Accounting has long been recognized as a profession that safeguards the integrity of financial systems, protects the public interest, and supports economic growth in Indiana and across the nation. But recent federal and state policy developments raise important questions about how the profession is defined, regulated, and ultimately sustained.
At both the national and state levels, proposals framed as “expanding access” or “reducing barriers” risk undermining the workforce that ensures accounting remains a trusted, highly skilled profession. As these conversations unfold, it is critical that policymakers, educators, employers, and professionals understand what is at stake.
Federal Policy: The Risk of Declassifying Accounting as a Professional Degree
Late last fall, information surfaced about draft regulations the U.S. Department of Education (ED) plans to issue to implement provisions of H.R. 1, also known as the One Big Beautiful Bill Act. These draft rules would impose new caps on federal graduate student loans: $50,000 per year and $200,000 total for “professional” degree programs, and significantly lower caps for all other programs.
What is concerning for the accounting profession is simple but profound: accounting is not currently included in ED’s definition of a “professional” degree program.
If finalized as proposed, this exclusion could severely limit access to financing for students pursuing advanced accounting education, particularly those working toward a career in accounting—only escalating the barrier to entry college tuition already poses for many.
Nationally, the response has been swift. The AICPA and state CPA societies, including INCPAS, have opposed any proposal that fails to recognize accounting as a professional degree. Multiple letters have been sent to the Department of Education, including one from AICPA CEO Mark Koziel and a joint letter representing approximately 1.5 million accounting and finance professionals.
Congressional activity has also begun, with several bills introduced to address the issue ranging from explicitly adding accounting to the professional degree definition to repealing the new loan caps altogether. While none of these proposals have yet gained bipartisan traction, they underscore a shared concern: policy decisions made without a full understanding of the profession can have lasting, unintended consequences.
The Department of Education is expected to publish the proposed rule in the Federal Register in early 2026, triggering a public comment period. This will be a critical moment for engagement and advocacy.
Indiana Deregulation: Lessons from Other States
Closer to home, Indiana is also navigating conversations about professional licensure. While we remain hopeful that no sweeping changes that affect the profession will emerge during the current short legislative session, developments in other states highlight why vigilance is necessary.
Earlier this year, in fact, Governor Mike Braun issued executive orders establishing a new Governor’s Cabinet and appointing Secretary Mike Speedy to lead the Cabinet of Business Affairs. One of those orders, Executive Order 25-18, focuses on professional licensing deregulation and signals an intent to review and potentially roll back certain requirements under the banner of “expanding opportunities for more Hoosiers.” In early January, HB 1003 was introduced and, though not as terrifying as what we are seeing happen in other states, it demonstrates an appetite for deregulation here in Indiana.
The goal of increasing opportunity is one we all share. However, experiences in other jurisdictions show that broad deregulation, if not carefully tailored, can restrict interstate commerce, erode professional standards, reduce public trust, and ultimately make professions less attractive to students and employers.
For accounting, licensure is not an arbitrary barrier. It is a public protection mechanism that ensures competence, ethics, and consistency in a field where mistakes can have far-reaching consequences. Weakening those standards does not strengthen the workforce; it diminishes it.
What This Means for the Pipeline and the Profession
Taken together, these federal and state developments point to a common risk: policies that underestimate the complexity and responsibility inherent in the accounting profession.
If accounting is declassified at the federal level, students may find it financially infeasible to complete the education required for CPA licensure. And if licensure standards are diluted at the state level, the value of the credential and the incentive to pursue it may decline. Either outcome threatens Indiana’s ability to attract, develop, and retain the next generation of accounting professionals.
Indiana businesses, nonprofits, and government entities rely on CPAs for assurance, transparency, and strategic insight. The profession’s strength is directly tied to the rigor of its educational and licensure pathways.
How to Move Forward Together
INCPAS will continue to closely monitor both federal and state activity, engage with policymakers, and advocate for solutions that protect the public while supporting a strong, diverse pipeline into the profession. That includes urging federal regulators to recognize accounting as the professional degree it clearly is, and ensuring that any state-level reforms are informed, deliberate, and evidence-based.
The future of accounting in Indiana should be shaped by thoughtful policy, not unintended consequences. By working together, we can ensure the profession remains accessible, respected, and well-equipped to meet the needs of our communities for generations to come.
