KPMG blurs the lines between accounting and law

‍

KPMG wants to be the first Big Four accounting firm to practice law in the U.S., taking advantage of a novel program in Arizona that allows nonlawyers to own law firms.

‍

The accounting firm passed a significant hurdle last week when the Arizona Supreme Court, which oversees the program, unanimously approved the request.

‍

The accounting firm sees this as an opportunity to streamline and expand the work it does for clients. Legal expertise is often required alongside financial and accounting insights, particularly in matters of M&A, capital raises, and corporate compliance.

‍

KPMG currently practices law in 80 countries, but expanding into the U.S.—the largest legal market—offers significant growth potential. This could further boost the firm’s tax and legal services division, which saw a 10% year-over-year increase in fiscal year 2024, reaching $8.7 billion globally.

‍

If KPMG’s plan comes to fruition, the other Big Four accounting firms will likely follow suit.