Managing a CPA firm is a large undertaking with clients to please, deadlines to meet, and taxes to untangle. Selecting the appropriate tax software for CPA firms can ease your workload considerably, from filing returns to managing client information. It is like having a reliable aide who never tires.
This blog summarizes the leading tax software for 2025, with easy-to-use tips to assist you in selecting the right one for your practice, whether you are a solo practitioner or have a large team. We will discuss what these programs do, why they are wonderful to work with for CPAs, and how they save you time and money. Let's get started!
What is Tax Software for CPA Firms?
So, what’s tax software for CPA firms? It’s a program built to help CPAs file taxes, track client info, and stay on top of tax laws. Unlike basic tools for individuals, software handles complex returns, like business filings, sales tax, or payroll tax, and works for multiple clients at once. It’s designed to make tax season less of a headache for firms dealing with hotels, restaurants, or other businesses.
Think of it as a toolbox that automates calculations, organizes data, and file returns fast. Whether you’re a small firm or a big one, the right software keeps your work smooth and your clients happy.
Why CPAs Need Tax Software
Tax software saves CPAs time and cuts down on mistakes. Instead of manually crunching numbers or sorting through piles of client receipts, the software does the heavy lifting. It can calculate sales tax for a hotel’s bookings or handle payroll tax for restaurant staff, all while keeping up with 2025 tax rules.
For example, if you’re working with a small restaurant, the software can track tips and food costs, then file the returns without you double-checking every line. This means you can take on more clients without working late every night.
Top Tax Software Features
|
Feature |
Why It Helps Your Firm |
|
Automation |
Do calculations and filings fast. |
|
Client Management |
Tracks all client data in one place. |
|
E-Filing |
Sends returns to the IRS with one click. |
|
Integrations |
Works with tools efficiently |
This table shows the must-have features. Check it to see what your firm needs most.
Top Tax Software Options for 2025
Here’s a look at some of the best tax software for CPA firms in 2025, based on what CPAs are using and loving, according to web sources.
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UltraTax CS
This is a favorite for CPAs, with 22.6% of firms using it in a 2024 survey. It handles complex returns, like multi state business filings, and integrates with tools like TaxCaddy for client documents. The downside? It’s pricey, with custom pricing based on users and returns. Best for bigger firms needing power.
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Lacerte
Used by many CPAs, Lacerte shines for ease of use and e-filing, with 73% of users praising its simple interface in 2024. It’s great for complex returns and works well. It’s not cheap, starting at $489, but it’s a solid pick for firms with tricky clients.
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Drake Tax
A top choice for solo CPAs, with 30% of sole practitioners using it in 2024. It’s affordable, starting at $350, and 85% of users love its price. It’s great for smaller firms handling sales tax or payroll taxbut less strong on integrations.
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ProConnect Tax
Built for online users, this cloud-based tool is perfect for firms already using other softwares or other businesses. It’s affordable with Essentials plans and handles forms like 1040 or 1120. Not ideal for Forms 5500 or 706.
Each of these has its own vibe—Drake for small firms, UltraTax for big ones—so pick what fits your client load and budget.
Saving Time with Automation
Tax season is crazy, but tax software for CPA firms takes the chaos out. These tools automate calculations, like figuring sales taxfor hotel bookings or payroll tax for restaurant staff. They also pull in client data, like bank transactions, so you’re not typing everything by hand.
For example, a CPA working with a small hotel can use UltraTax CS to auto-calculate taxes and file returns in a snap. This cuts hours off your work, letting you focus on helping clients plan their finances instead of chasing numbers.
Keeping Clients Happy
Clients want their taxes done fast and right. Tax software helps you deliver by organizing client info in one spot. Tools let clients upload documents through a portal, so you’re not emailing back and forth. This is a big deal for businesses like restaurants needing servicesor hotels juggling multiple revenue streams.
The software also creates clean reports to show clients their tax situation, like how much sales tax they owe. Happy clients mean repeat business, and these tools make you look like a pro without extra effort.
Staying on Top of Tax Laws
Tax rules change every year, and 2025 is no different. Good tax software for CPA firms stays updated with the latest IRS Audits and state rules, so you don’t get caught off guard. For instance, Sites has over 5,700 forms and 25,000+ error checks to catch mistakes before you file. This is key for CPAs handling complex returns, like multi state filings for a hotel chain.
If you’re working with a restaurant, software can track payroll taxfor tipped employees and ensure compliance, saving you from costly errors.
What to Look for in Tax Software
|
Consideration |
Why It Matters |
|
Cost |
Fits your firm’s budget? |
|
Ease of Use |
Simple for you and your team? |
|
Scalability |
Grows with your client list? |
|
Support |
Help available when you’re stuck? |
This table helps you choose the right software for your firm’s size and needs.
Works with Your Other Tools
Most CPA practices utilize other software for payroll. Top tax software for CPA practices gets along with such tools. For instance, ProConnect integrates well and imports data for restaurants or small businesses without additional effort. Tools integrates to upload client documents, saving your workflow.
This integration saves time and reduces mistakes, particularly for companies managing numerous clients with sales tax or payroll tax requirements. Ensure the software is compatible with your current setup before purchasing.
Secure and Reliable
Your client’s data, like sales tax records or payroll details, is sensitive. Top tax software uses strong security, like encryption and two-factor authentication, to keep it safe. For instance, certain tools are cloud-based with bank-grade security, perfect for 2025’s cyber risks.
You can also set permissions so only the right team members see certain data. This is crucial for firms handling sensitive info for hotels or restaurants, ensuring trust and compliance.
Related Resource
- Guide to Choose From Las Vegas CPA Firms for Your Business in 2025
- How New Jersey CPA Firms Drive Business Growth and Trust
- The Future of Accounting: What Sets the Best CPA Firms Apart
Having the right tax software for CPA firms can make 2025 your most productive tax season ever. Tools save time, cut errors, and keep clients happy, whether you’re handling sales tax, payroll tax.
The Fino Partners thinks these tools are game-changers for CPAs, from solo pros to big firms. Try free trials, check integrations with tools, and pick the software that fits your firm’s size and goals. You’ll spend less time on taxes and more time growing your business.
