Number of Tax Preparation Services Businesses in the US (20002023)

As of 2023

104,020

tax preparation services businesses in the United States

Number of Firms Over Time

77K86K96K105K115K20002005201020152020Number of Firms

Total Employment Over Time

1.0M1.1M1.3M1.4M1.5M20002005201020152020Total Employees

Key Insights

  • The tax preparation services industry has grown 21.9% since 2000 (from 85,299 to 104,020 firms).
  • The peak year was 2021 with 104,449 firms.
  • Recent trend (last 5 years): the industry is growing (+4.5%).
  • Employment: 1,353,862 workers in 2023 (14.8% change since 2000).
  • Estimated 5-year survival rate: 62%.

Year-by-Year Data

YearFirmsEstablishmentsEmploymentEntry RateExit RateNet Growth
2023104,020120,0021,353,8629.7%9.2%+4.2%
2022103,722119,4031,229,84610.1%14.1%+4.9%
2021104,449124,2631,175,85810.5%8.4%-0.4%
2020101,499121,3811,182,0069.7%8.1%+2.3%
201999,574119,4331,157,0728.0%8.0%+0.7%
201899,350119,3741,149,8698.4%8.0%+0.4%
201799,445118,9561,148,4887.9%8.0%-0.6%
201699,550119,4291,251,1898.4%8.3%+1.2%
201599,214119,2491,344,1438.6%8.0%+5.0%
201499,178118,5311,281,51811.8%8.4%+5.2%

Source: U.S. Census Bureau, Business Dynamics Statistics (BDS). Entry/exit rates refer to establishment openings and closings.