Will AI replace tax accountants?

BLS doesn't separate tax accountants; accountants and auditors as a whole are projected to grow 5 percent from 2025 to 2035. The Handbook says AI may automate routine tasks but that the change is not expected to reduce overall demand. See Will AI replace accountants?

How much do tax preparers make?

BLS reports a median annual wage of $54,920 for tax preparers in May 2025. Its wage survey, which excludes the self-employed, shows a mean annual wage of $60,930.

Do you need a degree to be a tax preparer?

BLS lists the typical entry-level education as a high school diploma or equivalent, with moderate-term on-the-job training.

What can AI tax software do?

Tools in the directory document extracting data from tax documents, populating 1040 and business returns in the firm's tax software, cross-checking figures against source documents and building workpaper binders. See AI tax software.

Will AI replace tax preparers? What the federal data shows

BLS projects employment of tax preparers to grow about 5 percent from 2025 to 2035, and its table of specific adjustments to the projections has no entry for the occupation. Here is the federal data, what it doesn't cover, and how AI tax preparation tools describe review.

Data. Updated October 15, 2026. By AI Accounting Vendors. 3-minute read.

Key points

Projected growth: BLS projects 100,300 tax preparer jobs in 2035, up from 95,800 in 2025: about 4,500 more, or 4.7 percent.
Openings: About 9,400 openings a year are projected over the decade.
Pay: The median annual wage was $54,920 in May 2025.
Self-employment: 17.6 percent of tax preparers were self-employed in 2025, about three times the share for accountants and auditors (5.5 percent).

The BLS numbers for tax preparers

Tax preparers (SOC code 13-2082) don't have a full Occupational Outlook Handbook profile. These figures come from BLS's projections table and its page of data for occupations not covered in detail.

Tax preparers: BLS projections, 2025 to 2035
Measure	Figure
Jobs, 2025	95,800
Projected jobs, 2035	100,300
Change, 2025 to 2035	+4,500 (+4.7%, faster than average)
Openings a year, on average	9,400
Self-employed share, 2025	17.6%
Median pay, May 2025	$54,920 a year
Typical entry-level education	High school diploma or equivalent
Typical on-the-job training	Moderate-term on-the-job training

BLS's separate wage survey counted 76,480 wage and salary tax preparer jobs in May 2025, with a mean annual wage of $60,930 (OEWS (opens in a new tab)). The survey excludes the self-employed, which is one reason its count is lower than the projections figure.

What BLS says, and doesn't say, about AI and tax preparation

Because tax preparers have no full Handbook profile, BLS publishes no written outlook for them, so there is no occupation-specific statement about AI. Its table of specific adjustments (opens in a new tab), where it records technology-driven changes for occupations such as claims adjusters, insurance underwriters and loan officers, has no entry for tax preparers. Tax preparers also don't appear on BLS's lists of the largest or fastest job declines.

On the government side, tax examiners and collectors, and revenue agents are projected to decline 1 percent from 2025 to 2035; BLS ties that occupation mainly to government budgets (BLS (opens in a new tab)).

A projection isn't a guarantee. AI tax tools are new, and BLS's own AI factsheet says the uncertainty about AI's potential impacts "remains very high."

What AI tax preparation tools automate

AI tax tools read source documents such as W-2s, 1099s and K-1s, populate returns in the firm's tax software, and flag mismatches for a reviewer. Here is how the tax preparation tools in the directory describe review:

How AI tax preparation tools in the directory describe review (live count)
How the vendor describes review	Tools
A person reviews before output takes effect	10
Customer sets rules for what skips review	1
Processes without review by default	0
Not described by the vendor	1
Tools listed	12

What tax preparation tools document about preparing returns
Tool	What its documentation says
Black OreTax preparation	Extracts and classifies data from source documents such as W-2s, 1099s and K-1s
FiledTax preparation	Reads client source documents and populates 1040, 1065, 1120, 1120-S, 1041 and 990 returns in the firm's tax software
JunoTax preparation	Extracts data from W-2s, 1099s, K-1s and over 100 other document types, including photos and combined uploads
SurePrepTax preparation	1040SCAN extracts data from client tax documents and exports it into the firm's tax software
KeeperTax preparation	AI preparation of federal and state returns with automated checks before professional review

These tools describe a preparer or reviewer signing off. Compare them in AI tax software, and see AI tax research tools for research.

Client data comes first

Tax return preparers face federal rules on disclosing and using tax return information (26 CFR 301.7216). Before client return data goes into any AI tool, check what the rules allow and what the tool's data terms say. See AI chatbots for accounting for the general assistants' terms, and use the AI vendor questionnaire for tax software vendors.

What this means for tax preparers

Data entry from source documents is what the tools automate. Extraction and return population are what the tools above document.
Review and sign-off stay with people. The tools describe a reviewer comparing the return with source documents before filing.
Judgment and client conversations aren't in the tools' scope. Planning, positions on unclear items and explaining a return to a client remain the preparer's work.
Data handling is part of the job. Knowing what you may share with which tool is now a professional skill.

Will AI replace tax preparers?: questions

Will AI replace tax preparers?: BLS doesn't project that. It projects tax preparer jobs to grow from 95,800 in 2025 to 100,300 in 2035, about 5 percent, with 9,400 openings a year, and its table of specific adjustments to the projections has no entry for tax preparers. AI tools are taking on document extraction and return population, with a reviewer signing off.
Will AI replace tax accountants?: BLS doesn't separate tax accountants; accountants and auditors as a whole are projected to grow 5 percent from 2025 to 2035. The Handbook says AI may automate routine tasks but that the change is not expected to reduce overall demand. See Will AI replace accountants?
How much do tax preparers make?: BLS reports a median annual wage of $54,920 for tax preparers in May 2025. Its wage survey, which excludes the self-employed, shows a mean annual wage of $60,930.
Do you need a degree to be a tax preparer?: BLS lists the typical entry-level education as a high school diploma or equivalent, with moderate-term on-the-job training.
What can AI tax software do?: Tools in the directory document extracting data from tax documents, populating 1040 and business returns in the firm's tax software, cross-checking figures against source documents and building workpaper binders. See AI tax software.

Sources

Official documents read on October 15, 2026. Vendor facts are sourced on each listing.