Profession-specific playbook Current
Operating playbook for US accounting firms: what genuinely applies today
There is no single unified federal AML regime for US accountants. Here is what genuinely does apply, and what to check yourself.
Some other countries run one national AML/CDD regime that directly covers accounting firms. The United States does not. This playbook sets out what genuinely applies to a US accounting firm today, and is explicit about the gap so you can confirm your own firm's state-specific obligations rather than assume a rule that doesn't exist. It is general information, not legal or compliance advice.
Action plan
1 Know that no single federal AML regime directly covers US accounting firms This is the single most important thing to get right before reading anything else in this playbook.
The United States has no equivalent of a single federal AML/CDD law that applies to accounting firms generally the way some other countries' regimes do. What genuinely applies is narrower and more specific: FinCEN's Corporate Transparency Act reporting rule for non-exempt foreign entities, IRS Circular 230's diligence and recordkeeping standard for practitioners before the IRS, and your own state's CPA board ethics rules. The CTA rule is not a general identity-collection or AML-program mandate for every accounting firm or client.
- Don't assume a single federal AML program applies to your firm the way it might elsewhere
- Treat FinCEN CTA assistance, IRS Circular 230, and your state CPA board rules as three separate, genuine obligations
- Confirm your own state's specific requirements directly, since they are not federally unified
Done when: Your firm's compliance picture reflects the three genuine obligations below, not an assumed unified federal AML regime
FinCEN: Beneficial Ownership Information2 Apply the final rule only to the specific foreign entities that remain in scope The U.S.-company exemption, foreign-company test, and U.S.-person relief answer different questions.
U.S. companies are exempt from BOI reporting requirements. A potential foreign reporting company is formed under the law of a foreign country and registered to do business in any U.S. State or Tribal jurisdiction by filing with a secretary of state or similar office, and is not otherwise exempt. Reporting companies do not need to report BOI for U.S. person beneficial owners or U.S. person company applicants. U.S. persons do not need to provide BOI to reporting companies where they are beneficial owners or company applicants. If your firm assists a client, first check the entity's own status, then apply the separate limits on which individuals' information is reportable.
- Confirm foreign formation, U.S. registration, and any other applicable exemption
- Do not request BOI from a U.S.-person beneficial owner or company applicant for a company report
- Recheck official guidance when entity facts or the rule change; the final rule is already in effect
Done when: Any CTA-related client assistance is limited to a non-exempt foreign reporting company and excludes U.S.-person BOI
FinCEN: Final Rule Questions and Answers3 Apply Circular 230's diligence and recordkeeping standard to your practice before the IRS This is a genuine, currently enforced federal standard, distinct from any AML regime.
Circular 230, the IRS's regulations governing practice before the IRS, establishes standards of competency, diligence, and other ethical behaviour for attorneys, certified public accountants, and enrolled agents. Build documented due diligence into how your firm prepares and reviews returns and other IRS submissions, since that documentation is the practical evidence of having met the standard.
- Apply Circular 230's diligence standard to preparing, reviewing, and filing IRS submissions
- Document the basis for a position taken, not just the position itself
- Confirm which of your staff are directly subject to Circular 230's jurisdiction
Done when: Circular 230's diligence and documentation standard is being applied to IRS-facing work your firm performs
IRS: Office of Professional Responsibility and Circular 2304 Confirm your own state CPA board's ethics and recordkeeping rules State CPA board requirements fill part of the gap a single federal regime would otherwise cover, and they vary by state.
Because there is no single federal AML program for US accountants, your state's own CPA board rules on ethics, client records, and professional conduct carry real practical weight. Confirm the specific rules your state board has adopted, since they are not uniform across states, rather than assuming your firm's home-state rule applies everywhere it operates.
- Look up your own state CPA board's specific ethics and recordkeeping rules
- Check separately if your firm operates in, or serves clients in, more than one state
- Don't assume another state's published rule applies to your own practice
Done when: Your firm's practice reflects the specific ethics and recordkeeping rules your own state CPA board has adopted
Designated services
Corporate Transparency Act
Assisting a client with beneficial ownership reporting
If a firm agrees to support a client whose entity is a non-exempt foreign reporting company, keep the work tied to that company's current filing and the information that remains reportable. This client-support workflow does not itself create a single AML program requirement for U.S. accountants or a blanket BOI request for every client.
IRS practice
Tax return preparation and representation before the IRS
Preparing, reviewing, and filing returns or other IRS submissions falls under Circular 230's diligence and recordkeeping standard, distinct from any AML framework.
State-level compliance
State CPA board ethics and recordkeeping compliance
Each state's CPA board sets its own ethics and recordkeeping rules. Confirming the specific rule your state has adopted is a genuine, real obligation, even though it isn't federally unified.