Accounting
How to evaluate AI solutions for tax
To get through the 2025 tax filing season and prepare for potential federal tax policy shifts ahead, many tax professionals are assessing their positions and implementing the latest tech tools, including those powered by artificial intelligence. After all, AI is a groundbreaking technology that can knock out hours — or even weeks — of work in mere seconds.
In today’s fast-moving environment, this technology is helping practitioners and tax team leaders mitigate risk and go beyond compliance to transform every task in their workflows, from data management to research to complex calculations.
For tax professionals considering AI-powered solutions, accuracy, integration and industry specificity are critical factors to evaluate. Below are three key considerations to identify the best AI tools for your needs, empowering you to enhance workflows and mitigate compliance risks.
1. Is the tool trustworthy?
Generative AI is only as good as the data behind it. Solutions that aren’t grounded in authoritative data may be more risky than they’re worth.
Accuracy and reliability are non-negotiable in the tax profession. These high stakes demand AI solutions rooted in authoritative data and transparent methodologies. Many AI tools leverage expansive data sets for their operations, but as the “black box” problem persists in much of generative AI, not all outputs are equally credible or verifiable.
Traditional large language models, such as ChatGPT or similar tools, often rely on unverified, web-based content. While these technologies excel in parsing natural language, they may produce outputs that lack traceability or certainty, which is a significant downside for tax practitioners who must ensure compliance down to the last detail.
To evaluate an AI tool’s trustworthiness, ask these questions:
- Does the tool rely on credible, authoritative content sources?
- Can outputs be traced back to their origins with clear documentation?
- Are safeguards in place to mitigate errors like hallucinations (plausible-sounding, but incorrect answers)?
Selecting an AI-powered solution built around authoritative, industry-specific data reduces these risks and supports better decision-making. While the technology matures, tools with embedded guardrails and continuous evaluation protocols provide peace of mind for professionals navigating the complex tax landscape.
You will want a solution built on sound standards to evaluate the accuracy and quality of AI output in sound and reproducible ways. With the assistance of tax professionals, such solutions can help evaluate the accuracy of their generative AI at all phases — from development and early internal testing to the beta environment and customer testing, and onward throughout the life of the product.
2. Is the tool specifically built for tax professionals?
It’s important to look for a tool that can help with real-world tax challenges. General-purpose AI tools may offer innovative functionalities, but in the tax world, industry alignment is key. Tax professionals face unique challenges, from interpreting dense regulatory changes to providing precise calculations. A one-size-fits-all AI assistant may fall short of delivering the nuanced and practical solutions needed for tax-specific applications, such as:
- Researching and interpreting regulations specific to various jurisdictions;
- Automating calculation-heavy processes; and
- Generating insights and supplying data in formats aligned with pre-existing workflows.
Solutions that actively involve users in their development, from beta testing to offering configurable options, are more likely to succeed. Transparency also plays a key role. AI systems that allow you to verify sources or citations for generated responses foster trust and ensure compliance-ready accuracy.
When reviewing potential AI solutions, look for those that prioritize user collaboration and extensive feedback collection. Building tools with the practitioner’s voice in mind makes integrating these technologies as seamless as possible.
3. Does the tool easily integrate into your workflow?
AI has been around for years, but recent advancements have led to increased adoption and workflow transformation in various industries — including tax.
So, if you’re currently spending hours on tedious tasks that a trusted AI-powered tool could complete in seconds, such as summarizing dense tax research, consider a tool that can help you work more efficiently so you can focus on higher-level work that could have big benefits for your career — and your enterprise. And when you consider an AI-powered tool, make sure it’s an integrated option that offers easy onboarding with limited disruptions. Features to look for include:
- Embedded AI capabilities within commonly used platforms like spreadsheets, data management tools or tax research databases.
- Automated processes, such as the ability to summarize legal updates, list compliance actions, or format reporting templates without manual intervention.
- Adaptability for users with varying technology experience, enabling your entire team to benefit from the solution.
A bright future for AI solutions for tax
These are just a few things to consider when evaluating an integrated AI-powered tax tool. As AI technology continues to evolve, exciting new tools will soon bring more ways for professionals to go beyond compliance, become more strategic, and gain a solid competitive advantage. So, understanding the power and potential of AI, and knowing how to evaluate the best tool for your needs, will be essential in the modern workplace.
And when you know how to best evaluate and leverage these tech tools, you can be better positioned to stay ahead of the challenges that lie ahead.
Aprio, a Top 25 Firm based in Atlanta, has acquired JMS Advisory Group, a firm that specializes in unclaimed property compliance and escheat process development, also based in Atlanta
Financial terms of the deal were not disclosed. Aprio ranked No. 24 on Accounting Today’s just released
JMS was founded in 2006 and helps clients mitigate risk and capitalize on opportunities through managed unclaimed property compliance. The team includes attorneys, CPAs, CFEs and others.
JMS has a wide range of clients, including enterprise companies, financial institutions, credit unions, insurance companies, hospitality and health care organizations.
“As Aprio continues its rapid growth, we are committed to expanding our services to meet the evolving needs of our clients,” said Aprio CEO Richard Kopelman in a statement Tuesday. “The addition of JMS gives us the opportunity to continue strengthening our position as a future-focused advisory firm. JMS’s focus on escheat management and asset recovery not only enhances our current capabilities but also allows us to deliver even more impactful solutions to help businesses navigate complex compliance challenges.”
JMS president and CEO James Santivanez is joining Aprio as a partner and provides guidance to clients on unclaimed property and state and local tax issues.
“We created JMS to make an impact nationally in the unclaimed property consulting industry, and I’m proud of our nearly 20-year history of helping clients mitigate risk and capitalize on opportunities resulting from accurate and properly managed unclaimed property compliance,” Santivanez said in a statement. “Joining with Aprio takes us to the next level, allowing us to build upon our success while providing even greater value to our clients. This is an exciting next step in our journey.”
JMS founder and director Sherridan Santivanez is also joining Aprio as a partner. He specializes in representing clients before state enforcement authorities and managing complex audits and voluntary disclosures for some of the world’s largest companies. She provides strategic guidance on audit preparation and navigates interactions with state and third-party auditors.
Aprio received a
The American Institute of CPAs and the National Association of State Boards of Accountancy are asking for comments on their proposal for an additional pathway to CPA licensure through
The AICPA and NASBA proposed the
The UAA changes would:
- Enable states to adopt a third licensure pathway that requires earning a baccalaureate degree with an accounting concentration, completing two years of professional experience as defined by Board rule, and passing the Uniform CPA Examination;
- Shift to an “individual-based” mobility model, which allows CPAs to practice in other states with just one license; and
- Add safe harbor language to ensure CPAs who meet existing licensure requirements preserve practice privileges.
The proposals come as several states are already moving forward with their own changes, including
The updates reflect feedback gathered during a late 2024 exposure draft period and forward-looking solutions being advanced by state CPA societies and boards of accountancy to increase flexibility for licensure candidates while maintaining the integrity of the CPA license.
The AICPA and NASBA are asking for comments on the proposed changes by May 3, 2025. They can be submitted through this
The UAA offers state legislatures and boards of accountancy a national model they can adopt in full or in part to meet the licensure needs of each jurisdiction.
The proposal would maintain the current two pathways to CPA licensure:
- Earning a post baccalaureate degree with an accounting concentration, completing one year of professional experience as defined by Board rule, and passing the CPA exam; and,
- Earning a baccalaureate degree with an accounting concentration, plus an additional 30 semester credit hours , completing one year of professional experience as defined by Board rule, and passing the CPA exam.
Small business employment held steady last month, according to payroll company Paychex, while wage growth continued below 3%
The
“Our employment data continues to show moderate job growth and wage growth below three percent,” said Paychex president and CEO John Gibson in a statement Tuesday. “The consistent long-term trend we’re seeing is a small business labor market that is resilient and stable with little job movement among workers. At the same time, small business owners are optimistic about future business conditions despite uncertainty about how to adapt to a rapidly evolving legislative and regulatory landscape.”
The Midwest remained the top region in the country for the ninth consecutive month with a jobs index level of 100.54. Seven of the 20 states analyzed gained more than one percentage point in February, led by Texas (up 2.11 percentage points).
Phoenix (101.92) increased its rate of small business job growth for the fourth month in a row in February to rank first among the largest U.S. metros.
Construction (3.29%) regained its top spot among industries in terms of hourly earnings growth in February, followed closely by “other services” (3.27%) and manufacturing (3.21%).
The pace of job growth in manufacturing gained 2.39 percentage points to 99.52 in February, the industry’s biggest one-month increase since April 2021.
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