As if tax time wasn’t stressful enough, scammers are dialling up their attacks, and small business owners are right in the firing line.

The Australian Taxation Office (ATO) has reported a 150 per cent spike in impersonation scams over the past 12 months, with 90 per cent of those scams landing in inboxes via email. These cyber crooks are getting smarter and sneakier at impersonating the ATO, myGov and even your bank with increasingly sophisticated tactics.

However,  the ATO is fighting back, launching new security features in its official app to help Aussies keep their personal info (and tax refunds) safe.

New tools to lock out fraudsters

ATO Assistant Commissioner Rob Thomson says the new security upgrades are designed to give users control at their fingertips.

“That’s why we’ve strengthened the ATO app with new security features. It’s fast, free, and puts security in your hands,” he says. “You can monitor your account in real-time and lock it instantly if something doesn’t feel right.”

Here’s what’s new in the app:

Real-time alerts when any changes are made to your tax record

Quick account locking to prevent unauthorised access or dodgy refund requests

Plus, it’s free to download, and could save you from a financial mess that takes months to unwind.

Scammers thrive on EOFY chaos

With end of financial year (EOFY) pressure mounting, it’s no surprise cyber criminals see small businesses as prime targets.

According to CommBank research, one in four Australians have been exposed to an EOFY scam. Most of these involve impersonating the ATO, myGov or a major bank through emails, phone calls or dodgy SMS links.

Business Victoria has flagged several scam trends to watch this tax season, including:

• Fake ATO or myGov messages, designed to steal your login details
• AI-generated scams that are eerily convincing
• Business email compromise targeting invoices and payment details
• Cloud and email breaches, especially between you and your bookkeeper or accountant
• And the scary part? Many of these scams look legit, complete with official logos, spoofed phone numbers and urgent language.

Cyber scams cost Aussie businesses

Cyber security is no longer just an IT issue, it’s become a business survival issue. The Australian Cyber Security Centre (ACSC) says that small businesses make up 43 per cent of all cybercrime reports, and the average cost of a cyber attack is $46,000. Ouch.

That’s money that could’ve gone to a new hire, marketing budget, or your next coffee-fuelled strategy session.

How to protect your business this tax time

You don’t need to be a tech expert to keep your business safe from scams this tax time. A few simple precautions can go a long way. Start by downloading the ATO app and switch on real-time notifications so you’re alerted to any changes on your account the moment they happen.

It’s also worth enabling multi-factor authentication (MFA) on critical logins, like myGov, your accounting software, and online banking. MFA adds an extra layer of protection that makes it much harder for scammers to break in.

Always use a strong, unique password for each account. Reusing the same one across multiple platforms is like handing a thief a master key. And no matter how official a message looks, never click on links in unsolicited texts or emails claiming to be from the ATO.

And if something feels off? Stop, check and protect. You can verify suspicious messages via the ATO website or report scams directly at ato.gov.au/scamsafe

Get help and stay cyber smart

There are plenty of resources to help you build better cyber habits: Cyber Wardens offers free online courses tailored for small business owners. Business Victoria has an EOFY Cyber Guide to help you spot scams and secure your systems ACSC provides real-time alerts and practical advice at cyber.gov.au

Need more advice? Check out our cyber security section.

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