Written by Kelsey Beauchamp
Every March, the same thing happens across North Dakota, Minnesota, and South Dakota.
Owners of small and medium businesses (SMBs) are juggling year-end paperwork, accountants are buried in tax prep, and inboxes are flooded with requests for documents, signatures, and financial details.
Everyone is trying to move fast just to keep up.
And hackers know it.
Cybersecurity researchers consistently report a major spike in phishing attacks during tax season, with March bringing about a 28% increase in tax-related scam emails compared to quieter months.
These scams don’t look suspicious.
They look like normal business.
That’s exactly why they work.
For SMBs—especially those without a dedicated IT team—tax season becomes the perfect opportunity for attackers.
Let’s look at why this happens and how your SMB can avoid becoming an easy target.
Why Do Hackers Target SMBs During Tax Season?
Hackers aren’t just targeting accounting firms.
They target the entire ecosystem around them, including small and medium businesses (SMBs) sending financial documents back and forth.
During tax season:
- Employees rush to send sensitive files
- Verification steps get skipped
- Staff assume requests are legitimate
- Urgent emails feel normal
The entire process speeds up.
And speed creates mistakes.
Cybercriminals don’t attack calm, methodical organizations.
They attack busy SMBs.
And March is busy for nearly every business.
What Do Tax Season Phishing Attacks Look Like for SMBs?
Most tax-season cyberattacks start with a simple email.
Not a dramatic hack.
Not sophisticated malware.
Just a message that looks completely normal.
Common examples include:
- “Your accountant” asking you to resend W-2s because a file didn’t come through.
- A vendor requesting updated bank information for future payments.
- A DocuSign request that appears to be a tax document needing immediate signature.
- An “urgent” message from your CEO or owner asking for help while traveling.
None of these feel suspicious.
They feel like typical business communication during tax season.
That’s what makes them dangerous.
Why Busy Employees at SMBs Fall for Phishing Scams
Most people assume cyberattacks happen because someone was careless.
In reality, they happen because people are busy.
When employees at SMBs are under pressure:
- They skim emails instead of reading carefully
- They trust familiar names and logos
- They react to urgency instead of verifying requests
Scammers design messages specifically for this moment.
They don’t need someone reckless.
They just need someone moving too fast to notice one small detail.
How SMBs in ND, MN, and SD Can Prevent Tax Season Cyberattacks
The good news?
Protecting SMBs doesn’t require expensive tools or a large cybersecurity team.
A few simple habits can dramatically reduce your risk.
1. Verify Payment Changes by Phone
If a vendor emails saying their banking information has changed, don’t reply to the email.
Call the vendor using a phone number you already trust.
This single step prevents some of the most expensive scams targeting SMBs.
2. Pause Before Sending Sensitive Documents
Urgent requests for W-2s, tax files, or financial records should always trigger verification.
Take a moment to confirm the request before sending anything.
A legitimate sender will never mind a short delay.
A scammer will.
3. Confirm Urgent Requests Through Another Channel
If an email claims something is urgent, double-check it through another method.
Call.
Send a Teams or Slack message.
Or simply ask internally.
Real urgency survives verification.
Fake urgency doesn’t.
4. Give Your Team a Quick Tax Season Reminder
Most cyberattacks succeed because employees simply aren’t expecting them.
A quick five-minute reminder can make a big difference.
Let your team know:
- Tax season is prime time for phishing attacks
- It’s okay to slow down and double-check requests
- Asking questions is encouraged
That small permission shift often prevents major problems later.
The Takeaway for SMB Owners
Tax season is already stressful for SMBs.
The last thing your team needs is to add “cyberattack cleanup” to the list.
The scams that appear this time of year aren’t particularly advanced.
They’re just well-timed.
They rely on people being rushed.
They rely on assumptions.
They rely on everyone trying to power through March.
Slowing down and verifying requests is often enough to stop them.
A Quick Security Check for Your SMB
If your team tends to move fast during busy seasons—or you're unsure how employees handle urgent financial requests—it may be worth a quick check.
At Information Management Systems, we help SMBs across North Dakota, Minnesota, and South Dakota keep their technology secure and reliable.
Our goal is simple:help business owners focus on running their company while we make sure the technology works the way it should.
And when issues arise, our team responds quickly—something many of our long-time clients mention when sharing their experience working with us.
If you'd like, we can walk through a quick 10-minute discovery call to see whether a few small changes could reduce your risk this tax season.
No pressure.No scare tactics.
Just practical advice for SMB owners.
Book your 10-minute discovery call here
Frequently Asked Questions About Tax Season Cybersecurity for SMBs
Why do cyberattacks increase during tax season?
Cyberattacks increase during tax season because businesses are sharing sensitive financial information more frequently. Hackers take advantage of busy employees, urgent deadlines, and increased document exchanges. For SMBs, this creates more opportunities for phishing emails, fake document requests, and payment scams.
What are the most common tax season scams targeting SMBs?
The most common scams targeting SMBs during tax season include phishing emails requesting W-2 forms, fake DocuSign requests for tax documents, vendor payment change scams, and emails impersonating accountants or company executives.
How can SMBs prevent tax season phishing attacks?
SMBs can prevent many phishing attacks by slowing down and verifying requests. Best practices include confirming payment changes by phone, double-checking urgent requests for financial documents, and encouraging employees to question unusual emails.
Are small and medium businesses really targets for hackers?
Yes. In fact, SMBs are often targeted more than large enterprises because they typically have fewer cybersecurity protections in place. Hackers know SMBs often rely on busy employees instead of dedicated security teams.
What cybersecurity steps should SMBs take before sending tax documents?
Before sending tax-related documents, SMBs should confirm the recipient’s identity, verify the request through a second communication method, and ensure files are shared through secure systems rather than regular email attachments.
