February 09, 2026
It's February — the peak of tax season.* Accountants are swamped, bookkeepers are gathering documents, and everyone's focused on W-2s, 1099s, and looming deadlines.
But here's the hidden danger few mention: the first major headache of tax season often isn't a form — it's a scam.
One of the earliest and most dangerous scams targets small businesses by exploiting tax season urgency. You might already have one lurking in your team's inbox.
Understanding the W-2 Scam: What to Watch For
The scam unfolds like this:
Someone in your payroll or HR department receives an email that appears to be from the CEO, owner, or a top executive.
The message is brief and urgent:
"Hi, I need all employee W-2s for a meeting with the accountant. Please send them ASAP — I'm swamped today."
The tone feels genuine. The urgency fits the hectic pace of tax season. The request seems perfectly reasonable.
Trusting the email, your employee sends the requested W-2s.
But the email wasn't from your CEO — it was crafted by a cybercriminal using a fake address or nearly identical domain.
Now, the scammer has access to every employee's:
• Full name
• Social Security Number
• Home address
• Salary details
All the information needed for identity theft and to file fraudulent tax returns before your employees can.
What Happens After the Scam?
Typically, victims discover the problem when:
An employee files their tax return and it's rejected due to: "Return already filed for this Social Security number."
Someone else has already filed in their name and collected the refund.
The employee must then navigate IRS disputes, credit monitoring, identity theft protection, and months of paperwork — all because of a deceptive email.
Imagine this happening across your entire payroll. Then picture explaining to your team that their private information was compromised due to a seemingly legitimate email.
This isn't just a security breach — it's a crisis of trust, an HR challenge, potential legal exposure, and damage to your company's reputation.
Why This Scam Is So Effective
This isn't a clumsy, easy-to-spot scam. It succeeds because:
The timing is flawless. W-2 requests are normal in February, so no one questions them.
The request sounds reasonable—not an outrageous demand like wiring large sums or buying gift cards.
The urgency feels natural. "I'm slammed today, can you send this quickly?" fits the busy season rhythm.
The sender appears authentic. Attackers research your company, learning executives' names to craft convincing messages.
Employees want to be helpful, especially to leadership, so urgency often overrides caution.
How to Shield Your Business Against This Threat
The good news: you can stop this scam with smart policies and a culture of vigilance — no fancy tech needed.
Enforce a strict "no W-2s via email" rule. No exceptions. Payroll and sensitive documents must never leave the company through email attachments. If anyone requests them by email — even if the sender appears to be the CEO — answer with a firm "no."
Always verify sensitive requests through another channel — phone call, face-to-face, or chat. Use existing contact information, never the one provided in the suspicious email. A 30-second call can save you months of cleanup.
Hold a quick tax-season scam briefing now. Don't wait for closer to the deadline. Teach your payroll and HR teams what to watch for and how to respond. Awareness is your best defense.
Secure your payroll and HR systems with multi-factor authentication (MFA) to protect employee data. MFA is your final firewall against stolen credentials.
Create a culture where verification is encouraged, not punished. Praise employees who double-check suspicious requests—this keeps scammers guessing and makes your team stronger.
Implementing these five straightforward rules within a week can stop the first wave of tax season scams.
Looking Beyond the W-2 Scam
The W-2 scam is only the beginning.
Expect a surge of tax-related attacks through April, including:
• Fake IRS notices demanding immediate payment
• Phishing emails disguised as updates for tax software
• Spoofed emails from "your accountant" containing harmful links
• Fraudulent invoices disguised as tax expenses
Cybercriminals love tax season because it's busy, fast-moving, and financial requests don't raise suspicion.
Businesses that survive tax season unscathed aren't lucky—they prepared ahead with policies, training, and systems that catch suspicious activity before disaster strikes.
Is Your Business Prepared?
If you already have strong policies and your team knows the warning signs, you're ahead of many small businesses.
If not, now is the perfect moment to act — before the next scam unfolds.
Schedule a 15-minute Tax Season Security Check to review:
• Payroll and HR access plus MFA status
• Your existing W-2 verification guidelines
• Email protections against spoofing
• One simple policy tweak most businesses overlook
If you feel secure, that's fantastic. But maybe you know a business owner who could benefit from this insight. Share this article — it could save them a costly headache.
Click here or give us a call at (321) 221-2991 to schedule your free Consult.
Because tax season is stressful enough — don't let identity theft make it worse.
