, payment requests, and compliance updates during tax season provides an opportunity for cybercriminals to craft convincing phishing e-mails that appear legitimate, tricking employees into disclosing sensitive information.

4. Widespread Scams Targeting Taxpayers
Hackers commonly impersonate trusted entities such as the IRS or tax preparation services, attempting to trick businesses into sharing confidential information or making fraudulent payments.

Common Tax Season Threats to Watch Out For

Phishing E-mails: Fraudulent messages appearing to be from the IRS, bookkeepers, or tax services, asking for sensitive information or directing you to harmful links.
Fake Invoices or Payment Requests: Scammers send fake payment requests or invoices, aiming to trick businesses into wiring money.
Ransomware Attacks: Hackers may encrypt financial data and demand payment for its release.
Social Engineering: Hackers impersonate trusted contacts such as accountants or payroll providers to gain access to confidential information.

How to Protect Your Business This Tax Season

1. Train Your Team
Educate your employees about the latest scams, teaching them how to recognize phishing attempts. Ensure they know to:

Verify e-mail senders before opening attachments or clicking links.
Be cautious of urgent payment requests or account updates.
Report any suspicious e-mails immediately.

2. Secure Your Communications
When exchanging sensitive tax information, always use encrypted data exchanges. Opt for secure portals or file-sharing tools instead of email to minimize risk.

3. Implement Multifactor Authentication (MFA)
Enable MFA for access to financial systems, email accounts, and any platforms related to tax activities. This extra layer of security ensures that even if passwords are compromised, your systems are still protected.

Pro Tip: MFA is critical for protecting your business. Enable it on any platform that supports it for added security.

4. Conduct a Cybersecurity Audit
Work with your IT provider to identify system vulnerabilities before hackers can exploit them.

Focus on:

Updating software and applying patches.
Securing network endpoints and devices.
Ensuring the integrity of your data backups.

5. Verify All Financial Requests
Double-check all financial requests, particularly those involving significant sums of money or sensitive accounts. Always confirm via a second communication method, like a phone call, to verify authenticity.

Don’t Let Hackers Score This Tax Season

Cybercriminals thrive during tax season, but your business doesn’t have to be a victim. By staying vigilant, educating your team, and implementing proactive cybersecurity measures, you can keep your data safe.

Ensure that the only thing you’re filing this season is your successful tax return, not a cybersecurity incident report. Start by scheduling a FREE Network Assessment to identify vulnerabilities and ensure your systems are ready for whatever comes your way.

Click here to schedule your FREE Network Assessment today!

Stay ahead of the hackers and secure your business this tax season!

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