Is a client’s name confidential?

Treat it that way. The Journal of Accountancy lists a separate interpretation on disclosing client names, and passing a client’s contact details to a third party is a disclosure. Ask the client first.

Does the consent have to be in writing?

The interpretation on third-party requests states a preference for written consent that names the information, the type of third party and the intended use. Written consent is also the easiest to prove later.

Can a bookkeeper who is not a CPA do this?

The professional code binds members and licensees. A bookkeeper still has a contract with each client, and that contract usually has a confidentiality clause. The safe practice is the same: ask first.

Does section 7216 stop the conversation?

No. It limits the use and disclosure of tax return information by preparers. A general conversation that uses nothing from a return is a different thing, but do not use return data to pick or approach clients.

Korra team · October 11, 2026 · 3 min read

Can an accountant introduce a client to a data buyer?

Yes, if the client agrees first. The confidentiality rule covers a client’s name and anything from the file, so talk in general terms and let the client take every step that touches data.

An accountant can tell a client that business records can be licensed, and can introduce them if the client asks. The accountant client confidentiality rule covers everything in between: you may not pass a client’s information to anyone without the client’s specific consent.

What does the confidentiality rule say?

For members of the American Institute of CPAs, the rule is in the Code of Professional Conduct at section 1.700.001. The Journal of Accountancy quotes the earlier wording, which the revised rule kept: “a member in public practice shall not disclose any confidential client information without the specific consent of the client.”

The definition is wide. The Journal explains that confidential client information is any information obtained from the client that is not available to the public. That includes which systems a client runs, how many years of records it keeps, and what its sales history looks like. Those are the same facts a data listing asks for.

Does it apply if the client is not named?

It can. The Journal describes Interpretation 1.700.060, which covers requests from third parties for client information. Even where the client is not specifically identified, a member would be in violation of the rule unless the client specifically consented to the disclosure or use of the information.

The interpretation says the consent should preferably be in writing. It should specify the nature of the information, the type of third party, and the intended use.

So a message such as “a client of mine with ten years of support tickets may be interested” is not a safe way to start. Ask the client first.

Where the confidentiality line sits

You can

Explain that business records can be licensed
Point the client to public information
Let the client describe their own records
Introduce them, if they ask you to

Not without the client’s specific consent

Name the client to a third party
Pass on anything from the client file
Describe their systems, sales or staff
Use tax return information for the referral

What about tax return information?

Tax preparers have a second rule, and it is a statute. Section 7216 of the Internal Revenue Code limits the disclosure or use of tax return information by preparers. The Journal notes that it covers any information furnished for, or in connection with, the preparation of a return.

The Internal Revenue Service says its regulations allow a preparer to keep a list for soliciting tax return business. It says the regulations clarify that these lists may not be used to solicit non-tax return preparation services.

A conversation about licensing business records is not tax return preparation. Do not choose which clients to approach by reading their returns, and do not use anything from a return in the conversation. The Journal’s advice is that the two rules address different categories of information, and members should check their practice against both.

How do you raise it without breaking the rule?

Keep the first conversation general, and let the client take every step that involves their own information.

The client does every step that touches data

You raise itA general idea, with nothing from the file.
They decideThe client chooses whether to look.
They listThe client describes their own records.
You stay outNo files, no logins, no exports.

In practice:

Raise the idea in general terms. “Some businesses license a copy of their past records to buyers. It may be worth a look.” This uses nothing from the client’s file.
Let the client decide. If they are interested, they say so.
Get consent before you name them. Sending a client’s email address to any third party is a disclosure. Ask first, and keep a written note of the answer.
Let the client describe their own records. They know what they hold, and they are the ones who can agree to share a description.

Our partner process is built the same way. A partner sends a seller link only after a real conversation in which the business said it wants to go ahead, and only the business’s own click names the partner. A partner can fill in a listing for a client, but that step uses the client’s information, so get the client’s written consent before you start. The business reviews the draft, changes anything, and is the only one who approves and signs. Nobody uploads files, and a partner never handles data.

Can an accountant be paid for the introduction?

That is a separate rule, and it differs by state. The California Board of Accountancy, for example, says a licensee is prohibited from accepting any fee or commission solely for referral of a client to a third party. Other states follow the national code, which bars commissions for some clients and requires disclosure for the rest.

Check your own state board before you accept anything. If the rule stops you from being paid, you can still tell a client that the option exists.

For the words to use in that first conversation, open the partner kit. The partner page explains how partners work with us.

Questions

Is a client’s name confidential?: Treat it that way. The Journal of Accountancy lists a separate interpretation on disclosing client names, and passing a client’s contact details to a third party is a disclosure. Ask the client first.
Does the consent have to be in writing?: The interpretation on third-party requests states a preference for written consent that names the information, the type of third party and the intended use. Written consent is also the easiest to prove later.
Can a bookkeeper who is not a CPA do this?: The professional code binds members and licensees. A bookkeeper still has a contract with each client, and that contract usually has a confidentiality clause. The safe practice is the same: ask first.
Does section 7216 stop the conversation?: No. It limits the use and disclosure of tax return information by preparers. A general conversation that uses nothing from a return is a different thing, but do not use return data to pick or approach clients.

Sources

AICPA’s revised confidentiality rule and Sec. 7216 — Journal of Accountancy
Section 7216 information center — Internal Revenue Service
Commissions and Contingent Fees — California Board of Accountancy

Figures are as reported by the publishers above. Discussion threads show what people said; they are not facts or Korra results.

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