Tax scam triggers IRS warning

The IRS, state tax agencies, and the tax industry are warning industry professionals about a new, convincing phishing scam, capitalizing on the extension tax deadlines of Sept. 15 and Oct. 15.

The Internal Revenue Service issued a Security Summit Alert for tax professionals to beware of this new phishing email scam, which impersonates tax software providers. The message claims to offer software upgrades, and attempts to steal usernames and passwords to access the preparers’ accounts and mine sensitive client data.

“This sophisticated scam yet again displays cybercriminals’ tax savvy and underscores the need for tax professionals to take strong security measures to protect their clients and protect their business,” the IRS alert advised.

The latest email variation carries a subject line of “Software Support Update” and highlights an “Important Software System Upgrade.” The e-mail informs recipients that due to a recent software upgrade, the preparer must revalidate their login credentials. It provides a link to a fictitious website that mirrors the software provider’s actual login page. Instead of upgrading software, the duped tax professionals provide information to cybercriminals who use the stolen credentials to access the preparers’ accounts and to steal client information.


continue reading »

More News