Cybersecurity for CPA & Accounting Firms in Michigan
Protect client financial data, satisfy IRS Publication 4557 and FTC Safeguards Rule requirements, and defend against the cyberattacks specifically targeting Michigan CPA and tax preparation firms.
Get a Free Security AssessmentRegulatory Requirements for Michigan CPAs
Accounting firms face a growing stack of cybersecurity compliance obligations. Non-compliance means IRS sanctions, FTC enforcement, and state board action.
IRS Publication 4557
Requires a written information security plan (WISP), employee training, multi-factor authentication, and breach response procedures for all tax preparers handling taxpayer data.
FTC Safeguards Rule
Applies to any business receiving tax return information. Requires formal risk assessments, access controls, encryption, MFA, vendor oversight, and annual security program reviews.
Michigan ITPA
Michigan's Identity Theft Protection Act requires notification to affected individuals when a breach compromises personal financial data, including Social Security numbers and financial account information.
Security Services Built for Accounting Practices
Written Security Plan (WISP)
IRS Publication 4557 and FTC Safeguards-compliant written information security program, drafted and maintained for your firm.
Multi-Factor Authentication
MFA deployment across all systems, tax software, email, remote access, as required by IRS and FTC regulations.
24/7 Security Monitoring
Continuous monitoring for unauthorized access to your systems, especially during tax season when attack volume spikes.
Email Security & Phishing Protection
Block spear-phishing, IRS impersonation emails, and business email compromise attacks targeting accounting firms.
Secure Client Portal
Encrypted document exchange with clients, replacing insecure email attachments for sensitive financial documents.
Employee Security Training
Annual and ongoing training on phishing recognition, secure data handling, and IRS-compliant security practices.
CPA Referral Partner Program
You're already your clients' most trusted financial advisor. When business clients ask about protecting their financial data, or when you see they're non-compliant with IRS security requirements, referring them to Evolv protects them and creates passive income for your firm. Our CPA referral program pays a recurring monthly commission with no minimum requirements.
Protect Your Clients
Clients whose financial data is breached often blame their CPA. Recommending security is part of your fiduciary duty.
Recurring Revenue
Earn a commission every month your referred client remains with Evolv, typically 3-5+ years.
Value-Added Service
Position your firm as a holistic business advisor, not just a tax preparer, by connecting clients to essential security services.
Serving Grand Rapids and West Michigan
Evolv Technology Solutions is based in Grand Rapids and provides FTC Safeguards and IRS 4557-compliant managed IT services to CPA and accounting firms across West Michigan. Learn more about our Managed IT Services in Grand Rapids or our Managed IT Services in Kalamazoo for Southwest Michigan accounting firms, or Managed IT Services in Muskegon for lakeshore-area CPA firms, or Managed IT Services in Holland for the Holland/Zeeland Ottawa County market, or Managed IT Services in Lansing for mid-Michigan CPA and financial services firms.
Frequently Asked Questions
Why are CPA and accounting firms targeted by hackers?
Accounting firms hold the most financially sensitive data that exists: tax returns, financial statements, bank account details, Social Security numbers, payroll data, and business financials. This data has immediate monetization value, identity theft, tax fraud, and targeted extortion. The IRS reports that tax professionals are among the top targets for cybercriminals.
What are the IRS cybersecurity requirements for tax preparers?
IRS Publication 4557 (Safeguarding Taxpayer Data) requires tax preparers to have a written information security plan, protect client data at rest and in transit, use multi-factor authentication, train employees, and implement breach response procedures. The FTC Safeguards Rule (16 CFR Part 314) also applies to tax preparers and requires a formal written security program.
What is the FTC Safeguards Rule and does it apply to my CPA firm?
Yes. The FTC Safeguards Rule applies to any business that receives tax return information, including CPAs and tax preparers. It requires a written information security program, risk assessments, access controls, encryption, multi-factor authentication, vendor oversight, and an incident response plan. Non-compliance can result in FTC enforcement action.
What Michigan-specific data protection laws apply to accounting firms?
Michigan's Identity Theft Protection Act (MCLA 445.63) requires notification to affected individuals if a security breach compromises personal financial data. Additionally, Michigan CPAs are subject to AICPA ethics requirements and state board regulations that address client data confidentiality and security.
How much does cybersecurity cost for a small CPA firm?
For a 2-15 person accounting firm, a comprehensive security program typically runs $1,200-$3,000/month. This includes endpoint protection, email security, backup and recovery, security monitoring, and the written security plan required by IRS Publication 4557 and the FTC Safeguards Rule.
What should a written information security plan (WISP) include?
Your WISP must designate a security coordinator, identify and assess risks, implement safeguards, oversee service providers, and outline your breach response procedures. Evolv drafts and maintains WISPs for accounting firms as part of our managed security program, ensuring you're always compliant with IRS and FTC requirements.
How does the CPA referral partner program work?
CPAs who refer their business clients to Evolv for cybersecurity services earn a recurring monthly commission. Given that you're already trusted financial advisors to your clients, recommending cybersecurity is a natural value-add. You protect your clients' financial data, strengthen the relationship, and earn passive income. No security expertise required.
What happens if our firm experiences a data breach?
Michigan law requires you to notify affected clients. The IRS requires you to report any unauthorized access to taxpayer data using Form 14242. You may also face FTC enforcement, state board disciplinary action, and malpractice claims. Evolv's incident response service guides you through every step of breach notification and remediation.
Other Industries We Serve
Evolv's industry-specific cybersecurity programs also cover law firms, healthcare practices, manufacturers, and construction firms. See the full services overview for all programs.
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