Australians urged to look out for tax time scams

Cybersecurity company Norton is urging Australians to remain vigilant in the face of the likely increase in tax-specific scam activity as tax time arrives.

Norton APAC Managing Director Mark Gorrie said it is extremely common for scam activity to increase during tax time, because it serves as the perfect environment for cybercriminals seeking to prey on stressed and confused potential victims.

“There are certain times each year that pique cybercriminals’ interest and tax time is one of them. With the amount of personal and financial information that is being stored and shared at this time, coupled with the stress that comes with filing tax returns, it is the perfect storm for scammers to target Australians,” he said.

“Tax time can be difficult to navigate, and it can be easy to fall into the palm of a scammer offering to ease this burden. But it is important to understand that practising online security should never be sacrificed in exchange for convenience. In the wake of greater sophistication and a rise in AI that is aiding cybercriminals in evolving and developing their devious tactics, it is more important than ever that Australians are continuing to educate themselves on the warning signs.”

Prevalent tax scams include tax-related identity theft, which occurs when cybercriminals access a victim’s account, impersonate them and fraudulently lodge refunds from the ATO using stolen credentials.

Safeguarding against this scam requires keeping tax file numbers safe by shredding documents that contain personal information before they are disposed of.

Tax time triggers a rise in scams including phishing.

ATO impersonation scams are also prevalent around tax time, so Gorrie urged individuals to ensure they do not click on any links or provide payments or personal information in response to receiving suspect scam emails or SMS.

Finally, Norton is advising Australians to be on the lookout for dodgy tax preparers offering to complete a tax refund by asking for myGov access. Before selecting an accountant, Australians should check that they are registered on the Tax Practitioners Board, and myGov passwords should always be kept confidential, Gorrie said.

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