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‘Warning falls on deaf ears’: IPA pushes for increased cyber security awareness

Technology

As the threat of identity fraud surges, the Institute of Public Accountants is urging Australians to be proactive and vigilant in their enforcement of cyber security.

By Imogen Wilson 8 minute read

The Institute of Public Accountants (IPA) has proposed three key steps for Australians to follow in a move to effectively protect their identity from cyber criminals.

The warning comes after vulnerabilities in myGov accounts continued to be exploited by cyber criminals, reinforcing the urgency for protection against identity fraud.

The three key steps recommended by the professional accounting body included setting up myGovID to the highest security level possible, linking myGov account to the ATO using myGovID, as well as downloading the ATO app for real-time account monitoring.

IPA senior tax advisor Tony Greco said the ATO reiterated that combating identity fraud was a shared responsibility.

“Whether using a tax agent or lodging independently, individuals remain vulnerable to fraudsters who can access myGov accounts without detection. Unfortunately, this warning falls on deaf ears,” he said.

“We’re seeing an increase in stolen personal information being traded online due to large-scale database breaches. The risk of identity theft has never been higher, and taxpayers must take this seriously.”

Greco noted that the IPA recommended setting myGovID at the highest security level and linking myGov to the ATO at a minimum and recommended the ATO app for an extra layer of cyber security.

 
 

The ATO app allowed individuals to instantly lock their accounts if suspicious activity was detected. According to IPA, once locked, no one could log in or issue refunds, and the account could only be unlocked by calling the ATO.

The IPA acknowledged that individuals may not want to adopt any of the recommendations based on the number of databases that had been hacked and the amount of stolen personal information floating in cyber space.

On this, Greco said it was ironic that Australians were asked to go digital for access to a plethora of government providers such as the ATO, Medicare, Services Australia, NDIS and others, which opened the door to cyber criminals.

However, Greco added there was no way to escape this risk, only ways to reduce it and taking preventative steps was critical to safeguarding personal information.

The IPA revealed that tax practitioners had expressed concern that the ATO app enabled direct communication between the ATO and clients, however reassured that it would remind the ATO not to breach the implied undertaking that the ATO should only correspond with the agent when dealing with clients.

“To alleviate these concerns, the IPA is urging practitioners to educate clients on the proper use of the protections offered by the app to avoid the lengthy and complex process of reinstating compromised accounts in the event of identity fraud.

Greco said a welcome development was the ATO’s announcement of a new data-matching program with the Australian Financial Crimes Exchange (AFCX) to strengthen its fight against identity fraud and financial crime.

“The ATO’s new partnership with the AFCX is a positive step forward. But the tax community’s cooperation remains essential to protecting taxpayer accounts and data.”

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Imogen Wilson

Imogen Wilson

AUTHOR

Imogen Wilson is a journalist at Accountants Daily and Accounting Times, the leading sources of news, insight, and educational content for professionals in the accounting sector. Imogen is also the host of the Accountants Daily Podcasts, Under the Hood and Accountants Daily Insider.

Previously, Imogen has worked in broadcast journalism at NOVA 93.7 Perth and Channel 7 Perth. She has multi-platform experience in writing, radio, TV presenting, podcast hosting and production.

You can contact Imogen at This email address is being protected from spambots. You need JavaScript enabled to view it.

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