The IRS has been in the news lately due to the agency’s problems with repeated breaches by hackers into it’s taxpayer database. The resulting exposure of information has resulted in a surge of identity theft issues which only exacerbates the IRS budget problems as it forces the agency to expend greater resources combating the issue. But a new study has also exposed weakness in the security of six major tax preparers that have been approved by the IRS. The study made a comparison between the security features of each preparer and other types of financial institutes then graded accordingly. Jackson Hewitt was among those that scored badly although the company was quick to respond that security is a top concern and they are always improving their system. However, multiple companies were given honors status due to their high level of security to protect the personal information of customers. But no matter the score, digital security is an ever evolving issue so even the best can easily fall behind in a short amount of time. Let us hope that everyone involved with tax information plans on keeping pace.
See Laura Saunders, Six of 13 IRS-Approved Tax Preparers Fail Cybersecurity Test, The Wall Street Journal, February 24, 2016.
