You want to block all incoming network traffic, except from your system itself. Do not affect outgoing traffic.
# iptables -F INPUT # iptables -A INPUT -m state --state ESTABLISHED -j ACCEPT # iptables -A INPUT -j REJECT
# ipchains -F input # ipchains -A input -i lo -j ACCEPT # ipchains -A input -p tcp --syn -j REJECT # ipchains -A input -p udp --dport 0:1023 -j REJECT
The iptables recipe takes advantage of statefulness, permitting incoming packets only if they are part of established outgoing connections. All other incoming packets are rejected.
The ipchains recipe accepts all packets from yourself. The source can be either your actual IP address or the loopback address, 127.0.0.1; in either case, the traffic is delivered via the loopback interface, lo. We then reject TCP packets that initiate connections (?syn) and all UDP packets on privileged ports. This recipe has a disadvantage, however, which is that you have to list the UDP port numbers. If you run other UDP services on nonprivileged ports (1024 and up), you'll have to modify the port list. But even so there's a catch: some outgoing services allocate a randomly numbered, nonprivileged port for return packets, and you don't want to block it.
Don't simply drop all input packets, e.g.:
# ipchains -F input # ipchains -A input -j REJECT
as this will block responses returning from your legitimate outgoing connections.
iptables also supports the ?syn flag to process TCP packets:
# iptables -A INPUT -p tcp --syn -j REJECT
As with ipchains, this rule blocks TCP/IP packets used to initiate connections. They have their SYN bit set but the ACK and FIN bits unset.
If you block all incoming traffic, you will block ICMP messages required by Internet standards (RFCs); see http://rfc.net/rfc792.html and http://www.cymru.com/Documents/icmp-messages.html.