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There are also multi-factor authentication solutions that utilize hardware-based, physical security keys. Once installed, these apps will generate a temporary, single-use security code, which the user must enter their tax software to complete authentication. Apps are available through Google Play or Apple's App Store. There are several ways people can get multi-factor authentication. With multi-factor authentication enabled, a thief might get one form of identification but will not have the second form of authentication which will block the thief's ability to receive the necessary security code to access the potential victim's account. Once they have access to the practitioner's networks and tax software account, they can complete pending taxpayer returns, alter refund information and use the practitioner's own e-filing and preparer numbers to file fraudulent returns. This malware enables them to steal all passwords from a tax pro. Thieves use a variety of scams to download malicious software, such as keystroke logging software. It may be labeled as two-factor authentication or two-step verification or similar names. Users can check the security section in their online tax product account to opt-in to multi-factor authentication. Multi-factor authentication is optional, but taxpayers and tax professionals are strongly encouraged to use it whenever it's available. This feature might not be available on over-the-counter hard disk tax products. They also agreed it would meet requirements set by the National Institute of Standards and Technology. More details about this important featureįor 2021, all providers agreed to make multi-factor authentication a standard feature.

For example, taxpayers must enter their username, password and a number code sent by text to their cell phone. Multi-factor authentication requires users to enter two pieces of information to securely access an account or application.

This security feature is designed to protect both taxpayers and tax professionals. The IRS and its Security Summit partners recently announced that multi-factor authentication will be available on all 2021 online tax preparation products.
