The real threat to tax professionals (it’s not what you think)

 

Every few months, a new round of predictions makes the rounds… and once again, “tax professionals” show up on the list of jobs supposedly headed for extinction. So should people involved in tax be worried?

 

My answer is still an emphatic NO.

 

Tax preparation

Tax preparation absolutely includes data entry, and yes, software can (and should) make that more efficient. With the ongoing shortage of accountants and tax professionals, better tools are good news. But here’s where the prediction falls apart.

 

Tax planning isn’t just math.

 

In theory, technology can comb through 80,000+ pages of tax code and produce technically correct answers in seconds. But information alone does not create a tax plan.

 

Technology hasn’t reviewed 1,000+ real tax returns WITH the actual clients behind them.
It hasn’t sat across from real clients and had real conversations.
It hasn’t navigated objections, misunderstandings, emotional decisions, or implementation breakdowns.

 

When we work with top advisors to build resources like the 37 Point Checklist for reviewing tax returns, it’s based on real-world reps – not theoretical knowledge.

 

AI tools

 

Out of curiosity, I recently asked one of these tools to create its own checklist. I gave it clear parameters:

 

  • Approach this like a financial advisor
  • Help ensure planning is reported correctly
  • Identify real tax-saving opportunities

 

The result was maybe a 50% list at best.

 

It was technically accurate.
It was incredibly broad.
It didn’t give clear scripts and ideas for implementation.

 

The biggest difference between our checklist and the generated version comes down to one question: How do you know this works in the real world?

 

It doesn’t.

 

We do – because we use it. Advisors use it. Clients benefit from it. That’s the difference between information and experience. I fully intend to keep using new tools to make parts of my job easier. Just like any other tool, it has its place.

 

37 Point Checklist on Reviewing Tax Returns

But nothing replaces real-life at-bats.

 

So whether you use our resources, someone else’s, or your own process – remember:
There are things only you can do. Spend your time there.

 

If you’d like to see what a real-world tax return review looks like, you can grab the 37 Point Checklist here.

 

Happy Tax Planning!

Steven Jarvis, CPA