E-filing state tax returns is generally considered very secure when using approved, reputable tax software and providers. The IRS and states use robust security measures to protect transmitted data, including encryption and multi-factor authentication. However, as with any online activity, there are risks like tax fraud, identity theft, or data breaches. To minimize risks, only use authorized e-file providers, protect personal information, use secure networks, and review returns carefully before filing. The FTC provides guidance on protecting your information when filing taxes online.