Survey Highlights Declining Accountant Optimism Amid Economic Concerns for SMBs

Surging Alarm: Accountants Respond to Economic Dismissal

In an increasingly volatile economic landscape, the recent 2025 Avalara Accountants Confidence Report reveals troubling declines in accountant optimism levels among small and mid-sized businesses (SMBs). Conducted by Avalara, a leading firm in tax compliance automation, this report draws from the feedback of 623 accounting professionals, portraying a significant shift in sentiment from cautious optimism to outright pessimism.

The Shift in Sentiment

The findings depicted a staggering dip in confidence among accountants, where net sentiment plummeted from a positive 19% to a negative 39% within just a few months. Initially, nearly 47% of accountants were optimistic about improving economic conditions. However, by April, only 25% shared this view while 64% anticipated worsening economic climates.

The backdrop to these sentiments includes rising inflation rates, ongoing tariff complexities, and unpredictable tax policies, all contributing to an unsettling environment for SMBs. According to the report, 61% of accountants point to inflation and pricing issues as critical challenges for their clients, closely followed by 60% highlighting trade-related uncertainties.