Chapter 8:

Reciprocity Provisions in State Accountancy Laws

Alaska

Arizona

Georgia

Indiana

lowa

Montana

NO RECIPROCITY PROVIDED

Special examination, four years of accounting experience

(R. 2015) Sec. 32 -727

Meets the experience and education requirements imposed upon
Arizona licensees.

(RECIPROCITY WHEN EXTENDED TO ARIZONA)

(R. 10,242) Sec.20-7-.04

Written exam

(RECIPROCITY WHEN EXTENDED TO GEORGIA AND HAS
COMPLIED WITH BOARD RULES AND LAWS)

(R. 13,108) Sec.8

CPA exam

· college degree holders with major in accounting to take accounting theory exam; high school and business college graduates accounting theory and practice; two years of experience in Indiana (NO RECIPROCITY PROVIDED)

Sec. 13

Holds a license from another state which has an examination procedure and, in turn, grants reciprocity to Iowa Accounting Practitioners

(R. 25,119) Sec. 66-1827

Written exam in accounting practice and either accounting theory or auditing; in lieu of latter must possess IRS Special Enrollment Card

(WAIVE EXAM IF REQUIREMENTS OF HOME STATE AT ISSUANCE WERE SUBSTANTIALLY EQUIVALENT)

(High School graduate until 1973) two years of college and

Chapter 9:

Sample Definitions of "Practice of Accountancy"-
State Accounting Laws

GEORGIA

TENNESSEE

NEW

MEXICO

For the purpose of this law (§84-201, 84-207, 84-215 to 84-217, 84-9002) a public accountant shall be defined as a person, firm or corporation having an established place of business and offering to perform for the general public any and all general accounting services. (Added by Laws 1943, Act No. 397) Sec. 84-217 (NOTE: Does not really define activities)

The practice of public accountancy is hereby defined as hold-
ing oneself out to the public as skilled in the knowledge,
science and practice of accounting; as qualified and ready to
render professional services therein as a public accountant
or certified public accountant for compensation, and perform-
ing such work of an accountant for more than one employer on
a fee basis, or otherwise, in any of the following services:
Auditing, devising and installing systems; recording and
presentation of financial information or data; compiling tax
returns; preparing financial statements, schedules, reports,
and exhibits for publication, credit purposes, use in courts
of law and equity and for other purposes. Provided, that the
casual preparation of tax returns, the income from which
service does not exceed twenty-five per cent (25%) of the
gross income from regular employment shall not be construed
as the practice of public accounting if no representation is
made that the person performing such casual service is a
public accountant. (Latter provision is subject to
challenge.)

A person engages in the "Practice of Public Accountancy" with-
in the meaning of this act 67-23-1 to 67-23-40 who, hold-
ing himself out to the public as a public accountant, in

MICHIGAN

consideration of compensation received or to be received by
him, offers to perform or does perform, for other persons,
services which involve the auditing or examination of financial
transactions, books, accounts or records, or the preparation
of, or the reporting over his signature on, financial, account-
ing, and related statements;..... Sec. 67-23-2

A person, either individually, or as a member of a firm or corporation, shall be deemed to be in practice as a public accountant, within the meaning and intent of this act;

(a) Who holds himself or herself out to the public in any
manner as one who is skilled in the knowledge,
science, and practice of accounting, and as qualified
to render professional service therein as a public
accountant for compensation; or

(b)

Who maintains an office for the transaction of business as a public accountant, or who, except as an employee of a public accountant, practices accounting, as disti.guished from bookkeeping for more than 1 employer;

or

(c) Who offers to prospective clients to perform for compensation, or who does perform on behalf of clients for compensation, professional services that involve or require an audit or verification of financial transactions and accounting records; or

(d) Who prepares or certifies for clients, reports of audit,
balance sheets, and other financial, accounting and
related schedules, exhibits, statements, or reports
which are to be used for publication or for credit pur-
poses, or are to be filed with a court of law or with
any other governmental agency, or for any other pur-
pose; or

(e)

Who, in general or as an incident to such work, renders professional assistance to clients for compensation in any or all matters relating to accounting procedure and the recording, presentation and certification of financial facts. Sec. 338.508

B. Definitions.—is used in this chapter certain terms are
defined as follOWS:

C. At "accountant as a person engaged in the public practace of accountancy who is techer a certified public accountant for a public accountant as defined in this chapter.

2. "Board" means the Board of Certified Public Accountant
Examiners as provided in this chapter.

(3) A "certified public accountant is a person engaged in the public practice of accountancy who holds a certificate as a certified public accountant issued to him under the provisions of this chapter.

(4) A "public accountant" is a person engaged in the public
practice of accountancy who is registered as a public
accountant under the provisions of this chapter.

(5) A person is engaged in the "public practice of accountancy" who holds himself out to the public as an accountant and in consideration of compensation received or to be received offers to perform or does perform, for other persons, services which involve the auditing or verification of financial transactions, books, accounts, or records, or the preparation, verification or certification of financial, accounting and related statements intended for publication or renders professional services or assistance in or about any and all matters of principle or detail relating to accounting procedure and system, or the recording, presentation or certification and the interpretation of such service through statements and reports. Sec. 93.1

The practice of public accountancy is holding oneself out to the public as skilled in the knowledge, science and practice of accounting; as qualified and ready to render professional services therein as a public accountant or certified public accountant or accounting practitioner for compensation, and the performing of such work of an accountant for more than one person or entity on a fee basis, in any of the following services: auditing, devising and installing accounting systems; recording and presentation of financial information or data; verification of accounts; preparing or rendering accounting opinions or certifications on financial statements, schedules, reports, or