protect your data | Nesteggg Accounting

Tax pros should remember to safeguard EFINs

Scammers are always looking for identifying information

Tax professionals should remember that they can be prime targets for criminals. These criminals not only want to steal client data, but also the professionals’ data, such as their electronic filing identification numbers.

A thief who breaches the data of one tax return preparer can get their hands on lots of other data. In fact, they can get personal info on hundreds or even thousands of people.

One way to watch for suspicious activity is for preparers to check the activity on their EFIN. You can review it to see how many federal tax returns have been filed using their number.

Tax pros should routinely verify the number of returns submitted using their EFIN. It’s especially important for them to do this during the tax filing season. This can be done through IRS e-Services. If you don’t have an account, then you can visit e-Services and register for one.

Once established, log into your e-Services account, follow these five easy steps to verify the number of returns electronically filed with the IRS:

Select their name
In the left banner, select Application
In the left banner, select e-file Application
Select their name again
Select EFIN Status

After this last step, the screen shows the number of returns filed based on return type. Preparers can see the number of returns the IRS received, and match that number to their records. The IRS updates this information weekly. Preparers should contact the IRS e-help Desk at 866-255-0654 if their records don’t match what they see in the system. They should contact the IRS if they see anything else suspicious in their account.

It can be scary out there. Identity theft can be a painful experience, both financially and emotionally. But an ounce of prevention is worth a pound of cure.

Be aware and do these things before something bad happens

Some of the scariest thefts are tax-related ID theft which occur when someone uses a taxpayer’s stolen personal information to file a tax return claiming a fraudulent refund. The thieves use personal information like a stolen Social Security number.

The IRS and its partners are constantly working to combat these types of crimes, but they can’t do it alone. We as taxpayers must do our part to protect our own data.

Here are some tips:

Always use security software. This software should have firewall and anti-virus protections.
Use strong, unique passwords. They should also consider using a password manager.
Learn to recognize and avoid phishing emails, threatening calls and texts from thieves. These scammers pose as legitimate organizations such as banks, credit card companies, and even the IRS.
Not click on links in unsolicited emails or messages from unknown senders. Also, people shouldn’t click on links or download attachments from emails that seem suspicious, even if they appear to be from senders they know.
Protect personal information and that of any dependents. For example, people shouldn’t routinely carry around their Social Security cards. They should also make sure tax records are secure.

The IRS provides some information at its website and in its publications that can help you protect yourself. You can also visit the FTC’s Consumer site and find a wealth of information on how to protect yourself and what to do if your identity is stolen.

IRS information:
Publication 4524, Security Awareness for Taxpayers
Identity Theft Central
Taxpayer Guide to Identity Theft

Safeguard Your EFIN

Protect Yourself and Your Data

Stay Connected

Get in Touch

constant contact