Key takeaways
- Tax season produces a significant spike in phishing activity. The IRS confirmed that phishing remains one of its most reported cybercrime categories, and attacks increase sharply from January through April.
- Attackers target high-value data such as Social Security numbers, W-2 files, payroll credentials, and bank routing details, making SMBs particularly vulnerable.
- MSPs and IT teams can reduce risk through MFA enforcement, secure network usage policies, email security hardening, and strict verification procedures for any tax-related communications.
- Structured awareness campaigns, real-world simulations, and dedicated incident response workflows help organizations improve resilience during the highest-risk period of the year.
Each year, cybercriminals take advantage of tax season to target individuals and businesses with highly convincing phishing scams. The IRS reports that phishing remains one of the most common and dangerous threats it tracks, with incident reports rising significantly during filing months. These attacks create financial, operational, and identity risks that affect both employees and the organizations supporting them.
For managed service providers (MSPs) and IT departments, the increased volume and sophistication of tax-themed phishing attempts create a unique challenge. Users are more likely to trust communication referencing refunds, W-2s, tax statements, or compliance issues. Attackers know this and time their campaigns to maximize urgency and emotional response. This blog examines current trends, key warning signs, and the practical steps IT providers can take to safeguard their environments during the highest-threat period of the year.
Why tax season phishing is so dangerous
Attackers exploit predictable behavior
Tax season creates a perfect environment for fraud because users expect financial documents, notifications, and requests for verification. This makes employees more susceptible to spoofed refund notices, bogus W-2 updates, and fraudulent communications that mimic tax preparation software or payroll services.
High-value data is readily accessible
Data commonly targeted includes:
- Social Security numbers
- W-2 and 1099 files
- Payroll records
- Bank account and routing details
- Credentials for tax portals and accounting platforms
A single successful phishing attempt can expose not only individual identity information but also payroll and financial data for an entire organization.
The business impact is more severe during filing deadlines
A compromised account in March carries higher operational and financial urgency than in other months. Fraudulent returns, payroll redirections, and credential theft can cascade into ransomware events or large-scale financial fraud.
MSPs and IT departments often see higher alert volume, more end user questions, and a greater risk of account compromise as attackers intensify activity.
Five warning signs of tax season phishing attempts
Provide these indicators to users and encourage them to treat any suspicious message with caution.
1. Unexpected messages referencing the IRS or tax agencies
The IRS does not contact taxpayers through email, text, or social media to request personal information or payment. Any unsolicited digital communication should be treated as suspicious.
2. Urgent or threatening language
Attackers often attempt to force immediate action through statements such as:
- “Your refund has been delayed”
- “Your return has been flagged for review”
- “Immediate account verification required”
This pressure is designed to override security instincts.
3. Suspicious links or attachments
Users should be instructed to hover over all links before clicking to review their destination. Malicious actors often mask URLs to imitate tax or payroll sites, but official government domains always end in .gov.
4. Requests for financial, personal, or credential data
No legitimate tax authority will request Social Security numbers, bank information, or login credentials by email. Any request for sensitive information should be escalated to IT immediately.
5. Forged tax documents
Common tactics include sending malicious PDFs labeled as “revised W-2 forms” or “updated 1099 statements.” These files frequently contain credential harvesters or malware.
Emerging phishing trends MSPs and IT teams need to watch
AI-generated phishing content
Attackers now use AI tools to craft polished, personalized messages free from the spelling and formatting issues that historically exposed phishing attempts. This increases the likelihood that users will trust fraudulent emails.
Related content: How threat actors are using AI
Compromised or cloned payroll portals
Cloned websites impersonating payroll providers, accounting firms, or tax software platforms are becoming more common. These sites harvest credentials and may inject malware into user devices.
Business email compromise targeting financial teams
Attackers often monitor inboxes after gaining account access, waiting for opportunities to redirect refunds or payroll transfers.
Related video: How to prevent business email compromise
Third-party impersonation
Threat actors pose as external accountants, auditors, or tax preparation services to exploit existing relationships and bypass normal skepticism.
Best practices for MSPs and IT teams to protect users during tax season
Implement strong identity controls
Multi-factor authentication (MFA) should be mandatory on email, payroll tools, and tax preparation accounts. Password reuse across personal and corporate accounts increases risk, especially when individuals access tax platforms on personal devices. Encourage unique, complex passwords and provide password manager guidance.
Enhance email security
Strong filtering and authentication controls help reduce exposure.
Key configurations include:
- SPF, DKIM, and DMARC enforcement
- Blocking known tax-themed phishing indicators
- Attachment scanning for malicious PDFs or macro-enabled documents
Establish a simple reporting workflow so users can forward suspicious emails directly to IT.
Related video: Best practices for email security in 2026
Validate any tax-related communication
Create a policy that requires verification of tax-related requests through official channels.
Examples:
- Confirming directly through IRS.gov rather than clicking embedded links
- Contacting payroll or accounting providers using known contact information
- Asking IT or the MSP to inspect questionable messages
Reinforce secure network usage
Users filing taxes remotely often rely on unsecured networks. Encourage VPN usage and block access to sensitive tax platforms on public Wi-Fi whenever possible.
Restrict access to sensitive financial data
Limit access to payroll directories, tax documents, or accounting files on a need-to-know basis. Implement just-in-time access for roles that require temporary elevation.
Prepare incident response workflows ahead of filing season
Reduce triage time during peak attack periods by creating clear steps for:
- Reporting suspected phishing
- Securing compromised accounts
- Resetting credentials and revoking sessions
- Collecting forensic data
- Communicating with affected stakeholders
Effective user education strategies for tax season
Publish a tax-season security guide
Tailor messaging for employees: How to identify scams, what the IRS will never request, and what steps to follow when uncertain.
Run phishing simulations that mirror seasonal lures
Scenarios can include refund delays, updated W-2s, or revised payroll statements. This helps users practice responding under realistic conditions.
Use micro-training formats
Short, focused reminders reinforce good decision-making and reduce cognitive overload during busy filing periods.
Make reporting effortless
Ensure users can forward suspicious messages quickly. High-volume periods demand simple, visible instructions.
Encourage reporting to national authorities
Share proper reporting channels:
Encouraging reporting strengthens national intelligence efforts and raises internal awareness.
Create a repeatable defense strategy
Conduct a post–tax season analysis
Review:
- Volume of phishing attempts
- Departments most frequently targeted
- Success rates of simulations
- Response times and escalation patterns
- Account compromise incidents, if any
Use this data to prioritize improvements before the next filing cycle.
Build an annual tax season security playbook
Include timelines for awareness campaigns, system hardening, and staff training. Establish repeatable workflows that reduce surprises when threat levels rise.
Integrate seasonal protections into long-term cybersecurity programs
Tax season lessons often reveal broader identity and access management gaps, user training needs, and email security weaknesses. Treat these findings as strategic inputs for long-term security maturity.
Conclusion
Tax season is one of the most profitable windows of the year for cybercriminals, but it is also one of the easiest periods for MSPs and IT teams to anticipate. Strengthening the email layer is one of the most effective steps IT solution providers can take to reduce tax season risk. ConnectWise Email SecurityTM with Proofpoint adds advanced threat analysis, impersonation detection, and continuous scanning that helps stop targeted phishing attempts before they reach end users.
By combining user awareness with intelligent email defenses, organizations gain a stronger first line of protection against refund scams, credential harvesting, and identity-driven attacks that are common during filing season.
