Accounting Associations Take Issue with New Federal Loan Caps
What’s in a Classification?
The National Assoc. of State Boards of Accountancy recently came out in opposition of the U.S. Department of Education’s implementation of new student loan policies that reclassify accounting degrees as ‘non-professional.’
“Classifying accountants as anything other than professionals fundamentally misrepresents the critical work CPAs perform, work that is responsible for the integrity of the global financial systems on which businesses and individuals rely,” NASBA President and CEO Daniel Dustin said. “There’s a reason certified public accountancy has been a licensed profession in the United
States since 1896.”
The Department of Education change affects federal loan caps under the new Repayment Assistance Plan (RAP) that, beginning in July 2026, will reduce borrowing limits for accounting students to $20,500 per year, compared to $50,000 per year for degrees the department now labels ‘professional.’
NASBA argues that a reduction in loan access may deter a broad range of students from entering the CPA profession at a time when the complexity of markets and businesses require a robust and educated workforce. The association maintains that federal policy must accurately reflect the realities of professional CPA licensure, as economic stability and protection of the public depend on a strong and well-regulated accounting profession.
This reclassification also excludes many other long-recognized licensed professions, including those responsible for public health and safety, such as nursing, architecture, education, and engineering.
According to the U.S. Department of Education, the new loan limits that result from these reclassifications will help drive down the cost of graduate programs and reduce the debt students have to take out. Graduate students received more than half of all new federal student loans originated in recent years, and graduate student loans now make up half of the outstanding $1.7 trillion federal student loan portfolio.
Among the professions that still retain their ‘professional’ designation for higher graduate school borrowing limits are medicine (MD), dentistry (DDS/DMD), law (LLB/JD), and several others. Undergraduate students are generally not affected by the new lending limits.
NASBA plans to consult with the 55 U.S. accounting jurisdictions it represents — which license more than 653,000 CPAs in the U.S. — and will engage policymakers to ensure accounting is restored to the professional degree category.
Other organizations have publicly opposed the reclassification as well. The National Assoc. of Tax Professionals is also urging the Department of Education to reconsider the change. In a statement, the NATP argued against the non-professional classification on four grounds.
1. The reduced federal borrowing levels will make accounting education less financially accessible. This could deter students from entering the field, especially first-generation college students, students from rural or underserved communities, adults seeking a career change, working students completing degrees part-time, and anyone needing graduate-level coursework to advance.
For a profession that already requires rigorous education and often additional coursework for licensure, lowering loan access could make a critical career path harder to pursue.
2. Accounting is a professional field, and the reclassification doesn’t reflect that. Accounting is a licensed, regulated, ethics-based profession with real-world public responsibility. Tax professionals and accountants complete extensive coursework, uphold ethical and legal standards, maintain continuing education, help taxpayers navigate complex federal and state laws, and protect the integrity of the tax system.
Reclassifying these degrees as non-professional does not align with real-world requirements or the public-facing nature of this work.
3. The tax-professional workforce is already stretched thin. More than 80 million taxpayers rely on paid preparers each year. Many small businesses, elderly taxpayers, rural communities, and underserved populations depend on credentialed professionals to prepare accurate returns and resolve IRS issues.
But the tax workforce is aging, and firms across the country report difficulty recruiting new talent — a trend NATP members have voiced repeatedly. Limiting access to accounting education risks shrinking the talent pipeline, increasing filing errors, lengthening IRS response backlogs, reducing availability of professional help in underserved areas, and exacerbating seasonal workforce shortages. This isn’t just an academic concern, but a practical one with direct consequences for taxpayer service.
4. Taxpayer service and compliance could suffer. The federal tax code is becoming more complex each year. New credits, expanded eligibility rules, increased digital reporting requirements, and shifting IRS processes all increase the need for well-trained professionals.
If fewer students can afford to pursue accounting degrees, taxpayers could experience longer wait times for appointments, reduced access to qualified preparers, higher risk of filing mistakes, greater reliance on unregulated or untrained preparers, and increased compliance challenges.
