You want a reliable cpa letter template and sample you can use right away.
This guide shows the core parts, plain-English wording, and compliant limits.
It also includes an accredited investor cpa letter example for Regulation D(SEC) offerings.
What a CPA Letter Is (and why recipients ask for it)
A CPA letter is a short, signed document from a licensed CPA.
It confirms facts tied to records. It states scope and limits. It avoids promises.
- Written by certified public accountants(CPAs) trained in accounting and ethics.
- Used by lenders, investors, issuers, financial advisors, and some attorney-led closings.
- Common topics: income confirmation, business details, or accredited investor status.
The Seven Core Parts to structure a letter
1) Letterhead
Firm name, address, license jurisdiction, contact.
Date at top. Clear branding for trust.
2) Client Name
Full legal name. If an entity, include the type (e.g., LLCs, corporation, trust).
3) Recipient
Individual or department and organization.
Examples: underwriting, fund admin, transfer agent, investment advisor, landlord.
4) Purpose
One sentence. Why the letter exists.
Examples: mortgage income confirmation; accredited investor eligibility; use-of-funds note.
5) Procedures
What the accountant did. Keep it specific and short.
Examples: compared totals to filed tax returns; tied deposits to statements; recomputed a ratio.
6) Signature
Wet signature or e-signature, printed name, credentials, license state.
7) Limits
Not an audit or appraisal. No opinion on value, securities, or future results.
No tax advice unless the engagement includes it.
Universal Disclosures
- Not an audit or review; no audit reports are provided.
- No opinion on appraisal values, equity pricing, or credit report outcomes.
- No legal advice on SEC rules or security law; coordinate with your attorney and investment team.
- If needed, add “We do not provide investment advice.”
Ready-to-Use: CPA Letter Template
[CPA Firm Letterhead]
Date: [MM/DD/YYYY]
To: [Recipient/Department/Organization]
I am a CPA for [Client/Entity]. At your request, I performed the limited procedures described below for the period [dates].
Purpose: [e.g., income confirmation for mortgage file / documentation for issuer / landlord screening].
Procedures: I compared amounts on management financial statements to filed tax returns, and I performed simple tie-outs or recomputations as needed.
Result: Based on these procedures, the information described above agrees with the referenced records for the stated period.
Limits: This letter is not an audit, review, or appraisal. No opinion is expressed on value, investment performance, or legal compliance.
Signature: ___________________________
[Name], CPA | License: [State] | Firm: [Name] | Contact: [phone/email]
Variation A — Income/Employment for Lending or Renting
When it’s used
Mortgage, home loan, refinance, or landlord screening.
Recipients: banks, money lender, property managers.
Sample wording (income)
Purpose: income confirmation for a mortgage loan file.
Procedures: I compared totals on the YTD profit-and-loss to filed tax returns and to recent bank activity. I also recalculated a simple margin where requested.
Result: Reported income for [period] is $[amount] based on these records.
Limits: Not an audit; no opinion on underwriting, rates, or future earnings.
Variation B — Use of Funds (Business or Deal Support)
Often paired with a capitalization plan or cpa letter use of business funds request from a lender or fund.
Sample wording (use/source of funds)
Purpose: note on the intended use of business funds and source verification.
Procedures: I compared planned disbursements to quotes/invoices and tied the assets and cash balances to the latest financial statements and bank statement.
Result: $[amount] is reserved for [working capital/equipment/closing costs/down payment] from [operating cash/owner contributions].
Limits: Not an audit; no assurance on covenant compliance or future cash flows.
Variation C — Accredited Investor CPA Letter (Reg D)
For private offerings under Regulation D(SEC). Used by issuers, brokers, investors, hedge funds, and private equity funds.
Eligibility options
- Income test (two years above threshold; current year likely).
- Net worth test (assets minus liabilities, excluding the primary residence).
- Professional credentials when permitted.
Purpose: confirm accredited investor status for [Issuer/Fund] under SEC Regulation D.
Records Reviewed: filed tax returns and schedules; asset/liability statements; brokerage records.
Conclusion: Based on these records, [Investor/Entity] meets the [Income/Net Worth/Professional] test as of [date].
Limits: Procedures were limited to comparisons and recalculations. This is not an audit or valuation; no opinion on investment risk, pricing, or suitability.
Which Procedures Fit Which Purpose
- Income check (mortgage/landlord). Compare P&L to tax returns and deposits.
- Use of funds. Trace to invoices and account balances; identify source.
- Accredited investor. Tie assets and liabilities to statements; confirm thresholds.
Keep procedures short. Make them reproducible. Label the period clearly.
Signals to Include in Every Letter Package
- Expertise: CPA name, license state, years in practice, niche focus.
- Experience: relevant sectors (real estate, hedge funds, private equity).
- Authoritativeness: references to AICPA ethics and third-party communication norms.
- Trust: consistent formatting, correct dates, and secure delivery.
Common Pitfalls (and how to avoid them)
Over-promising
Do not opine on value, appraisal, equity upside, or guaranteed approval.
Missing dates
Always state the period covered. Align to the recipient’s request window.
Weak documentation
If the recipient may ask, name the exact schedules or statements you relied on.
Mixing advice
If the client needs tax services or planning, open a separate engagement.
State clearly: “This letter does not provide tax advice.”
Short Samples You Can Copy
1) One-paragraph Income Note
We compared income on the YTD P&L to filed tax returns and select bank deposits for [dates]. The amounts agree for the period. Not an audit; no opinion on underwriting.
2) One-paragraph Use-of-Funds Note
$[amount] is designated for [purpose]. Source is operating cash as shown on the P&L and bank statements dated [dates]. Not an audit; no covenant assurance.
3) One-paragraph Accredited Investor Note
Based on reviewed assets and liabilities, and filed income schedules, [Investor] meets the [net worth/income] test as of [date]. Not an audit; no investment advice.
Delivery and Format
- PDF on firm letterhead, with signature and license.
- Secure portal or encrypted email.
- If the platform needs it, add a cover page for compliance and version control.