The accounting industry is facing growing complexity due to evolving regulations (e.g., global and state tax updates) and changing global reporting frameworks, while simultaneously trying to keep up with rapid technological change. In just a short period of time, AI has become embedded into existing tax and audit software, as well as used in new, standalone generative AI tools. As a result, accountants are left trying to understand how best to use, evaluate and defend them.
When researched and implemented appropriately, AI has potential to positively accelerate the excellence of accounting professionals. According to Accounting Today's 2026 AI Predictions research, one-third of respondents believe AI has already made meaningful change to day-to-day accounting work, and 43% believe meaningful change is coming within the next two years. This is likely why 81% of accounting professionals expect the pace of AI adoption in the profession to be much/somewhat faster over the next two years.
In this Q&A perspective article, we sat down with David Yue, co-founder and CEO at
1. First let's get a better understanding of the current accounting landscape. Are there increased complexities, or more gray areas, specifically in tax accounting that are enhancing the demand for extensive research?
We're seeing significant complexities in the accounting industry today — mostly a mix of regulatory, economic, technological and client-driven forces. Looking specifically at tax, tax codes and financial reporting standards are changing more frequently and becoming more nuanced. One of the most significant examples is the OECD's Global Minimum Tax framework, also known as Pillar Two. While this 15% tax for multinational companies may sound simple, implementation varies by country and technical guidance on how to build entirely new internal tax modeling functions is still evolving — leaving accountants uncertain on how to move forward.
This is where AI-powered research tools help, by cutting through new regulations and evolving guidance instead of leaving accountants to interpret them alone. Solutions like Accordance, an AI-native tax research platform founded in 2023, enable firms to navigate growing tax complexity, reduce research time, enhance answer quality and maintain defensibility and compliance. While the company initially focused on tax-specific research, its capabilities have proven valuable across audit, assurance and advisory services as well.
2. With this messiness, what challenges are accountants experiencing when they don't have access to responsive and modern research platforms?
Consider the example of the traditional keyword-based tools accountants may be using, which can be slow and fragmented, forcing users to manually sift through dense code sections, IRS guidance, court cases and state rulings. This not only reduces productivity but increases the risk of overlooking critical updates or subtle interpretations. Without modern research platforms, firms also struggle to properly document their research trail, adding audit risk.
Firms also face talent and client experience risks. Amid an industry-wide talent shortage, firms that lag in adopting modern technology may struggle to attract and retain top professionals. Junior staff must navigate increasingly complex tax laws, making up-to-date research tools critical to shorten learning curves and improve consistency. At the same time, clients expect faster responses and more proactive insight in today's AI-driven environment. Firms relying on outdated research systems may find it difficult to keep pace, putting added pressure on teams and potentially affecting competitiveness.
3. How are AI-powered solutions helping with accounting research? Further, why are agentic AI-native solutions, like Accordance, taking things up a notch?
AI-powered solutions are transforming accounting research by enabling professionals to ask complex questions in natural language and receive structured, authority-backed responses. Instead of relying solely on manual searches and fragmented databases, these systems analyze large volumes of statutes, standards, guidance and case law to surface relevant insights and highlight connections across sources. Agentic AI-native solutions, like Accordance, go a step further by reasoning with the actual facts of the engagement, not a generic version of the question. A tax question in isolation is just a hypothetical. The same question paired with the client's entity structure, prior returns and the controlling Code section becomes a research problem with a real, defensible answer. That means pulling in three things at once: the facts of the engagement, the primary authority that governs it and the firm's own prior work on similar issues, memos, research notes and past positions that would otherwise sit unused in a folder no one opens. Most tools built on general-purpose models have no way to surface that material. Accordance is purpose-built to bring all three together, not added onto a legacy platform. The result is less technical debt — the long-term costs associated with a quick or temporary solution rather than a more sustainable and business-appropriate one — and a more transparent, defensible and efficient research process that reduces risk and empowers firms to operate at a more strategic level.
4. What standards and requirements should accountants look for when it comes to the accuracy of AI-powered research platforms?
When evaluating AI-powered research platforms, accountants should prioritize accuracy, transparency and defensibility. Solutions should be grounded in authoritative primary sources — such as statutes, regulations, rulings and court cases — and provide clear citations for every conclusion. Platforms should also provide explained reasoning rather than unsupported summaries, along with regular content updates, strong data governance and rigorous quality controls. Just as importantly, the system should be purpose-built for accounting, not adapted from a general-purpose model.
Accordance aligns with these standards. Its research process is grounded in authoritative primary sources with structured citation at every step, reducing the risk of irrelevant or hallucinated outputs. By providing clear, citation-backed analysis that follows the way accountants naturally research issues, Accordance helps firms have confidence in accurate, well-supported and audit-ready conclusions.
5. Accountants also want to know that a solution doesn't open their firm and processes to more risk. How can they ensure an AI-powered research platform is compliant and secure, and trust the information the platform is providing?
From a security standpoint, firms should look for enterprise-grade safeguards, including encryption, role-based access controls, clear data retention policies and strong data governance. Platforms should align with professional and regulatory standards by maintaining up-to-date authoritative content, providing citation-backed answers and supporting defensible documentation. Transparency is also critical — systems should clearly show their reasoning and link directly to underlying authority.
Accordance meets these expectations through a multi-layered security framework built for accounting professionals. It uses encryption, secure cloud infrastructure, granular permissions, audit trails and maintains strict policies ensuring customer data is not used to train AI models. Regular assessments and third-party audits reinforce compliance, helping firms adopt AI confidently without increasing risk.
6. What are examples of how AI-powered research platforms, like Accordance, have helped accounting firms internally with their staff, and externally with their clients?
AI-powered research platforms like Accordance are helping firms strengthen both internal operations and client service. At Sasserath & Co., research on consulting expenses went from 1 hour to 10 minutes, while complex analysis on multistate sales tax exposure went from 1.5 days to 3 hours. Finney, Neill & Company cut a 10-hour research project down to just a few hours, freeing professionals to focus more on client relationships. For solo practitioner TaxedRight LLC, the impact was immediate with an 80% reduction in research time. Not only does saving hours result in improved work-life balance, f or firms like TaxedRight working on fixed-fee pricing, time saved on research converts directly to margin.
Externally, faster, citation-backed research allows firms to respond more proactively to client questions and provide clearer guidance on complex issues. The result is a more agile, energized firm that is better equipped to meet rising client expectations.
7. How does Accordance help their customers learn and use their solution to the best of its potential and achieve ROI?
While Accordance is a premium AI solution, their customer service and proven efficiencies help support investment and ROI. One of the most strategic advantages of Accordance is its Prompt Library, which helps accountants get more value from the platform by providing pre-built, structured prompts tailored to common tax and accounting scenarios. Instead of starting from scratch, users can select from existing prompts that guide the AI to analyze specific issues, apply relevant authority and generate structured, citation-backed responses. This standardization reduces research time, minimizes variability across teams and shortens the learning curve for junior staff.
The result is faster answers, as well as more verifiable, citation-backed answers aligned with professional standards. From an ROI perspective, firms gain increased efficiency, improved knowledge sharing and greater scalability — ultimately freeing senior professionals to focus on higher-value advisory work while maintaining quality and reducing risk across engagements.
8. An accounting research solution can do more than save accountants' time. How do AI-powered research solutions allow accountants to become strategic thought partners?
By quickly synthesizing complex guidance and delivering citation-backed insights, AI-powered research platforms shift the focus from searching for information to analyzing implications and advising clients. Instead of reacting to technical questions, accountants can model scenarios, anticipate risks and provide real-time recommendations — both internally when brainstorming with co-workers and externally when counseling clients. AI tools like Accordance also surface connections across tax, audit and advisory areas, supporting more comprehensive guidance. With faster access to defensible answers, firms are better positioned to lead higher-value conversations and serve as trusted, forward-looking strategic partners rather than purely transactional providers.
About Accordance
Accordance is the frontier AI platform for world-class tax, audit, and CPA teams. The company's mission is to empower every professional to deliver excellence, enabling professionals to become the architects of tomorrow's financial world. Its technology was developed by former researchers from the Stanford Artificial Intelligence Laboratory in collaboration with industry experts, professors, and practitioners. The company was founded in 2024 and is backed by Khosla Ventures, General Catalyst, Sequoia Capital, and Menlo Ventures. Learn more at
