What is a virtual CPA?

A virtual CPA provides the same services as a traditional CPA firm — tax preparation, bookkeeping, audits, financial planning — but delivers them remotely using secure cloud technology. You get expert-level service without visiting a physical office.

How much do virtual CPA services cost?

Pricing depends on the complexity of your financial situation and the services you need. We provide transparent fee estimates during your initial consultation. Virtual CPA firms typically have lower overhead than traditional firms, which translates to more competitive rates.

Do I need an audit for my nonprofit?

Many states require nonprofits to have an independent audit once they exceed certain revenue thresholds, often $500,000-$750,000. Grant-making organizations and government agencies frequently require audited financial statements. We can help determine your specific audit requirements.

What is the difference between an S-Corp and an LLC for tax purposes?

An LLC provides liability protection and pass-through taxation by default. An S-Corp election can provide additional tax savings by allowing owners to split income between salary (subject to payroll taxes) and distributions (not subject to payroll taxes). The right choice depends on your income level, business structure, and state tax laws.

What does a virtual CFO do?

A virtual CFO (fractional CFO) provides high-level financial strategy and oversight on a part-time basis — budgeting, forecasting, cash flow management, financial analysis, KPI reporting, and strategic financial planning. You get C-suite financial leadership without the full-time cost.

Can you help if I'm behind on bookkeeping or taxes?

Yes. We offer catch-up bookkeeping services to bring your books current and can help resolve back tax issues including IRS notices, unfiled returns, and payment plans.

What accounting software do you work with?

We work with QuickBooks Online, Xero, FreshBooks, Wave, and other major cloud accounting platforms. We can also help you select and set up the best software for your business.

How do I prepare for tax season?

Organize financial records throughout the year, keep receipts for business expenses, track mileage and home office usage, make quarterly estimated tax payments, and schedule a year-end tax planning session before December 31.

What is DCAA compliant accounting?

DCAA (Defense Contract Audit Agency) compliant accounting is a system that meets federal government requirements for contractors. It includes proper timekeeping, job cost accounting, indirect cost allocation, and specific internal controls required for government contract work.

Do I need a CPA or a bookkeeper?

Bookkeepers handle day-to-day recording of financial transactions. CPAs handle higher-level work — tax planning and preparation, audits, financial analysis, and strategic advice. Many businesses need both. Our firm provides both services so you have one team managing everything.

What's the difference between an audit, review, and compilation?

An audit provides the highest level of assurance through independent verification of financial statements. A review provides limited assurance through analytical procedures and inquiries. A compilation presents financial information in statement format without assurance. The right choice depends on your stakeholders' requirements.

Do you serve businesses outside the DMV area?

Yes. While our primary service area is Washington DC, Maryland, and Virginia, we serve clients nationwide through our 100% virtual model. Our cloud-based systems allow us to work with businesses anywhere in the United States.

Can both CPAs and enrolled agents represent me before the IRS?

Yes, both CPAs and enrolled agents have unlimited representation rights before the IRS under Circular 230. They can represent you in audits, appeals, collections, and other matters. Tax attorneys also have representation rights. For IRS-only matters like installment agreements or audit representation, either a CPA or EA can help effectively.

When should I hire a CPA instead of an enrolled agent?

Choose a CPA when you need services beyond tax representation: financial statement preparation or review, audited financials for lenders or investors, business accounting, fractional CFO services, or comprehensive financial planning. If your needs are purely tax-related — preparing returns, resolving IRS issues, planning tax strategies — an enrolled agent may also serve you well.

Are CPAs or enrolled agents better for IRS audit representation?

Both are equally authorized to represent you before the IRS in an audit. The key is experience with your specific audit type and situation, not credential type. A CPA with IRS audit representation experience is equally effective as an EA with the same experience.

Do EAs or CPAs cost more?

CPAs typically charge more — $150–$400/hour vs. $100–$250/hour for EAs in the DC/MD/VA area — because CPA licensure requires more education and covers a broader scope of services. For pure tax work, an EA may offer more cost-effective rates. For complex business situations requiring accounting and tax expertise, a CPA provides more comprehensive value.

Can an enrolled agent do bookkeeping or financial statements?

No. Enrolled agents are limited to tax practice. They cannot prepare financial statements, perform reviews or audits, or provide accounting services. If you need bookkeeping, financial statement preparation, or audited financials alongside tax services, you need a CPA.

How do I verify someone's CPA license in DC, Maryland, or Virginia?

DC: dslbd.dc.gov; Maryland: labor.maryland.gov/licensing/mboa; Virginia: boa.virginia.gov. All three state boards maintain online license verification tools. Verify that the license is active and in good standing before engaging any CPA.

Last Updated: May 2026

CPA vs. Enrolled Agent

Both CPAs and enrolled agents can handle your taxes and represent you before the IRS. Here's what separates them — and how to choose the right professional for your situation in DC, Maryland, or Virginia.

What is the difference between a CPA and an enrolled agent?

A CPA (Certified Public Accountant) is licensed by a state board after passing a rigorous 4-part exam and meeting education requirements. An enrolled agent (EA) is federally licensed by the IRS after passing a 3-part exam. Both can represent you before the IRS, but only a CPA can perform audits, attest to financial statements, and provide accounting services beyond tax work.

Key Definitions

Certified Public Accountant (CPA): A CPA is a licensed accounting professional who has passed the Uniform CPA Examination, met state education and experience requirements, and holds a license from a state board of accountancy to provide accounting, auditing, tax, and advisory services.

Enrolled Agent (EA): An enrolled agent is a federally licensed tax practitioner who has passed the IRS Special Enrollment Examination and has unlimited rights to represent taxpayers before the IRS in all administrative matters.

CPA vs. Enrolled Agent: Key Differences

Feature	CPA (Certified Public Accountant)	Enrolled Agent (EA)
License issued by	State board of accountancy	IRS (federal license)
Education required	150 credit hours + bachelor's degree	No formal education requirement
Exam	CPA Exam (4 parts)	IRS Special Enrollment Exam (3 parts)
IRS representation rights
Financial statement preparation
Auditing & attestation
Tax return preparation
Business accounting & CFO services
State tax representation		Limited
Typical hourly rate (DC/MD/VA)	$150–$400/hr	$100–$250/hr

When Each Credential Is the Right Fit

Choose a CPA When You Need:

Financial statement preparation, review, or audit services
GAAP-compliant financials for lenders, investors, or board reporting
Fractional CFO or business advisory services
Comprehensive tax planning integrated with your business accounting
Representation in state tax matters (EAs have limited state authority)
Government contractor compliance (DCAA, FAR accounting requirements)

An Enrolled Agent May Be Sufficient When You Need:

Federal tax return preparation only (personal or business)
IRS audit representation or appeals
Offer in compromise, installment agreement negotiation
Penalty abatement requests
Tax resolution services for IRS collections issues

IRS Circular 230: Both Are Federally Authorized

IRS Circular 230 governs practitioners who represent taxpayers before the IRS. Both CPAs and enrolled agents are Circular 230 practitioners with unlimited representation rights — meaning either can represent you in any IRS administrative proceeding, including audits, appeals, and collections. The difference lies in what they can do beyond IRS work.

Frequently Asked Questions

Related Services

Tax Preparation|Audit Services|Virtual CFO|IRS Representation

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