Today, tax is at a turning point. Enormous issues are affecting and disrupting the industry unearthing new complexities, pressures, and opportunities.
Fremont, CA: Technology is transforming every industry. Certified Public Accountants (CPA) understand the role of technology and the legislative and demographic changes caused by it in the financial sector. CPAs have to identify and comprehend the future challenges and take steps before they happen. Thus, CPAs turn to technology to enhance their work and its procedure. Here are the ways people can understand the technological trends in the tax profession.
Robotics, artificial intelligence (AI), and business intelligence tools allow CPAs in corporates to use systems and tools that automate processes and decrease risks and errors. These technologies help CPAs focus more on strategic planning, tax information, and operations management with negligible data processing. Existing technologies such as tax software, practice management workflow tools, virtual meeting software, and document management tools are evolving. The advancement of these technologies allows CPAs to access more data and insights to serve their clients better.
Accountants analyze tax data to provide insights. However, in recent times, the amount of data available has spurred the use of big data. As the data becomes more complex, stakeholders cannot make well-informed decisions. It can derail the focus of tax professionals from long-term strategies to getting the forms filled and tax paid. Accounting firms use robotic process automation, AI, and sophisticated business intelligence tools to connect multiple data points and display excellent real-time visuals to be more streamlined, accurate, and efficient.
While technology is an excellent enabler, it cannot rival the human connection. Even though tax technology tools are vital for operations, people are still at the center of the profession. The evolution of communication technology helps CPAs nurture the relationship with the clients beyond in-office appointments. Video conferencing and virtual meetings can help CPAs communicate with clients all over the world.
The tax function is undoubtedly moved from a back-office approach to increased board involvement. This shows that new digital tax function is now evolving at a great pace. However, accountants are still lost in the spreadsheets and day-to-day compliance work. They must understand the value they can provide to their clients and businesses if they implement technologies and how they can move the firm into the future.