The IRS and FTC Security RulesThat Apply to Your Firm

Understand what's required. See how Verito handles it for you.

Understanding Your WISP Requirement

Your Security Roadmap

A Written Information Security Plan (WISP) documents how your firm protects client data. It covers everything from password policies to incident response procedures.

Documents all security policies and procedures
Identifies who is responsible for security
Outlines how you protect client tax information
Describes your incident response plan

Free WISP Template

Audit-ready in 5 business days

FTC Requirements Checklist

The FTC Safeguards Rule applies to anyone handling consumer financial data.

Designated Security Coordinator

Someone must be responsible for your security program

We will help you establish a qualified individual

Risk Assessment

Annual evaluation of security risks

Included with all plans, documented

Access Controls

Limit who can access client data

Role-based access on all servers

Encryption

Protect data in transit and at rest

AES-256 encryption standard

Multi-Factor Authentication

Required for all system access

Enforced on every login

Employee Training

Regular security awareness training

Training platform included

Incident Response Plan

Documented breach procedures

Template + 24/7 support

Vendor Management

Ensure third parties are secure

SOC 2 Type II certified

All requirements covered by Verito.

See How We Cover Each Requirement

Check if you meet cyber insurance requirements

DIY vs. Verito

You can piece together compliance yourself. Or let us handle it.

Requirement

Do It Yourself

With Verito

IRS Publication 4557 compliant

❓

✓

FTC Safeguards Rule compliant

❓

✓

SOC 2 Type II certified

✗

✓

Audit-ready documentation

❓

✓

Annual risk assessments

Manual

Included

Incident response support

✗

24/7

Security awareness training

Extra $

Included

Encryption (transit + rest)

Varies

AES-256

MFA enforcement

Manual

Automatic

Immutable backups

✗

✓

Enterprise-Grade Security

Your data is more secure on VeritSpace than in your own office. We maintain the highest security standards and compliance certifications.

Bank-Level Security

256-bit encryption, multi-factor authentication, and 24/7 monitoring

Full Compliance

SOC 2 Type II, SSAE 16, HIPAA, PCI DSS, and ISO 27001 certified

Tier 4 Data Centers

100% uptime guarantee with biometric access and redundant systems

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Frequently Asked Questions

How does Verito ensure data security?

Verito prioritizes your data security through:

Physical isolation of your server in our secure data centers
Advanced firewall protection and intrusion detection systems
Regular security updates and patches
Encryption for data at rest and in transit
Strict access controls and authentication measures
24/7 security monitoring by our expert team

Tax software hosting allows authorized users to access cloud-hosted tax software from anywhere, anytime. Verito's solution centralizes crucial data, enhancing team collaboration and streamlining tax preparation processes.

Where are Verito's data centers located?

Our state-of-the-art data centers are strategically placed in tier 4 locations:

Chicago
Ashburn
Advanced firewall protection and intrusion detection systems

This ensures the highest uptime and performance for your hosted applications.

How often do you backup the data?

We understand the critical nature of your financial data. That's why we perform:

Nightly automated backups
60-90 day retention of backups

This robust backup strategy is a key advantage of our dedicated private server hosting.

What applications can I host on Verito?

Verito can host virtually any Windows desktop-based software, provided you have valid licenses. This includes all major tax and accounting applications such as:

QuickBooks
Drake
Sage
Thomson Reuters suite
Wolters Kluwer applications
ProSeries
UltraTax CS
CCH ProSystem fx Tax
Practice CS
And many more!

Important Note: While Verito supports nearly all Windows desktop-based tax and accounting software, ATX is currently the only exception and cannot be hosted on our platform.Not sure about a specific application? Just ask – if it's Windows-based and you have a license, we can almost certainly host it for you!

What support can I expect from Verito?

24/7 support for everything, not just security issues. Software problems, network outages, printer jams. Real people answer in under 5 minutes. No phone trees. No ticket systems. Just help when you need it.

Is Verito's hosting IRS and FTC compliant?

Yes, Verito aligns with all key regulations for tax and accounting firms:

FTC Safeguards Rule: Our WISP and security procedures meet all requirements, including mandatory 2FA and 30-day breach notification.
IRS Publication 5293 (Tax Security 2.0): Our controls address the necessary data security practices for protecting taxpayer data.
GLBA (Gramm-Leach-Bliley Act): Private server isolation provides automatic compliance with necessary confidentiality requirements.

We actively monitor regulatory changes to ensure our platform and procedures keep your firm compliant with evolving IRS and FTC mandates, reducing your risk of penalties or fines.

Does Verito provide WISP documentation for audits?

Yes. VeritShield WISP provides comprehensive documentation and support, making your firm audit-ready:

Custom WISP Templates – Tailored to your firm's size and workflows.
Implementation Roadmap – Step-by-step guidance to build your program.
Annual Risk Assessments – Gap analysis with remediation guidance.
Audit-Ready Documentation – Materials for auditors, insurers, and IRS Form W-12, Question 11.
Ongoing Updates – Policy management and audit preparation support.
Expert Guidance – Advisory support to establish your own FTC and IRS-compliant WISP.

The VeritShield WISP service ensures you have all the necessary, current documentation and expert guidance to satisfy regulators and pass security reviews without disruption.

Still have questions? Let's have a look

What You're Required to Have

IRS Publication 4557

FTC Safeguards Rule

GLBA (Gramm-Leach-Bliley)