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CPA

Guidance on choosing, working with, and understanding Certified Public Accountants

AI Bookkeeper vs. Human Accountant: Cost Comparison and When Each Makes Sense
·mike

AI Bookkeeper vs. Human Accountant: Cost Comparison and When Each Makes Sense

Compare AI accounting software costs against hiring a bookkeeper or CPA for 2026—including accuracy, tax strategy, and the hybrid model that saves $12,000–$48,000 annually.

bookkeeping
ai
small-business
The IRS's First AI Rules for Tax Preparers: What Circular 230 Alert 2026-19 Means for Your Business
·mike

The IRS's First AI Rules for Tax Preparers: What Circular 230 Alert 2026-19 Means for Your Business

On June 24, 2026, the IRS Office of Professional Responsibility issued Alert 2026-19, its first guidance on AI under Circular 230. It requires human review of AI output, technological competence, secure handling of client data, written firm AI policies, and fees that reflect AI-driven time savings — here's what small business owners should ask their preparer.

tax
tax-compliance
tax-preparation
QuickBooks Turns Off Intuit Expert Upsells for Accountant-Attached Clients: What Changed on July 29, 2026
·mike

QuickBooks Turns Off Intuit Expert Upsells for Accountant-Attached Clients: What Changed on July 29, 2026

As of July 29, 2026, Intuit disabled Expert services by default and suppressed upsell prompts for every accountant-attached QuickBooks Online file, giving firms role-based controls and read-only Expert Hub visibility. Here is what changed, why accountant backlash forced the reversal, and what business owners should check in their own files.

quickbooks
accounting-software
bookkeeping
CLA and Digits Are Training an AI on Their Clients' Books: What Firm-Built AI Bookkeeping Means for Your Small Business
·mike

CLA and Digits Are Training an AI on Their Clients' Books: What Firm-Built AI Bookkeeping Means for Your Small Business

CLA, a top-10 U.S. accounting firm with nearly $2 billion in revenue and 9,000 people, is co-building a proprietary AI model with Digits trained on its own client base and rolling it out to thousands of clients over three years. Here is what firm-trained AI bookkeeping means for small businesses — what gets automated versus reviewed, where your data goes, how pricing shifts, and why keeping a portable plain-text copy of your books matters more as accounting goes AI-native.

ai
cpa
bookkeeping
AUSTRAC Tranche 2: What Australian Accountants and Bookkeepers Must Do Before July 29, 2026
·mike

AUSTRAC Tranche 2: What Australian Accountants and Bookkeepers Must Do Before July 29, 2026

Australia's Tranche 2 AML/CTF reforms made accountants, bookkeepers, and tax agents AUSTRAC reporting entities on July 1, 2026, with enrollment due by July 29. Here are the nine designated services that trigger the obligation, what the enrollment form requires, and the penalties for missing it — up to $36.4 million per contravention for a corporation.

compliance
bookkeeping
accounting
The 150-Hour Rule Is Cracking: What New State CPA Pathways Mean for Small Businesses
·mike

The 150-Hour Rule Is Cracking: What New State CPA Pathways Mean for Small Businesses

Roughly 42 U.S. states have passed or are advancing laws replacing the CPA 150-hour education rule with 120 hours plus experience — Ohio, Virginia, Georgia, Utah, and Iowa lead in 2026. Here's how the accountant shortage, new licensure pathways, and fractured license mobility affect who small businesses can hire.

cpa
small-business
accounting
The Enrolled Agent Exam's 2026 Overhaul: PSI Replaces Prometric, and the Total Cost Rises to $317 Per Part
·mike

The Enrolled Agent Exam's 2026 Overhaul: PSI Replaces Prometric, and the Total Cost Rises to $317 Per Part

The IRS cut its Enrolled Agent exam fee from $99 to $66 per part in 2026, but new vendor PSI charges $251 versus Prometric's $168 — raising the total to $317 per part. The switch also brings a March–June testing blackout, a 200–800 scoring scale, and first-time remote proctoring for U.S. candidates.

tax
tax-preparation
cpa
PCAOB AS 1215: The New 14-Day Audit Documentation Deadline and What It Means for Small Firms
·mike

PCAOB AS 1215: The New 14-Day Audit Documentation Deadline and What It Means for Small Firms

PCAOB AS 1215 cuts the audit documentation completion window from 45 days to 14 after the report release date. Large firms have complied since fiscal years beginning December 15, 2024; all other registered firms follow for fiscal years beginning December 15, 2025 — meaning most calendar-year 2026 audits are already covered. Here's who's affected, the mistakes firms keep making, and how small practices are adapting.

audit
compliance
cpa
PCAOB Bars Auditor Jennifer Crofoot Over Skipped Engagement Quality Reviews: What It Teaches You About Vetting an Audit Firm
·mike

PCAOB Bars Auditor Jennifer Crofoot Over Skipped Engagement Quality Reviews: What It Teaches You About Vetting an Audit Firm

In December 2025 the PCAOB barred CPA Jennifer Crofoot for at least three years and fined Fruci & Associates $50,000 after four public-company audits were released without the mandatory engagement quality review under AS 1220. Here is what the second-reviewer requirement actually protects against, and five concrete questions to ask before relying on any firm's audit opinion.

audit
cpa
compliance
PCAOB Bars Zwick CPA Over Fabricated Genie Energy Workpapers: What Audit Quality Failures Mean for Small Businesses
·mike

PCAOB Bars Zwick CPA Over Fabricated Genie Energy Workpapers: What Audit Quality Failures Mean for Small Businesses

The PCAOB revoked Zwick CPA's registration and fined the firm $50,000 after finding its 2022 Genie Energy audit relied on the predecessor auditor's recycled workpapers with swapped names and fabricated documentation. With 61% aggregate deficiency rates at triennially inspected firms, here's how small businesses can vet the audits they rely on — and keep their own books diligence-ready.

audit
cpa
fraud-prevention
One Missing Sentence Cost a Donor a $4.4 Million Charitable Deduction — What Wells v. Commissioner Requires of Your Acknowledgment Letter
·mike

One Missing Sentence Cost a Donor a $4.4 Million Charitable Deduction — What Wells v. Commissioner Requires of Your Acknowledgment Letter

In Wells v. Commissioner (2026), the Tax Court disallowed a $4.42 million charitable deduction for donated real estate because the charity's acknowledgment letter was undated and never stated whether the donors received goods or services in return — Section 170(f)(8) demands strict, not substantial, compliance. The 20% accuracy penalty was abated only because the donors documented good-faith reliance on their CPA.

charitable-giving
tax-deductions
tax-compliance
Why Every CPA Firm Needs a Written AI Policy Before the Next Staff Member Uses ChatGPT
·mike

Why Every CPA Firm Needs a Written AI Policy Before the Next Staff Member Uses ChatGPT

73% of accounting firms now use AI tools but only 37% have any formal AI training, and staff pasting client data into consumer chatbots can trigger data breach notification duties under the AICPA's Confidential Client Information Rule — here is what a usable two-page AI policy for a small CPA firm actually covers.

cpa
ai
compliance
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