The rapidly scaling startup is leveraging artificial intelligence to address acute staffing shortages in the accounting industry

MIAMI, July 1, 2024 /PRNewswire/ -- Taxfyle, the tech-enabled accounting service and workforce pioneer, today announced a suite of tools integrating the power of generative artificial intelligence (AI) into its platform. Leveraging proprietary AI automation tools has enabled Taxfyle to reduce the cost of basic 1040 preparation by 40%, improving margins while continuing to provide verification from one of the 7,200+ tax professionals using the Taxfyle platform.

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Currently, the average accountant spends about two hours preparing a tax return, but gathering data and documents from each client can take an additional eight to ten days. This extensive process often leads to burnout and limits accountants' ability to spend meaningful time with their clients. Taxfyle's AI automation streamlines this process by efficiently gathering and analyzing documents, generating necessary worksheets and backup schedules, and significantly reducing errors and workflow congestion.

Taxfyle's AI innovation includes our OCR (Optical Character Recognition), allowing accountants to scope jobs without manual input. Firms can upload bulk returns into the OCR, which reviews and prices them automatically, eliminating the need for manual work.

"It used to take a week to scope jobs, and now it takes minutes," commented Megan Weinberg, Director of Customer Success at Taxfyle. "For example, creating 5,000 jobs used to require a team of 10 employees working for three weeks. Now, one person can complete that same task in a day. This speeds up document submission and processing times. Additionally, we can quickly provide pre-quotes for clients with pricing questions."

This automation plays a critical role in building the future of accountancy, where the American Institute of Certified Public Accountants estimates that 75% of CPAs had reached retirement eligibility by 2020. Meanwhile, there are declining numbers of graduates entering the public accounting industry leading to 42% of accounting firms turning away work due to a shortage of qualified staff.

"In this time of major structural change in the accounting industry, Taxfyle's new AI offerings will bring much-needed certainty to the millions of Americans and U.S. businesses that rely on professionals to help them with their tax needs," said Richard A. Lavina, Taxfyle's Co-founder & CEO. "When handling complex tax returns, such as business and sole proprietor returns, AI is essential. We've developed a method that completes the work efficiently while simultaneously adding value for the taxpayer."

Lavina, who started his career as an accountant at PwC, was recently appointed to the boards FIU's Business School of Accounting and the Florida Institute of CPAs Scholarship Fund. Taxfyle is expecting 100% YoY revenue growth in 2024 and has ambitious plans to expand its core team of 140 employees.

About Taxfyle
Founded in 2015, Taxfyle is revolutionizing how taxpayers access professional accounting services. The company transformed professional tax preparation with an easy-to-use platform, leveraging its industry expertise and technical ingenuity to address issues in an overburdened sector. Taxfyle is committed to modernizing professional accounting services, including tax return preparation, review, consultations, and bookkeeping for individuals, small businesses, and enterprise-level clients. Recognized on the Inc. 5000 list for three consecutive years, Taxfyle continues to lead innovation in the accounting industry. Visit Taxfyle's website at taxfyle.com.

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