Today on the Rules of Thumb blog from MoneyThumb we are going to review the IRS suggested guidelines for keeping accounting clients' data safe, or what is known as the "Security Six."

Below is a list of the six security steps accounting firms need to take to assure the safety of clients' data:

Tax pros: Follow the “Security Six” steps to help protect clients' data

Tax professionals should review security steps to make sure they are fully protecting sensitive taxpayer data. All tax pros should give their data safeguards a thorough review. Part of this review is following the “Security Six” protections.

Here is more info about these basic protections that everyone – especially tax professionals handling sensitive data – should use:

1. Anti-virus software
   • This software scans computer files or memory for certain patterns that may indicate there’s malicious software – also called malware – on the device.
   • Anti-virus vendors find new issues and update malware daily. This is why it’s important for users to install the latest updates of the software.
2. Firewalls
   • Firewalls provide protection against outside attackers. The firewall shields computers and networks from malicious or unnecessary web traffic. This helps prevents malicious software from accessing the user’s system.
3. Two-factor authentication
   • Two-factor authentication adds an extra layer of protection beyond a password.
   • The returning user enters credentials like a username and password. Then, there’s another step, such as entering a security code.
4. Backup software or services
   • Users should routinely back up critical files on their computers and hard drives to external sources.
5. Drive encryption
   • Because tax professionals keep sensitive client data on their computers, users should consider drive encryption software.
   • Drive encryption is also knowns as disk encryption. It transforms data on the computer into unreadable files. This means only people who are authorized to access the data can do so.
6. Virtual private network
   • Many tax firms’ employees must occasionally connect to unknown networks or work from home. So, the office should establish an encrypted virtual private network. This allows for a more secure connection.
   • A VPN provides a secure, encrypted tunnel to transmit data between a remote user over the internet and the company network.

By following the above six suggested security measures for tax preparers and accountants, you should be able to rest easy knowing your clients' data is safe. To help even further, download this free ebook from Right Networks titled How to Comply With the IRS “Security Six” and Keep Client Data Safe.

Below is a description of what you will learn from this ebook:

Ensuring data is secure isn’t just a bonus or an extra feature accounting firms can offer clients. Per the IRS—it’s the law.CPA firms that don’t protect their clients’ data face fines, compensatory costs, and other financial hits. But the biggest threat they face is a loss of their reputation for being trustworthy and reliable—and, as a result, the loss of both existing and potential clients. One security slip can literally destroy a firm.

This eBook goes into detail about how firms can not only stay in compliance with IRS regulations but also take specific steps to ensure the security and privacy of client data. In this eBook, we will:

• Dive into details about the IRS “Security Six”
• Find out what the IRS states CPA firms must do to stay in compliance
• Uncover what cloud technology has in common with the “Security Six”

Another great way to keep your accounting clients' data safe is by using our PDF financial file converters. This best-selling software is designed specifically for accountants, and has the following security measures in place for your safety and the safety of your clients: