Best Practices for IT Service Providers Running SOC 2-Compliant Systems for Accountants

Accountants today should be considering cybersecurity infrastructure and data protection as critical as actually filing their clients’ tax returns (yes, we said it). It’s absolutely mission-critical. 

As a CPA firm, you handle some of your clients' most highly sensitive financial data. That’s why it's essential to choose an IT service provider that follows strict industry standards like SOC 2 compliance. 

This blog will explain SOC 2 compliance, why it matters for accounting firms, and the best practices that top-tier managed service providers (MSPs) should follow to protect your firm and your clients.

What is SOC 2 Compliance and Why Should Accountants Care?

SOC 2 (System and Organization Controls 2) is an auditing framework developed by the American Institute of Certified Public Accountants (AICPA). It ensures that service providers securely manage data to protect the interests and privacy of their clients. SOC 2 compliance is based on five “Trust Services Criteria”:

1. Security
2. Availability
3. Processing Integrity
4. Confidentiality
5. Privacy

For CPA firms, this means that any MSP managing your IT infrastructure should not only meet technical standards but also follow structured, independently audited processes that reduce risk. SOC 2 compliance is a strong signal that your provider takes data protection seriously and, most importantly, that they have the systems in place to back that up.

Why SOC 2 Compliance Matters When Hiring an MSP

When you hire an IT service provider, you’re essentially outsourcing trust. You’re giving them access to your data, your network, and, indirectly, your clients. Without a high standard like SOC 2, here’s what you risk: 

• Data breaches from weak internal controls
• Non-compliance with IRS and state-level regulations
• Loss of client trust and reputational damage
• Operational downtime due to security lapses

A SOC 2-compliant MSP will have already addressed these risks through documented controls, regular audits, and secure, repeatable processes. Prioritizing cybersecurity with SOC-2 compliance goes beyond basic tech standards and means the MSP emphasizes business safeguards.

Best Practices of SOC 2-Compliant IT Providers

Here are some key practices that any MSP serving accountants should follow if they claim SOC 2 compliance (spoiler alert — PK Tech practices what we preach!): 

1. Strict Access Control Policies

SOC 2-compliant MSPs enforce role-based access, ensuring that only authorized personnel can access sensitive client systems or data. For accountants, this means your clients’ financial records aren’t exposed to unnecessary risk.

2. Continuous Monitoring and Incident Response

Monitoring systems should be in place 24/7 to detect anomalies or threats. Equally important is having an incident response plan that outlines exactly how the provider will act if something goes wrong, minimizing downtime and data loss.

3. Regular Auditing and Documentation

SOC 2 requires detailed documentation and annual audits. Your MSP should be able to provide audit reports that demonstrate compliance over time, giving you confidence that controls aren’t just theoretical — they’re tested.

4. Encrypted Backups and Data Protection

Backups should be automated, encrypted, and stored off-site (or in secure cloud environments). This is non-negotiable in accounting, where data integrity and availability are paramount (especially during tax season).

5. Employee Training and Vendor Vetting

A SOC 2-compliant MSP will have internal training programs to reduce human error and will vet their own third-party vendors for compliance. This means your provider isn’t just secure internally, they’ve also locked down their entire supply chain (if you’re wondering about the actual risk of third party vendors, we discuss how 54% of organizations were affected by third party breaches just last year).

Questions to Ask Before Hiring an MSP for Your Firm

To ensure you're hiring a truly SOC 2-compliant MSP, ask:

• Can you provide your most recent SOC 2 audit report?
• What security protocols do you follow for remote access and data backup?
• How do you handle incident detection and response?
• Do you offer support for regulatory compliance (e.g., IRS Publication 4557, GLBA)?
• How often are your security policies reviewed and updated?

If an MSP can’t answer these confidently, or isn’t willing to share proof of their compliance, that’s a red flag.

SOC 2 Compliance is a Baseline, Not a Bonus

As a CPA, your firm’s reputation is built on trust, confidentiality, and professionalism. Your IT service provider should reflect those same values. SOC 2 compliance isn’t just a certificate; it’s a framework for excellence in security, availability, and operational integrity.

When you choose an MSP that follows SOC 2 best practices, you’re not just buying technology. With SOC 2 compliance, you’re investing in peace of mind, risk management, and client confidence. Make sure your provider is as committed to safeguarding your data as you are.

Ready to evaluate a SOC 2-compliant IT provider for your accounting firm? As a managed IT service provider, PK Tech is proud to offer 15 years of experience with a focus on accounting firms. We boast AICPAs SOC 2 Type II attestation, proving via third-party audit by an independent CPA firm that we passed a rigorous and comprehensive assessment of our security and privacy controls. Schedule a time to talk with our team here.