You are correct - large businesses still need the accountants, but sole proprietorships and most small businesses wouldn't...and since I live in a state without state income tax I didn't factor that in for you less fortunate -- of course y'all could move here and help push up my real estate values !!
Actually, after thinking about it, I do think all forms of businesses need accounting. Not only you need to keep track of profit/losses, you probably need to track sales and inventory for quality purposes. Also, you should have some sort of annual track record in case you want to sell your business.