Magnetic builds an AI tax preparer for CPA firms that scans client documents and enters them into tax software automatically, replacing tedious data-entry work during tax season. The platform addresses the accounting talent shortage by automating document handling and OCR, while active-credential US-based EAs and CPAs with verified PTINs review the output. Founded in 2024, Magnetic is based in San Francisco and was part of Y Combinator's Summer 2025 batch.
Magnetic
ActiveAI Tax Preparer for CPA firms
Total raised
$500K
1 round
Stage
Seed
Jan 2025
Team
1-10
since 2025
Pricing
—
Founded
2025
San Francisco, United States
Agent-ready
—
AI that scans client tax documents and extracts relevant data
Automatic entry of extracted data into tax preparation software
OCR and document handling across common tax document types
Human-in-the-loop review by credentialed US-based EAs and CPAs
Verified-PTIN reviewers with active credentials checking output
Built specifically for CPA firms and tax season workflows
Reduces manual data-entry burden during peak tax periods
Designed to help firms cope with the accounting talent shortage
12/100
Early
MCP server
Public API
Webhooks
OAuth 2.0
SDKs
No public agent surfaces detected yet.
Jan 2025 Seed $500K ● Y Combinator
Capital network
$500K raised ·1 backer·10 network links
- Backers1
- Shared portfoliocompanies these backers also fund
- Extended networkfunds that co-invest alongside them
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- What is Magnetic?
- Magnetic is an AI tax preparer for CPA firms that scans client documents and automatically enters the data into tax software, with credentialed US-based EAs and CPAs reviewing the output.
- Is the work fully automated?
- No. The AI handles document scanning and data entry, but active-credential US-based EAs and CPAs with verified PTINs review the output before it is finalized.
- Who is Magnetic for?
- It is built for CPA firms that want to reduce manual data-entry work during tax season and address the accounting talent shortage.
- What problem does it solve?
- It automates the tedious, time-consuming document handling and data entry that typically consumes junior staff time during tax season.
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