According to reporting from the Verge and the Markup, several popular e-filing providers have been transmitting sensitive financial information to Meta through Meta Pixel. Meta Pixel is a free advertising analytics service offered by Meta that, similar to cookie files and other persistent user identifiers, collects personalized data about how the users interact with content
Privacy Tip #235 – Economic Stimulus Check Scams
In the past week, the United States government started issuing Economic Impact Payments (EIP) of up to $1,200 per qualified individual and $500 per child. The amount of the EIP received depends on one’s adjusted gross income from the 2019 (or 2018) federal tax filing. If a taxpayer who is qualified to receive the check…
Privacy Tip #225 – Tax Identity Theft Awareness Week
Tax identity theft continues to be a significant problem for taxpayers. Tax identity theft occurs when criminals use the personal information of individuals and file fraudulent tax returns before the taxpayer does, requesting a refund. When the real taxpayer files his or her tax return, the IRS kicks it back, explaining that it has already…
Privacy Tip #203 – Cryptocurrency Woes
As cryptocurrency becomes more popular with investors, CipherTrace recently issued its Q2 2019 Cryptocurrency Anti-Money Laundering Report, which finds that “[O]utright thefts as well as scams and other misappropriation of funds from cryptocurrency users and exchanges continued apace, netting criminals and fraudsters approximately $4.26 billion in aggregate for 2019.” Yikes—that’s billion with a “b”.
The…
Virginia Data Breach Law Amended to Include Income Tax Preparers
We have frequently reported about how devastating and widespread tax fraud is in the U.S.—in the past affecting hundreds of thousands of U.S. taxpayers [view related privacy tip]. Income tax preparers are at risk for cyber intrusions because they hold highly sensitive personal information of their clients, which can be used by criminals to…
Now is the Busy Season for Cyber Criminals Posing as Executives to Obtain W-2s
It’s the start of tax season, and many employers are sending W-2 forms to employees so they can get ready to file their tax returns.
As was true over the past few years, this is not only the busy season for tax preparers, but also for cyber criminals seeking to reap millions from U.S. taxpayers…
Federal Tax Treatment of Employer-Provided Identity Protection Services
In the wake of several recent high-profile security breaches, employers are increasingly viewing identity theft protection as an essential employee benefit for employees. According to Willis Towers Watson’s 2016 voluntary benefits and services (VBS) survey, identity theft protection, offered by 35 percent of employers in 2015, could double to nearly 70 percent by 2018. Recognizing the changing needs of the workforce, employer-provided identity theft protection typically includes some form of coverage for financial losses (which can include lost wages) as well as case management services for victims of identity theft.
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Eight Thousand Clients Affected by Data Breach at Two Massachusetts Accounting Firms
Two Massachusetts accounting firms separately recently notified the Office of the Massachusetts Attorney General and the Office of Consumer Affairs and Business Regulation of data breach incidents at their firms, resulting in the unauthorized access of their respective clients’ names, addresses and Social Security numbers.
The first accounting firm, King McNamara Moriarty LLP (KMM) discovered…
IRS to Notify 100,000 Taxpayers That Their Information May Have Been Obtained Through Misuse of FAFSA Retrieval Tool
On Thursday, Internal Revenue Service (“IRS”) Commissioner John Koskinen testified that the personal data of up to a 100,000 taxpayers could have been compromised as a result of criminal use of the Free Application for Federal Student Aid Data Retrieval Tool (“DRT”). Last week, we posted that the IRS disabled the tool after it suspected…
Privacy Tip #71 – It’s Tax Time and the Thieves are Out in Droves
Just when I thought everyone knew about the continued W2 schemes, where phishing emails are used to get company employees’ W2 forms so the thief can file a false tax return and get a refund, several additional clients have been hit with the scheme and the thieves were successful.
Just like after holiday sales in…