The three pricing models
- Hourly ($100–$400+). Commonly reported range, varying by seniority and market. Still used for advisory, cleanup, and unusual projects. Ask whose hours — partner time costs multiples of staff time.
- Flat fee per return. Now the most common model for tax preparation. You know the price upfront; the firm absorbs efficiency risk.
- Monthly subscription ($200–$1,000+). Bundles bookkeeping with tax, sometimes advisory. Increasingly popular because it aligns incentives: the firm wants your books clean all year, not just in March.
Ranges above are commonly reported across 2025–2026 industry pricing surveys and firm-published guides — not quotes. Your price depends on your situation; always get written proposals.
What business returns commonly cost
Business returns cost more than personal ones because the reviewer is checking entity compliance, not just math. Commonly reported 2026 ranges:
- Schedule C (sole proprietor): roughly $500–$1,500
- Partnership / LLC (Form 1065): roughly $1,000–$2,500
- S corporation (Form 1120-S): roughly $1,200–$2,500+
- C corporation (Form 1120): roughly $1,500–$3,000+
- Monthly bookkeeping: roughly $200–$1,000 for typical small businesses, scaling with transaction volume
One industry benchmark (Ignition's 2025 U.S. pricing survey, via published analysis) put the most common band for a small-business return at $1,000–$1,499. Treat all of these as orientation, not quotes — entity type, state filings, and book condition move actual prices substantially.
Get matched with a tax pro
Answer a few questions about your business and get connected with a licensed tax professional who works with businesses like yours. Comparing options is free.
Partner link. We may earn a referral fee if you connect with a provider. Details
What moves your quote
- Book condition. The single biggest lever you control. Clean, reconciled books vs. a year of uncategorized transactions can double a quote — you're paying for cleanup either way.
- Entity type. See the ranges above: more complex entities, more expensive returns.
- States. Each additional state filing adds cost. Multi-state activity (employees, nexus) compounds it.
- Add-ons. Tax planning sessions, payroll, and advisory are usually separate line items. Ask what's included before comparing quotes.
How to get comparable quotes
- Describe the same scope to every firm: entity type, states, revenue band, transaction volume, book condition.
- Ask what is included: which forms, how many states, planning sessions, and what triggers extra fees.
- Ask about the engagement model: once-a-year filing, or year-round? The cheapest quote and the lowest total cost are rarely the same thing.
- Get it in writing. Verbal quotes evaporate in April.
Frequently asked questions
Why do CPA prices vary so much?
The dominant variable is complexity: entity type, number of states, transaction volume, and — biggest of all — the condition of your books. A clean QuickBooks file and a shoebox of receipts get very different quotes for the same business. Market and seniority matter too, but books condition is the one you control.
Is hourly or flat-fee better?
For routine tax preparation, flat-fee (fixed-fee) billing is now the most common and usually better for the client: the price is known upfront and the firm is not rewarded for being slow. Hourly still appears for advisory and cleanup work. Either way, get the scope in writing — what forms, what states, and what costs extra.
Are online/virtual CPAs cheaper?
Commonly reported as 20–50% less than traditional local firms, because remote firms carry less overhead. The tradeoff is relationship depth and local-state nuance. For straightforward situations the savings are real; for multi-state or unusual situations, local expertise can be worth the premium.