Why Tax Rails
Build redundancy into your tax filing process and protect your operations from ransomware attacks targeting tax processors.
Build Redundancy Into Your Tax Filing Process
Don't Risk a Single Point of Failure
Move a portion of your EINs to TaxRails while maintaining your primary system. This practical approach creates true operational redundancy by giving your team hands-on experience with our platform while establishing a proven backup system ready for immediate use. If your primary system ever fails, you won't face a tax crisis—you'll simply transition your remaining EINs to a platform you already trust and use every day.
Modernize your tax payment process while keeping your funds working for you
Why Finance Leaders Add TaxRails as a Redundant System
Protect Against Cybersecurity Threats
Don't let a ransomware attack on your primary tax provider cripple your operations
Major tax providers have increasingly become targets for sophisticated ransomware attacks. When these systems go offline—sometimes for days or weeks—companies are left scrambling to meet tax obligations without access to their data or processing capabilities. By running a portion of your EINs through TaxRails, you maintain a fully operational backup system that can immediately scale to handle all your filings if your primary system falls victim to a cyberattack.
- Independent system architecture ensures complete isolation from primary system vulnerabilities
- Regular operations give your team ongoing familiarity with the backup system
- Immediate scalability to handle all EINs if your primary provider experiences an outage
- No disruption to tax compliance even during cybersecurity incidents
"I realized that with most automated solutions, my clients would have to sign a POA and basically trust that their funds were flowing through a third party safely. With TaxRails, we eliminate that risk entirely—funds stay in their accounts until the exact moment they need to move."
— Josh Cameron, CEO
Keep Your Funds Secure in Your Own Accounts
Maintain full control of your funds while creating system redundancy
Unlike processors that require prefunding third-party accounts (exposing you to counterparty risk), TaxRails works directly with your existing bank infrastructure. This ensures your backup system isn't introducing new financial risks while protecting against operational risks.
- Enterprise-grade security protocols protect all financial data in transit and at rest
- Comprehensive security infrastructure designed to financial industry standards
- Direct ACH integration with all major banks through secure SFTP protocols
- No third-party accounts holding your funds beyond federal insurance limits
Frequently Asked Questions
TaxRails offers true system isolation from your primary tax processor. If your main provider experiences a ransomware attack or security breach, your TaxRails-managed EINs remain completely unaffected due to our separate system architecture. Since our platform is built on modern code rather than legacy systems, we implement security practices that significantly reduce vulnerability to common attack vectors. Additionally, because your team is already familiar with TaxRails through regular use, you can quickly transition all processing to our platform without the learning curve that would otherwise delay your response during a crisis.
No. TaxRails is designed to work with your existing banking infrastructure. We integrate with most major banks and financial institutions through secure file transfer protocols (SFTP), the standard method preferred by financial institutions for reliable and secure data exchange. This allows you to maintain your current banking relationships with no need to set up new accounts or change where you keep your funds.
Security is our top priority. TaxRails employs enterprise-grade encryption for all financial data, both in transit and at rest. Our platform undergoes regular security assessments, and we adhere to industry best practices for financial data protection. We implement multi-factor authentication, role-based access controls, and maintain comprehensive audit logs of all system activities. Additionally, we use secure file transfer protocols (SFTP) to connect with financial institutions, the industry-standard method preferred by banks for its reliability and security.
TaxRails provides a simple dashboard where you can clearly see which EINs are being processed through our platform versus your primary system. You can adjust this allocation at any time, moving EINs between systems as needed. Most clients establish a regular review process where they evaluate which EINs should be processed through which system, often increasing their TaxRails allocation as they become more comfortable with the platform.
TaxRails is designed to scale instantly from partial to complete processing. Since your team is already familiar with the system through ongoing use with your initial EIN allocation, transitioning additional EINs requires minimal effort. The onboarding process for new EINs is straightforward, and our support team is available to assist with rapid transitions if your primary system experiences issues or you decide to make a complete switch to TaxRails.
Don't Let a Ransomware Attack Disrupt Your Tax Obligations
Finance leaders at forward-thinking companies are implementing system redundancy to protect against the growing threat of cyberattacks targeting tax processors. Join them in creating a resilient tax process today.
Modern Architecture, Superior Security
A backup system built with today's most secure technology stack
Many tax processing systems still run on decades-old code with known security vulnerabilities. TaxRails is built using modern programming languages and frameworks—the same technology stack powering industry leaders like Stripe and GitHub. This ensures your redundant system actually improves your security posture rather than introducing new vulnerabilities.
- Modern codebase free from legacy system vulnerabilities
- Continuous security updates without disrupting operations
- API-first architecture designed for secure integrations
- Containerized infrastructure for enhanced security isolation
Eliminate Reliance on a Single Processing Method
Save 15+ hours monthly while creating essential redundancy
Each payroll cycle, your team performs tedious manual tax calculations, payment scheduling, and reconciliation work—all through a single system. To do this properly requires daily bank account reconciliation—a time-intensive task someone must perform every single day. TaxRails provides a parallel system that can operate independently:
- Automatic calculation of all tax obligations across jurisdictions
- Optimal payment scheduling to maximize your interest-earning period
- Real-time payment tracking through the ACH network
- Automatic reconciliation with IRS records, eliminating daily manual bank reconciliation
- Daily verification of payment status without the manual reconciliation burden
Maintain Visibility Across Multiple Systems
Never lose track of a payment, even during system transitions
Running multiple systems typically creates visibility challenges, but TaxRails provides a unified dashboard that clearly identifies which EINs are being processed through which systems. Each payment can be tracked from initiation through the ACH network to receipt by tax authorities—with verified confirmation.
- Unified payment dashboard tracks all transactions in real-time
- Clear system attribution identifies which EINs are in which systems
- Detailed audit trail documents every step of the process
- Automatic verification with tax agencies confirms proper receipt
- Instant alerts identify potential issues before they become problems
"Before implementing TaxRails as our backup system, we had no contingency plan if our primary tax processor went down. Now we sleep better knowing we have a proven alternative already in place."
— [Controller quote placement]
Easily Transition Between Systems
Maintain control without being locked into a single vendor
TaxRails gives you the flexibility to move between systems as needed, eliminating vendor lock-in while maintaining operational stability:
- Works alongside all major tax processors
- No need to change your current banking relationships
- Maintains your existing approval workflows and controls
- Simple EIN allocation management between systems
- Seamless scaling from partial to complete processing
Ready to Build Redundancy Into Your Tax Process?
Schedule a personalized demo to see how TaxRails can provide a secure backup system for your tax processing needs.