TaxStatus Launches Observations Tool for Advisors
TaxStatus, a provider of IRS-sourced financial data, has launched TaxStatus Observations, a capability that identifies opportunities for advice and gaps in client tax records.
The tool uses IRS data to generate client-ready topics for planning conversations, and, according to the company, eliminates hours of manual advisor review previously necessary. Observations power the company’s redesigned Financial Baseline report, which compiles a household’s financial picture from source documents, including Forms 1099, W-2, 1065, 1120, 5498 and K-1.
“TaxStatus Observations does in moments what used to take a team days or weeks per household,” said Kevin Knull, chief financial planner and chief executive officer of TaxStatus. “We’re not replacing the advisor’s judgment—we’re handing them an efficient analysis so they can spend their time advising clients instead of hunting through data.”
The capability evaluates client records against more than 175 observations across six advisory disciplines: financial planning, investment management, tax planning, estate planning, insurance, and banking and lending. It also detects nearly 50 multi-year life events, from job changes and business sales to retirement and inheritance.
Observations uses no artificial intelligence, relying instead on deterministic, rules-based logic validated against millions of real tax records, according to the company.
Observations and the new Financial Baseline report are available now to TaxStatus users.
Back in March, TaxStatus announced an exclusive partnership with Advice.ai, bringing the unified advice platform’s library of tax planning strategies to its capabilities, allowing advisors to automatically surface personalized tax, financial and estate planning opportunities. In January, the company introduced its Tax Prep Checklist and Tax Return History tools to streamline client preparation and data analysis ahead of the 2025 filing season.
In August 2025, Ric Edelman, founder of Edelman Financial Engines, and Eric Clarke, founder and former CEO of Orion Advisor Solutions, joined the TaxStatus board of directors.
Founded in 2017, the company originally served taxpayers by checking their IRS standing and by securely sharing related records with financial partners. In 2023, the company pivoted to focus its efforts solely on the wealth management and tax professional space.
