Tax Season Fraud Precautions

Please be aware that as tax season ramps up, so does tax-related fraud. Businesses across the country have reported receiving spoofed emails from their CEO, CFO, or HR Manager requesting W-2 information.

“CEO Fraud” is a scam in which cybercriminals spoof company email accounts and impersonate executives to try and fool an employee in accounting or HR into executing unauthorized wire transfers, or sending out confidential tax information. The best defense against this type of fraud is the telephone. Recipients should call the sender to confirm if it is legitimate. Any request to send or access W-2 forms should be handled with extreme caution.

 

The FBI calls this type of scam “Business Email Compromise” and defines it as “a sophisticated scam targeting businesses working with foreign suppliers and/or businesses that regularly perform wire transfer payments. The scam is carried out by compromising legitimate business email accounts through social engineering or computer intrusion techniques to conduct unauthorized transfers of funds.” Unless the fraud is detected within 24 hours, the chances of recovering the funds are limited.

 

As always, if you ever have any questions or concerns please call our Customer Service Center at (207) 839-4796.