Does the robot have your back?

By Tori Smith

Artificial intelligence, ChatGPT, robots — buzzwords have been flying around for a while. But will artificial intelligence really replace accountants? Will ChatGPT replace the services accountants can provide? Will the world be overtaken by robots?

First and foremost, CPAs need to follow the AICPA Code of Conduct to be productive, respectful and ethical accountants, say John Higgins, CPA, and Tommy Stephens, CPA.

But can ChatGPT follow the AICPA Code of Conduct? Here is its response:

“As an AI language model, I don't have personal beliefs, intentions, or the ability to follow codes of conduct on my own. However, I can certainly provide information on the AICPA (American Institute of Certified Public Accountants) Code of Professional Conduct.

The AICPA Code of Professional Conduct sets forth ethical principles and rules of conduct that govern the professional activities of CPAs (Certified Public Accountants) in the United States. It outlines the responsibilities of CPAs and provides guidance on their professional behavior, integrity, objectivity, independence, and confidentiality.

While I can help explain and provide information about the AICPA Code of Professional Conduct, I am not a certified professional and cannot guarantee adherence to its principles or provide professional advice. If you have specific questions or require professional guidance regarding the AICPA Code, it is best to consult a qualified CPA or refer directly to the AICPA's official resources.”

Although ChatGPT said it was able to provide information on the AICPA Code of Conduct, it identified its limitations. The five principles of the professional conduct outlined in the Code are:

Responsibilities

The public interest

Integrity

Objectivity and independence

Due care

Tommy focuses on “due care” — exercising precautionary measures — the most. He said that people don’t often put together the words “ethics” and “technology.”

“We’re still going to have an ethical responsibility,” Tommy said. “We can’t assume ChatGPT is going to be correct about everything. It still comes back to me and my judgment.”

John agrees. He asks the questions: How do we validate AI? How do we know what AI says is actually true?

We don’t.

Artificial intelligence uses something called a transformer model to learn how to communicate with its users. According to Machine Learning Mastery, a transformer model is “based on recurrent neural networks …. [that process] one word or character at a time and provide an output once the entire input of text has been consumed.” Because OpenAI (the company that produces ChatGPT) has such a large interface, its communication model is more commonly known as a language learning model.

In 2021, researchers at the University of Oxford and OpenAI themselves began to question the truthfulness of AI-based language learning models. They created TruthfulQA to find out how accurately the model answers questions that humans might falsely answer due to beliefs or misconceptions. They found it fell short of human performance at 94%. This shows that CPAs are needed to clarify the results found or written by the language model.

Even though ChatGPT might not be able to follow the AICPA Code of Conduct, Tommy said it’s more likely to be used for automated tasks like detecting fraud and optimizing tax planning.

When asked if it can detect fraud or optimize tax planning, ChatGPT responds yes. But while it can provide information about how to implement the processes, it also does not have the skills to complete the tasks itself. That’s where CPAs are needed.

In fact, both Tommy and John argue that artificial intelligence could improve and bring benefits to the profession. Both said that these language models could give CPAs the opportunity of more time by allowing the models to complete repetitive and rudimentary tasks.

“They can be an advisor to CPAs to automate the less valuable tasks and move themselves up the value chain,” John said. “It inevitably puts us in a better place to give more to our clients.”

John argues the popularization of language learning models like ChatGPT will actually improve the quality of CPA candidates. He assumes that while fewer incoming accountants may earn the CPA designation, those who do will become more valuable.

All in all, language learning models will not be able to replace accountants. If anything, accounting firms should examine the tools and models available to see what can help enhance their firm’s services and improve client satisfaction.

But if you feel more comforted getting the answer from the model itself – when asked
Can you replace CPAs? – ChatGPT said this:

“As an AI language model, I can provide information and insights about various topics, including Certified Public Accountants (CPAs). However, I cannot fully replace CPAs or any other licensed professionals.

CPAs are highly trained and qualified professionals who have gone through rigorous education, passed the CPA exam, and obtained relevant experience in the field of accounting. They possess specialized knowledge in areas such as auditing, financial reporting, taxation, and financial management.

While AI and automation have made advancements in the field of accounting and finance, CPAs play a critical role that goes beyond basic calculations and data entry. They provide valuable expertise, financial analysis, strategic advice, and ensure compliance with regulatory requirements. CPAs are also responsible for interpreting complex financial data, making informed decisions, and providing personalized guidance to clients.

Although AI technologies can automate certain repetitive tasks and assist in data analysis, they are not a substitute for the professional judgment, experience, and ethical considerations that CPAs bring to the table. Furthermore, CPAs have a deep understanding of the legal and regulatory frameworks in their respective jurisdictions, which is crucial in ensuring compliance and avoiding legal issues.”

There you have it. While AI can augment and enhance the capabilities of CPAs, they cannot replace the unique skills, expertise and professional judgment CPAs bring to the accounting profession.

Tori Smith is the VSCPA summer communications intern. She is a student at Ball State University in Indiana. 