Don't Fall in the Phishing Trap This Tax Season This is also a busy time for targeting businesses for scammers, who look at deceiving businesses with real-looking emails and texts, posing to be from financial institutions or government agencies

By Chester Wisniewski

Opinions expressed by Entrepreneur contributors are their own.

You're reading Entrepreneur India, an international franchise of Entrepreneur Media.

REDPIXEL.PL | Shutterstock

One needs to be vigilant about scams, especially during tax season. Tax fraud effects many individuals and organizations, especially as the end of the financial year approaches on June 30. Scammers are salivating at the prospect of making more money by impersonating tax agencies, flooding mail boxes with fraudulent emails that lure individuals into disclosing their financial details. They are banking on a refined set of scams that are aimed at relieving consumers of more than just their tax refunds. This is also a busy time for targeting businesses for scammers, who look at deceiving businesses with real-looking emails and texts, posing to be from financial institutions or government agencies. The outcome of these scams could be financial losses for users, and in some more severe cases may even lead to them losing access to their own accounts. A survey conducted in December 2017 revealed that 62% of companies don't train employees to recognize phishing attempts and 41% of IT Pros report at least daily phishing attacks. This is an alarming sign for one and all to stay vigilant and not take that irresistible bait.

This is an example of what a tax phishing e-mail looks like.



According to us you should consider the following tips to avoid tax scams as we approach the final month of tax season:

  • Stop clicking - Avoid opening surprise emails or clicking on web links claiming to be from Income Tax Department.

  • It's a vicious circle - Don't be fooled by unexpected emails about big refunds, tax bills or requesting personal information. If you are unsure, always contact the tax department by telephone from the number published on their website.

  • Pick proper passwords - Even though strong passwords don't help if you're phished (the crooks get the strong password anyway), they make it much harder for crooks to guess their way in.

  • Use two-factor authentication - That way, even if the crooks phish your password once, they can't keep logging back into your email account.

Chester Wisniewski

Senior Security Advisor at Sophos

Chester Wisniewski is a Senior Security Advisor at Sophos Canada. He provides advice and insight into the latest threats for security and IT professionals with the goal of providing clear guidance on complex topics.
Starting a Business

How to Pick the Right Friends and Family Investors for Your Business

It is only natural for new or young entrepreneurs, who are just embarking on his or her entrepreneurial journey, to approach friends and family.

Business Ideas

70 Small Business Ideas to Start in 2025

We put together a list of the best, most profitable small business ideas for entrepreneurs to pursue in 2025.

News and Trends

Dogsee Chew Secures USD 8 Mn Series B Funding to Expand Global Presence

With the fresh capital, Dogsee plans to expand its manufacturing capabilities by upgrading its current factories and building a state-of-the-art production facility.

Starting a Business

The Mindset that Helped Me Start 5 Companies Before Age 30

If you were completely rational, you would never attempt anything.

News and Trends

The Whole Truth Foods Secures $15M in Series C Funding

Angel investors, including Nithin Kamath (Zerodha), Sriharsha Majety (Swiggy), and Jaydeep Burman (Rebel Foods), who had previously shown faith in the company, further reinforced its strong market position.

News and Trends

John Abraham-Backed NOTO Ice Cream Raises INR 15 Cr

This funding will fuel the company's expansion into Tier I and Tier II cities, the launch of new flavors and formats, and strengthen its marketing, infrastructure, and brand visibility.