Top 5 Online Security Measures for Tax Preparers

Taxes and accounting professionals deal with financial information of companies which is highly sensitive and therefore, it is crucial to conceal and secure it by all possible means. As a tax professional, it is easy to get confused with terminologies related to technology and what should be done to safeguard your work from these crooks crawling on the internet space. Using a cloud platform for tax software, like Drake Tax Hosting, the provider makes sure your data is safe by applying various strategies, encryptions, and firewall.

The use of the internet and computers in every aspect of life has also given birth to its dark side; the increased attacks of malware, viruses, and ransomware are proof to that. As a tax professional, it is easy to get confused with terminologies related to technology and what should be done to safeguard your work from these crooks crawling on the internet space. Taxes and accounting professionals work with financial information of businesses which is sensitive, it is crucial to conceal it.

The IRS with Security Summit partners has compiled a list of steps that must be taken to ensure that the data of taxpayer is safe on computers and email.

1. Anti-Virus Software

This may seem like an obvious option, but an important one. When selecting an anti-virus software for your system, study its features in detail and the protection it provides. After installation, scan your whole computer periodically. An anti-virus software will scan the computer memory for the presence of any malicious files or applications that might be present. Also, never click on a pop-up window or click on a link of a suspicious email that might claim to give you something ‘free’.

2. Firewall

The imperative shield of defense that your system needs from the attack of a malware. Firewalls can be hardware or software. The hardware or network firewalls are stationed between our system and the internet. Some Internet Service Providers offer routers that have a firewall for malware protection. Most Operating Systems have built-in firewall feature that can be enabled for optimal protection. The primary job of a firewall is protection against malicious traffic, but make sure you do not unknowingly install a malware. Thus, always install products from a reputable source.

3. Two-Factor Authentication

A precautionary measure that is a must when you are working on the internet. The user must enter credentials, username, and password, and another piece of identifying information, like a code or an OTP (One Time Password) to ensure authenticity. When your tax software is hosted on the cloud, for example, you’re using Drake Tax Software Hosting, a typical hosting provider uses an encrypted platform and multi-user authentication to ensure your data is safe.

4. Backup Services

This is a must for everyone who is working with important information. Data loss or corruption is quite the common affair nowadays, and you need your work to be backed up so that you won’t have to work all over again. This feature comes in handy with cloud hosting services. Like with Drake cloud, the provider ensures your data is backed up so that even if you accidentally delete a file, it can be restored.

5. Data Security Plan

As required by that safeguard rule of the US Federal Trade Commission, all professional tax preparers must have a documented data security plan that can be put into motion of need arises. Tax preparers work with sensitive information and that needs the latest security software and encryption methods to keep it safe.

Technology is a blessing to mankind, but it brings its own criminals. As every disease has its precautions and cure, similarly in the technical world we put precautionary measures to keep away the virus or malware.