Cyber threats continue to rise, especially during busy financial seasons when criminals know businesses are focused on tax filings, audits, and reporting. Accounting data is a prime target—containing sensitive financial records, tax IDs, Social Security numbers, and banking information.

By staying vigilant and following a few best practices, you can help safeguard your information and reduce the risk of data breaches and fraud.

Common Cyber Threats Targeting Accounting Clients

1. Phishing Emails: Cybercriminals often send emails that look like they’re from your accountant, bank, or the IRS. These messages may contain links or attachments designed to steal your credentials or install malware.
➡ Tip: Always verify unexpected emails before clicking links or sharing information. When in doubt, call to confirm.

2. Business Email Compromise (BEC): Fraudsters may impersonate your accountant or company executive to request a wire transfer or sensitive documents.
➡ Tip: Confirm all financial requests by phone or through a secure portal.

3. Ransomware Attacks: Malware can lock files or systems until a ransom is paid.
➡ Tip: Keep your antivirus software updated and ensure regular data backups are performed.

How We Help Protect Your Data

At Lear & Pannepacker, LLP, data protection is a top priority. We use:

• Encrypted portals (e.g., ShareFile, SafeSend) for all file transfers.
• Proofpoint email encryption for sensitive messages.
• Multi-factor authentication (MFA) on all internal systems.
• Routine security training for our staff to recognize and prevent threats.

What You Can Do

Here are a few simple steps to keep your data secure:

• Use strong, unique passwords for all financial accounts.
• Enable multi-factor authentication wherever possible.
• Never send personal or financial data over regular email.
• Keep your software and antivirus programs up to date.
• Be cautious when accessing financial portals on public Wi-Fi.

If You Suspect a Breach

If you believe your financial information may have been compromised, assess the situation, coordinate with IT professionals, and take steps to protect your data.

Stay Informed

Cybersecurity is a shared responsibility. By staying alert and following best practices, you can help ensure your sensitive information remains safe year-round.

This information has been prepared for informational purposes only, and is not intended to provide, and should not be relied upon for tax, legal, or accounting advice. If you have any questions or believe your financial information may have been compromised, please do not hesitate to contact us at Lear & Pannepacker.

The IRS recently has announced that starting September 30, 2025, it will begin phasing out paper refund checks for all taxpayers and transition entirely to electronic refunds. This change is driven by a new executive order aimed at modernizing and streamlining the IRS refund process.

The IRS has stated that this change is designed to protect taxpayers as paper checks, “are over 16 times more likely to be lost, stolen, altered, or delayed than electronic payments” (IRS). Switching to electronic refunds also eliminates the risk of refund checks being returned to the IRS as undeliverable. Additionally, electronic refunds reach taxpayers faster — while paper checks can take 6 weeks or more to arrive, direct deposits are typically processed much sooner.

Although refunds are transitioning from paper to electronic, you can continue filing your federal tax return as you always have. Going forward, most refunds will be issued by direct deposit instead of the mail. However, if you don’t have access to a bank account, you have options — refunds can be received through prepaid debit cards, digital wallets or limited exceptions will be available. 

The IRS plans to phase out check payments, but future guidance will be provided for filing 2025 taxes ahead of the 2026 tax deadline. In the meantime, the IRS states, “Taxpayers should continue to use existing payment options until further notice” (IRS).

This information has been prepared for informational purposes only, and is not intended to provide, and should not be relied upon for tax, legal, or accounting advice. If you have any questions regarding the phasing out of paper refund checks, please do not hesitate to contact us at Lear & Pannepacker.