Taxes and Security: For A Business

          It is that time of year again. The doors are open and the IRS is now accepting Tax Return filings. Taxpayers, Businesses, and Tax Professionals take months to prepare for this time of year. All that work culminates in what is a busy and productive time of year. In recent years, this has also meant an increase of necessary security measures. With each Tax Season, the attacks of data thieves have become more cunning and also more effective.

          This year Small Business owners and Payroll personnel need to be especially on alert. A popular scam involves targeting company executives or the Payroll Department demanding information regarding Form W-2’s for all employees. There were 100 reported instances of this in 2016, last year that number jumped to 900. This can sadly lead to identity theft of the employees as well as the business. Businesses that fall prey to this theft are encouraged to report what happened. This will help others in the future and can mitigate some of the damage.

          With this understanding, the IRS has put in new safeguards to keep criminals from cashing in on fraudulent Tax Returns this year. There are new protections put in place to make sure that Business Returns are true. Many of the changes are not being publicly shared, but many will involve past data submitted in previous years. If that cannot be verified, the Return will not be accepted. It would also be wise for businesses to consider an internal policy to limit who has access to sensitive information.

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