Tax professionals are being urged by the IRS and Security Summit partners to emphasize robust security measures to safeguard themselves and their clients from identity theft. Tax policies can protect citizens, state and federal tax agencies from fraud by establishing adequate security. Take crucial actions to protect yourself from identity thieves.
Cyber thief, hacker, wearing a man mask and shaking hand with businessman on computer laptop. Cyber security and crime concept. (Source: MyChesCo)
Notes for Taxpayers’ Security Against Identity Theft Frauds
Tax-related identity theft frauds continue to barrage tax professionals with scams and schemes aimed at gaining access to sensitive taxpayer information. These schemes are evolving and ensnaring victims, posing a threat to both tax professionals and the clients they serve.
IRS Commissioner Danny Werfel stated that tax professionals are a critical component of the taxpayer’s defense against identity thieves and cyberattacks. Ensuring strong security at a tax practice, regardless of size, will help safeguard not only the business but also individual taxpayers and state and federal tax agencies from fraud. The IRS and Security Summit partnership continues to encourage tax professionals to take critical precautions to safeguard their clients and themselves from identity thieves.
The Security Summit is a public-private cooperation founded in 2015 to defend the tax system against identity theft and fraud related to taxes. The collaboration has successfully reinforced fraud defenses within the tax system to combat identity theft, including sharing information on developing fraud and cyber schemes.
Tax specialists and the public must be aware of these defenses. This news release series helps tax professionals safeguard taxpayer data and their businesses against identity thieves. The “Protect Your Clients; Protect Yourself” campaign and presentations at the IRS Nationwide Tax Forums in San Diego and Orlando are the ninth year the Security Summit partners have raised awareness of these risks.
Security Summit partners also advise tax professionals to create a Written Information Security PlanPDF or WISP. Tax and industry experts prepared the 28-page, easy-to-understand document to protect customer and corporate data. The customizable form is meant to simplify data security planning for tax professionals, especially smaller businesses. This summer, Tax Forum special sessions on the WISP have attracted standing-room-only audiences, with over 300 attending last week’s session in Washington, D.C.
READ ALSO: IRS Warns Businesses and Tax Professionals About Abusive ESOP Schemes
Reminders for Taxpayers to Minimize the Risk of Identity Theft Fraud
- Be wary of web links and email attachments. Never click on a link or attachment that you weren’t expecting. Many con artists may pass off real companies, paying customers, and even official organizations like the IRS as their own. Before opening anything you get if you have any doubts, independently get in touch with the sender to verify receipt and the legitimacy of any unexpected links or attachments.
- Never email confidential company material from personal computers. Never do business on a personal computer or other device, including online business banking. On work computers or gadgets, you should also refrain from playing games, browsing the web, or downloading videos. These factors can all increase security threats.
- Avoid transferring data between personal and work computers or devices using USB drives or external hard disks. Never connect an unidentified or suspect piece of hardware to the system or network of a tax professional. Also, avoid using any unrecognized USB drives or CD/DVD drives. On business PCs, disable the “Autorun” feature for optical drives and USB ports to assist stop the installation of dangerous software.
- When downloading, exercise caution. It is not advisable to download software from unreliable websites. When downloading free or shareware, exercise extreme caution.
- Make strong passwords. Never reveal your login or password to anybody. A combination of capital and lowercase letters, numbers, and special characters make up strong passwords. The optimal length for passwords is at least 14 characters. For systems or applications that hold sensitive data, use two-factor authentication or numerous forms of identity (multifactor or multifactor authentication).
- Modify the default passwords. Many electronics have pre-set administrative passwords. Change them right away, then regularly. Hackers can discover default passwords quickly or already know them.
- Alter passwords frequently. A three-month interval is suggested. If you want to store passwords, think about utilizing a password management program. It is not advisable to reuse passwords for devices and programs that house company information.
In addition, tax pros and firms should notify their local IRS Stakeholder Liaison of data theft. Speed matters. IRS Stakeholder Liaisons will notify all IRS offices. The IRS will help tax pros prevent bogus returns in customers’ names if caught quickly.
The National Institute of Standards and Technology’s Small Business Information Security: The FundamentalsPDF can provide tax professionals with security advice in addition to IRS Publication 4557, Safeguarding Taxpayer DataPDF. The IRS’s Identity Theft Central websites for tax pros, individuals, and corporations provide essential information.
READ ALSO: State property tax Rebates in Pennsylvania – Get Ready for the Refund Distribution!
