A new paper, based on Thomson Reuters’ recent “Future of Professionals Report”, shows tax & audit firm leaders how to address growing talent, client, and financial pressures while developing an effective AI strategy
Key insights:
-
-
-
AI is now a talent and client expectation, not a differentiator — A large majority of tax & audit professionals regularly use AI, and many employees and clients now expect their firms to have strong AI capabilities.
-
Firms need to choose a deliberate AI strategy — There are three primary paths for AI adoption, and no matter which a firm chooses, the key message is that firms should actively define their AI direction rather than delay decisions.
-
Successful AI adoption requires governance and people-focused leadership — Beyond implementing technology, tax & audit firm leaders must establish AI governance, clearly communicate strategy, and align their AI with employee needs.
-
-
As AI adoption within the tax & audit profession accelerates — 81% of professionals say they are now using AI tools regularly — firm leaders are experiencing unprecedented pressure from talent, clients, and their firm’s own financial performance, according to the recent Thomson Reuters 2026 Future of Professionals Report.
For example, retaining and recruiting top tax talent remains a critical concern in the profession, and AI has just ratcheted up the pressure even more. More than one-quarter of professionals say they would not accept a job at a firm lacking professional-grade AI, and almost 1-in-3 say they would consider leaving if their expectations for AI are not met within the next two years.
To help tax & audit firm leaders better navigate this fraught environment, Thomson Reuters has published a new action paper, Future of Professionals Report 2026: Actionable insights for tax & audit leaders, that provides practical guidance for navigating talent shortages, rising client expectations, and financial pressures, all within the context of the rapidly evolving technological environment.
You can download your copy of the 2026 Future of Professionals Report here
Many tax & audit professionals surveyed say client expectations are rising, with AI-enabled quality becoming an important criterion for retaining outside tax & audit firms. At the same time, nearly half of respondents say they feel pressure to generate financial gains from AI, while one-third say their firms have yet to adapt commercial models accordingly. If left unaddressed, these pressures can compound, the paper points out, ultimately threatening a firm’s ability to attract and retain both clients and talent.
Finding your strategic path for AI adoption
Fortunately for those tax & audit professionals who feel overwhelmed by the strictures of advanced technology, the paper identifies three primary strategic paths for AI integration that could fit your firm, including:
-
-
- Using AI to elevate by leveraging AI to handle routine tasks, freeing professionals to focus on complex, high-value advisory work. Firms adopting this path aim to deepen client relationships and command premium fees that are based on expertise rather than volume.
- Using AI to scale by focusing on productivity and using AI to increase capacity and consistency without increasing headcount. This path is particularly attractive for managing busy tax seasons and reducing recruitment strain.
- Using AI to reimagine by rethinking the firm’s entire business model. Instead of periodic compliance, firms provide clients with continuous, proactive support and real-time insights, shifting from a service provider to a strategic partner.
-
A minority of respondents say their firms are deferring strategic decisions on AI, but the paper warns that any delay carries significant risks, especially as clients and talent expectations increase.
Universal priorities for firm leaders
Regardless of their chosen path, however, the paper outlines four priorities that every firm leader needs to address in order to succeed, including:
-
-
- Govern the tools being used — More than one-third of professionals admit to using unauthorized AI tools, which greatly increases firms’ liability risks. Establishing clear governance, approving secure tools, and providing usage guidance are essential to mitigate these risks.
- Clarify the firm’s strategic direction — Firms must articulate their AI ambitions, internally and to clients, even if the path is not yet finalized. Understanding whether the goal is efficiency, expertise, or transformation can help guide decisions on tools, pricing, and hiring.
- Align AI with your professionals’ needs — Nearly half of professionals say they value work fulfillment as the primary benefit of AI, and a significant portion say they would consider leaving if their expectations go unmet. Engaging with teams to ensure AI deployment aligns with what they want is critical, whether they want more time, more complex work, or both.
- Define the role of early-career professionals — As AI automates more tasks, tax & audit firms must ensure that junior staff still receive the structured development needed to build professional judgment. Ensuring supervision before automation erodes these opportunities is vital for talent success.
-
As the paper clearly outlines, those tax & audit firm leaders that govern AI effectively, articulate a clear strategy, and invest in their people will be the ones best positioned to succeed in an increasingly AI-driven market.
You can download a full copy of the Future of Professionals Report 2026: Actionable insights for tax & audit firm leaders paper here
