What kind of CPA do you need?
CPAs specialize. A CPA who files hundreds of individual returns may never have run a 401(k) plan audit or a DCAA accounting system review. Start with the type of work you need, then use the guide for that type.
- Small business CPALLC, S corp and partnership returns, planning, IRS notices
- Real estate investor CPARentals, depreciation, passive loss rules, 1031 exchanges
- E-commerce CPAMarketplace payouts, inventory, sales tax nexus, 1099-K
- Startup and SaaS CPAC corp returns, R&D credit, equity, investor-ready financials
- Government contractor CPADCAA-ready accounting systems, indirect rates, FAR cost rules
- HOA and condo auditorAssociation audits, reviews and reserve disclosures
- 401(k) plan auditorEmployee benefit plan audits for Form 5500
- SOC 2 auditorSOC 2 Type 1 and Type 2 examinations
- Tax resolution CPABack taxes, IRS notices, payment plans, representation
- CPA for doctors and dentistsPractice entities, owner pay, high-income planning
- CPA for law firmsTrust accounting, partner returns, multi-state filings
- Fractional CFOForecasts, board reporting, fundraising and lender support
- CPA letterIncome or self-employment verification for lenders
- Nonprofit auditorFinancial statement audits, Single Audits and Yellow Book
How to verify any CPA in 2 minutes
- Look up the license on CPAverify. CPAverify, run by NASBA, is a free search of CPAs and CPA firms built from official state board data. It shows license status, type, dates and the issuing state, and flags reported disciplinary actions.
- Check the state board if needed. Not every state takes part in CPAverify, and discipline detail varies. Find any state’s board of accountancy through NASBA’s state board directory.
- For audits, reviews or SOC reports, check peer review. Firms that do this work must go through peer review. Search the firm in the AICPA Peer Review public file and ask for the latest report.
- For tax work, check IRS credentials. The IRS Directory of Federal Tax Return Preparers lists CPAs, enrolled agents, attorneys and Annual Filing Season Program participants with a PTIN. A listing is not an IRS endorsement. The IRS also explains how to choose a tax professional and how to verify an enrolled agent.
Public company and broker-dealer audits need a PCAOB-registered firm. Private companies, nonprofits, HOAs and 401(k) plans do not.
Questions to ask a CPA before hiring
- What share of your clients look like me (entity type, size, industry)?
- Is your license active, and in which state is the firm registered?
- Who will prepare my work, who reviews it, and does a CPA sign it?
- Can you represent me before the IRS and state tax agencies if a notice arrives?
- Is this year-round work or only filing season? When will we meet?
- What do you need from me, how often, and how do I send it?
- How do you communicate, and how fast do you usually respond?
- How are fees set, and will I get the scope and fee in an engagement letter?
- For audits or SOC work: may I see your latest peer review report?
- What happens if my needs grow, such as a new state, an audit or a sale?
Free checklist
CPA Hiring Scorecard
CPA red flags
- No license you can find on CPAverify or the state board, or a firm name that does not match the license.
- A fee based on the size of your refund, or promises of a specific refund or savings before reviewing your records.
- Refuses to sign the return or asks you to sign a blank or incomplete return. The IRS warns against both.
- No engagement letter, or scope and fees that stay vague.
- For audits: no peer review, or no experience with entities like yours.
Virtual CPA vs local CPA
What matters is the license, the experience and the responsiveness, not the distance to the office. Much of the work today happens through shared documents, e-signatures and video calls either way. A virtual CPA firm can be a good fit when you need specialized experience your area lacks, or when you have filings in more than one state. For the trade-offs, see virtual CPA vs local CPA.
Why clients choose Your Virtual CPA
- Licensed CPA firm. Tax, accounting and audit work by licensed CPAs, verifiable on CPAverify.
- Virtual, nationwide. We work with individuals, businesses and nonprofits nationwide.
- Range of services. Tax preparation, tax planning, bookkeeping, fractional CFO and audit and assurance.
- Transparent fees. Scope and fees quoted upfront, in writing, before work starts.
- Free initial consultation. Talk to a CPA before you decide.
How it works with us
Best for: anyone who wants a licensed CPA firm with experience in their specific situation, wherever they are in the country.
- Free initial consultation. Tell us what you need and what is not working today.
- Fees quoted upfront, in writing. Scope and fees in an engagement letter before work starts.
- Onboarding. We gather prior returns, financials and access to your systems.
- The work. Your CPA team delivers the returns, books, plan or audit agreed in the letter.
- Ongoing. Regular check-ins and planning through the year.
CPA vs enrolled agent vs tax preparer vs bookkeeper vs fractional CFO
| CPA | Enrolled agent | Tax preparer (no credential or AFSP) | Bookkeeper | Fractional CFO | |
|---|---|---|---|---|---|
| Licensed or credentialed by | State board of accountancy | IRS | No license; AFSP is a voluntary IRS program | No license required | No license required; may or may not be a CPA |
| Represent you before the IRS | Unlimited | Unlimited | AFSP: limited, for returns they prepared; otherwise none | No | Only if also a CPA, EA or attorney |
| Sign audit, review or SOC reports | Yes, through a licensed, peer-reviewed CPA firm | No | No | No | No |
| Typical work | Tax, planning, accounting, audits | Tax returns and IRS matters | Tax returns | Recording transactions, reconciliations | Forecasts, reporting, strategy |
| How to verify | CPAverify or state board | IRS EA verification or IRS preparer directory | IRS preparer directory (AFSP) | References | CPAverify if they say they are a CPA |
Expert CPAs. Personal attention.
Not sure which kind of CPA you need? Request a free initial consultation and talk to a CPA about your situation.
Frequently asked questions
Start with the kind of work you need, such as business tax, an audit or IRS representation, and look for a CPA who does that work regularly. Confirm the license on CPAverify or your state board, ask who prepares and reviews your work, and get the scope and fee in an engagement letter before anything starts.
Search the CPA or firm by name on NASBA’s CPAverify at cpaverify.org, which draws on official state board data. If a state does not take part, use that state’s board of accountancy, which you can find through nasba.org/stateboards. For audit, review or SOC work, also look up the firm in the AICPA Peer Review public file.
Ask how much of their work is for clients like you, who will prepare and review your work, whether a CPA signs it, whether they can represent you before the IRS, how they communicate during the year, what they need from you, and how fees are set. The full list of questions is on this page.
A CPA is licensed by a state board of accountancy and can do tax work, accounting and attest work such as audits. An enrolled agent is credentialed by the IRS and focuses on tax. Both have unlimited rights to represent taxpayers before the IRS. Only a licensed CPA firm can issue audit, review or SOC reports.
A tax preparer without a credential can prepare returns but has limited or no right to represent you before the IRS. If you own a business, have multi-state filings, need planning, or are dealing with the IRS, a CPA or enrolled agent is usually the better fit. You can check credentials in the IRS directory of tax return preparers.
You need a licensed CPA firm that performs audits in your industry and has a current peer review. A nonprofit, HOA or 401(k) plan does not need a PCAOB-registered firm; that applies to public companies and broker-dealers. Ask for the firm’s latest peer review report and its experience with audits like yours.
Often yes. Many clients work with a CPA firm in another state, and CPA licensing rules address practice across state lines. Some services, especially audits, can carry extra firm registration requirements in the client’s state, so ask the firm how it handles yours. Your Virtual CPA works with clients nationwide.
It depends on the service, the complexity of your situation and how organized your records are. Ask for the scope and fee in writing before work starts. Your Virtual CPA quotes transparent fees upfront, in writing, after a free initial consultation.
Sources
- NASBA CPAverify: CPA and firm license lookup
- NASBA: State boards of accountancy directory
- AICPA Peer Review public file search
- IRS: Choosing a tax professional
- IRS: Annual Filing Season Program
- IRS: Verify the status of an enrolled agent
- Treasury Circular 230 (31 CFR Part 10)
General information as of October 20, 2026. Tax rules change; talk to a CPA about your situation.