A Study of Tax Professionals' Performance and Internship Experience: A Survival Analysis

Abstract

The paper investigates the association between internship experience and performance of tax professionals as measured by promotion velocity and turnover rate. Participants are regional CPA firms located in the southeastern and mid-south regions of the United States. The research applies a survival analysis that employs a time-dependent analysis of the data allowing for the comparison of subjects entering and leaving the study window in a staggered fashion. Hypothesis testing results indicate that the advancement rate for tax professionals with prior internship experience is significantly faster than that of the non-internship group. Results for the comparison of turnover rates for the two groups (internship experience versus non-internship) are marginal, raising interesting questions about the turnover behavior of study participants.