The Road To CPA Licensure

1. The Road To CPA Licensure Presented by: Tennessee State Board of Accountancy

2. First Consideration • The designation of “certified public accountant” shall be granted to persons: • of good moral character • who meet requirements for • Education • Experience • Examination

3. Definition: Good Moral Character • Lack of a history of dishonest or felonious acts

4. Education • Baccalaureate Degree – major in Accounting is not required • 150 successfully completed semester hours • 30 in Accounting • 24 at Junior or higher level • 24 in General Business • 12 at Junior or higher level

5. Beginning Testing Before Coursework Completed • Must Complete Coursework within 200 days of completing 1st part of exam • Extension of 200 days may be granted by Board for extenuating circumstance(s)

6. Players In the CPA Exam • AICPA • Designs, Prepares and Scores Exam • NASBA • Evaluates Credentials and Approves Candidates to Sit for Exam • Prometric • Provides Scheduling and Physical Facilities for Exam

7. CPA Examination • CPAES (CPA Examination Services) • Receives Application for Examination • Reviews and Confirms Education Requirements • Processes and Receives Fees for Examination • Provides Permission to Schedule Examinations • Processes Special Accommodations • Distributes Score Notices

8. CPAES Continued • After deeming candidate eligible to sit for exam – CPAES sends ATT (Authorization to Test) to NASBA • NASBA then checks the NCD (National Candidate Database) to ensure candidate is not applying in multiple jurisdictions • Once ATT is completed, NCD generates NTS (Notice to Schedule)

9. What CPAES Needs from You • Completed Application • 2x2 Picture • Fee for Application • 1st time application $155.00 – doesn’t include test fees • Official Transcript(s) • Foreign Evaluation – if applicable • Authorization for Interstate Exchange if part of exam completed in another jurisdiction

14. Each Exam AUD - $230.55 BEC - $180.95 FAR - $218.15 REG - $193.35 Retest – Need New NTS One part - $70 + Test Fee Two parts - $85 + Test Fees Three Parts - $100 + Test Fees Four Parts - $115 + Test Fees Costs of Testing

15. What Candidate Can Expect from CPAES • Notice of Deficiencies – if present • Notice to Schedule (NTS) – has expiration date

16. Examination Schedules • Testing Months (Windows) • January & February • April & May • July & August • October & November • Other months (March, June, September and December) are quiet months • Exams Updated • Scoring Completed

17. Scheduling • Schedule as far ahead as possible • Attempting to schedule late in the second month of a “window” may result in no seats available

18. Passing Scores • Auditing & Attestation – 75 • Business Environment & Concepts – 75 • Financial Accounting & Reporting – 75 • Regulation – 75 • 14 Hour Exam

19. Ethics Examination • Must score 90% or better • Online Examination • Offered by – • AICPA • TSCPA When applying for Ethics Examination - must let providers know where to send scores

20. Application for State Licensure • Both CPAES and AICPA/TSCPA submit examination scores to TNSBA (Tennessee State Board of Accountancy) • When both scores received at TNSBA a CPA application is mailed to candidate at the address provided by the ethics exam provider

21. TNSBA Application Process • Actual Application for Licensure In TN is ONE Page Long • Identifying Information • Current Employment Information • Questions Concerning Felony, Fraud and Discipline by Any Professional Organization • Statement Indicating You Have Read Laws & Rules of Accountancy Board • Experience Confirmation

23. Why Such a Brief TN Application • CPAES provides the following to TNSBA after Successful Completion of CPA Exam • Actual application to CPAES for Exam • Candidate Eligibility Summary • History of Exam Sittings and Scores • Transcripts Therefore, TN already has a lot of information about you

28. Actual Approval Process • Completed File is Reviewed by TNSBA Executive Director • If Approved – • Letter of Congratulations is Generated and Mailed • Wall Certificate (Suitable for Framing Document) is Requested

29. Actual Wall Certificate • The blank form is generated and sent to calligrapher for licensee name, certificate number and date of issue to be entered • Form comes back from calligrapher • Form is individually signed by Board members and Executive Director • Board meets quarterly • Wall certificate is mailed to licensee

30. What to Expect to Keep Your License • Your license will show a license expiration date – take note • You must renew your license before it expires • You will be sent a postcard to remind you to renew your license • The postcard will be sent to your last mailing address of record filed with TNSBA

31. Basic License Renewal Requirements • Pay license renewal fee • Complete Continuing Professional Education

32. In Closing: • The Accounting Profession offers many opportunities. Licensed professionals assume many different positions in company management as well as in government. And, of course in public practice. • Protect your license! Know the Laws and Rules of the state in which you are licensed. Use the State Board of Accountancy to answer any questions you may have – we are there to assist you.

33. Questions?

34. Thank you for your time and attention! • Feel free to contact us: • Telephone: 615-741-2550 • E-Mail: mark.h.crocker@tn.gov • http://tn.gov/commerce/boards/tnsba/index.shtml