Can My CPA Share My Tax Information With My Financial Advisor?
Not without your written permission first. Under Internal Revenue Code §7216, a tax preparer may not disclose your tax return information to anyone outside their firm — including your own financial advisor — unless you have signed a separate consent naming who receives it and what they receive. It is a criminal provision, so when your accountant asks you to sign something before looping in your advisor, they are not being difficult. They are doing the one thing the law requires them to do first.
How this works for CPA firms → · See CPA Hub's Advisor Bridge →
Why you are being asked to sign anything at all
Most people assume their accountant and their financial advisor can simply talk to each other. They can talk. What they cannot do is move your tax return information between them without your say-so.
Federal law draws the line at your information, not at the conversation. Your accountant needs your written consent before sending:
- your return, or any part of it
- a source document such as a K-1, 1099 or W-2
- a figure derived from your return — your adjusted gross income, your marginal bracket, your IRMAA tier, a capital-loss carryforward
- that same figure typed into an email or a message thread
That last one surprises people. The rule is about the information, not the format. A number in a message is a disclosure exactly as a PDF attachment is.
What the consent form actually says
A valid consent is a separate document — it cannot be folded into your engagement letter — and the regulations are specific about what it has to contain. When you read yours, you should be able to find four things.
| The form states | What it means for you |
|---|---|
| Who receives your information | One named advisory firm. Not "your advisors" in general — a specific firm, named on the page you sign. |
| What is shared | Only the items listed. That may be selected figures, specific documents, or messages between your accountant and your advisor. Anything not listed is not authorized, and is not shared. |
| For how long | A stated period. If no period is stated, federal regulations set it at one year from the date you sign. |
| Which tax year | If the form names a tax year, it authorizes that year alone. A consent covering 2025 does not cover a document from 2024. |
If you cannot find those four things on the document in front of you, ask before you sign.
What you keep control of
You can say no
Signing is your choice, and declining changes nothing about your engagement, your return, or your relationship with your accountant. It only means the information stays where it is. Your accountant may not ask you again for a substantially similar consent after you have refused — that restriction exists to protect you from being worn down.
You can withdraw at any time
Tell your accountant. You do not need a reason, and there is no notice period. From that moment the authorization is over and disclosure must stop.
Withdrawal should be enforced, not merely promised
This is the part worth asking about, because it is where practice and paperwork usually part company. At most firms, consent is a signed PDF in a folder. Nothing connects it to the system that actually controls what your advisor can see, so honouring a withdrawal depends on somebody remembering to go and switch something off.
It does not have to work that way. In CPA Hub, the signed consent is checked every time your advisor opens anything of yours. If it has expired, been withdrawn, or does not cover the specific item being opened, the platform refuses — and tells your advisor that something is being withheld rather than quietly showing them a gap. Nothing depends on anyone remembering.
If you file a joint return
Your tax return information belongs to both spouses. One signature cannot authorize disclosing the other person's information, so on a joint return you will each receive your own form and sign separately.
Only what both of you have authorized is ever shared, and either of you can withdraw independently of the other.
How signing works
You should not have to create an account to give permission.
- You receive an email with a secure link. No account, no password.
- You read the consent and type your name. Federal regulations expressly permit signing electronically this way.
- You receive a copy for your records — ask any time if you want another.
- The signed document is kept as the permanent record of what you authorized and when.
What the form does not do
- It does not authorize marketing. Federal law treats permission to disclose your information and permission to use it as two separate things needing two separate documents. A disclosure consent does not let anyone sell to you.
- It does not hand over your whole return. Only what is listed is shared.
- It is not open-ended. It expires on the date it states.
- It does not let your advisor change anything. What they receive is read-only.
My advisor already has my tax return — I gave it to them myself
That is a different situation, and it is fine. When you hand your own return to your advisor, no preparer disclosure has happened and §7216 does not apply to it. You can share your own information with anyone you like.
The consent covers the other direction: your accountant sending information directly, on an ongoing basis, so you are not the courier every time. In exchange for that convenience you get limits, an expiry date, and an off switch — none of which you have when you email a PDF yourself.
What to ask your accountant
Three questions worth asking, whoever prepares your return:
- What exactly is on the list? You are entitled to know every item before you sign, not after.
- What happens when I withdraw? "We would stop sending things" and "the system stops serving them immediately" are different answers.
- Can I see what has been shared? A firm that can show you a record of what left their office, and when, is a firm that has thought about this properly.
Frequently asked questions
Can my CPA share my tax information with my financial advisor?
Not without your written permission first. Under IRC §7216 a tax preparer may not disclose your tax return information to anyone outside their firm, including your own financial advisor, unless you have signed a separate consent naming who receives it and what they receive.
What does the consent form actually say?
A valid consent is a separate document that names the advisory firm receiving your information, lists the specific items being shared, states how long the authorization lasts, and identifies the tax year covered. If no period is stated, federal regulations set it at one year from signature.
Can I withdraw my consent after I sign it?
Yes, at any time and without giving a reason. Tell your accountant and the authorization ends immediately. It is worth asking whether withdrawal is enforced by their system or depends on someone remembering to switch access off, because those are very different answers.
What happens if I file a joint return?
Tax return information on a joint return belongs to both spouses, so one signature cannot authorize disclosing the other person's information. Each spouse receives and signs their own form, only what both have authorized is shared, and either can withdraw independently.
My advisor already has my tax return because I gave it to them. Does this still apply?
No. When you hand your own return to your advisor, no preparer disclosure has occurred and §7216 does not apply. The consent covers your accountant sending information directly on an ongoing basis, which brings limits, an expiry date and a withdrawal switch that emailing a PDF yourself does not.