$13.9bn
$X.Xbn
269k
124k
$X.Xbn
Tax preparation service providers faced a positive but volatile economic environment during the current period. In the years right before the pandemic, per capita disposable income grew and more consumers had the resources to afford professional tax services. Soaring corporate profit also provided a significant revenue stream for the industry.
Industry revenue has grown at a CAGR of 3.2 % over the past five years, to reach an estimated $13.9bn in 2023.
Market size is projected to grow over the next five years.
Company | Market Share (%)
2023 | Revenue ($m)
2023 | Profit ($m)
2023 | Profit Margin (%)
2023 |
---|---|---|---|---|
Intuit Inc. | 599.1 | 120.7 | 20.1 | |
RSM US LLP | 387.0 | 203.1 | 52.5 | |
H&R Block, Inc. | 358.4 | 68.1 | 19.0 |
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Industry revenue is measured across several distinct product and services lines, including Basic tax preparation, Standard tax preparation and Full-service tax preparation. Basic tax preparation is the largest segment of the Tax Preparation Services in the US.
Spending on basic tax preparation services buckles under external competition
Companies in this industry offer tax return preparation services to individuals. Providers must have basic knowledge of tax law and filing requirements. Specific products include basic tax preparation, standard tax preparation, full-service tax preparation and tax-related financial products.
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NAICS 541213 - Tax Preparation Services in the US
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
The decline in consumer spending and the incidence of at-home work during the COVID-19 pandemic caused more individuals to use e-filing over traditional tax preparation servic...
Learn about an industry's products and services, markets and trends in international trade.
Given the increased use of electronic filing, standard and full-service tax preparation revenue has been the backbone for tax preparation service providers. Basic tax prepara...
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
California contains many small businesses. These businesses represent a major portion of revenue, their proliferation in California causes the West region to be littered with...
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Consumers often visit the tax preparer nearest them, so the industry is very localized. Localization enables individuals to have strong relationships with small companies and...
Learn about the performance of the top companies in the industry.
The largest tax preparation service providers comprise less than 15.0% of revenue, showing that this industry is quite fragmented. The prevalence of localization and low barr...
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
While tax preparation service providers abide by very little regulation on the state level, many federal laws apply to them. These include the Taxpayer Protection and Prepare...
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Many tax preparers are very profitable during tax season and operate at a loss during the rest of the year. Consumers must file their taxes yearly, so demand for tax preparat...
Including values and annual change:
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Key data sources in the US include:
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
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The market size of the Tax Preparation Services in the US industry in United States is $13.9bn in 2024.
There are 124k businesses in the Tax Preparation Services in the US industry in United States, which has grown at a CAGR of 2.0 % between 2018 and 2023.
The market size of the Tax Preparation Services in the US industry in United States has been growing at a CAGR of 3.2 % between 2018 and 2023.
Over the next five years, the Tax Preparation Services in the US industry in United States is expected to grow.
The biggest companies operating in the Tax Preparation Services market in United States are Intuit Inc., RSM US LLP and H&R Block, Inc.
Basic tax preparation and Standard tax preparation are part of the Tax Preparation Services in the US industry.
The company holding the most market share in United States is Intuit Inc..
The level of competition is high and steady in the Tax Preparation Services in the US industry in United States.