Mobility is a practice privilege that generally permits a licensed CPA in good standing to practice in a state from outside of their principal place of business without obtaining another license, so long as the licensee meets certain state specific conditions.
For state accountancy boards that have adopted the Uniform Accountancy Act § 23 Safe Harbor language for mobility, this will allow those licensees who had practice privileges prior to a specific date to proceed to practice, so long as they have a license in good standing and no other state specific restrictions apply. Currently, Delaware, New Jersey, Texas, and Pennsylvania have adopted the UAA Safe Harbor Language for Mobility.
As of September 1, 2010:
Individual Practice Privilege (See NE Public Accy. Act § 1-125.01 and § 1-125.02) - A person who does not hold a CPA certificate or a Nebraska permit and who possesses an active permit, certificate, or license which allows the person to engage in the practice of public accountancy as a CPA in another state and whose principal place of business is outside Nebraska shall have all the practice privileges of a Nebraska CPA, including the use of the title or designation certified public accountant or C.P.A., without the need to hold a certificate or a Nebraska permit, or to notify or register with the Nebraska Board of Public Accountancy or pay any fee.
- Practice privileges extend to professional services offered or rendered, whether in person or by mail, telephone or electronic means, and no notice, fee or other submission shall be provided by any such individual.
- Foreign Temporary Practice Privilege: The Nebraska Board of Public Accountancy may grant a person who holds a certificate, degree, or license in a foreign country constituting a recognized qualification for the practice of public accountancy in such country, and who does not hold a certificate or permit issued by Nebraska or any other state, and whose principal place of business is outside Nebraska, the privilege to temporarily practice in Nebraska on professional business incident to their regular practice outside Nebraska, if such privilege to temporarily practice is conducted in conformity with the rules and regulations of the Nebraska Board of Public Accountancy.
Firm Practice Privilege/Firm Registration Requirement (See NE Public Accy. Act § 1-134; § 1-135; and § 1-136) - Each office established or maintained in Nebraska for the practice of public accountancy in Nebraska by a CPA, by a partnership or LLC of CPAs, or by a Nebraska-registered corporation, shall be registered annually under the Public Accountancy Act with the Nebraska Board of Public Accountancy.
- Permits to engage in the practice of public accountancy in Nebraska shall be issued by the Nebraska Board of Public Accountancy to registered partnerships, LLCs of CPAs, and corporations as long as all offices of such certificate holders or registrants in Nebraska for the practice of public accountancy are maintained and registered as required above.
Consent to Jurisdiction (See NE Public Accy. Act § 1-125.01(2) and § 1-125.02(2)) - Any person of another state exercising the practice privilege, or any person of another country exercising the temporary practice privilege, and any partnership, limited liability company (LLC), or other allowed entity of CPAs which employ that person hereby simultaneously consent, as a condition of the exercise of the practice privilege:
- To the personal and subject-matter jurisdiction and disciplinary authority of the Nebraska Board of Public Accountancy;
- To comply with the Nebraska Public Accountancy Act and the rules adopted and promulgated under it;
- That in the event the authorization to engage in the practice of public accountancy in the state or country of the person's principal place of business is no longer valid, the person will cease offering or rendering professional services in Nebraska individually and on behalf of the person's partnership, LLC, or other allowed entity of CPAs; and
- To the appointment of the state entity which issued the person's authorization to engage in the practice of public accountancy, or to the appointment of the Nebraska Board of Public Accountancy, as the person's agent upon whom process may be served in any action or proceeding by the Nebraska Board of Public Accountancy against the person.
Peer Review Requirement (See 288 NE Rule Ch. 13 § 004) - Public accounting firms that perform attest work, (compilations, reviews, audit, financial statements, agreed-upon procedures, etc.), are subject to the peer review requirement.
- Firms that only perform preparation engagements as defined under the AICPA's SSARS are not subject to peer review.
Firms must enroll in the peer review program of an approved sponsoring organization within twelve (12) months of the performance of its first audit, review, or agreed-upon procedure engagement. Firms must provide the Nebraska Board of Public Accountancy with proof of enrollment and peer review due date as determined by the sponsoring organization within thirty (30) days of its assignment. Firms must have a peer review within eighteen (18) months of the year end of the engagement performed. Firms must schedule and begin an additional peer review within three (3) years of the previous peer review due date, or earlier as may be required by the sponsoring organization.
- Firms shall not be required to become a member of any organization administering an approved peer review program.
Additional Requirements (See NE Public Accy. Act § 1-125.01(4); § 1-125.02(4)) - Any person who exercises the practice privilege or temporary practice privilege, and who, for any entity with its home office in Nebraska, performs attestation services, may only do so through a firm or an affiliated entity which holds a Nebraska permit.
Restrictions (See NE Public Accy. Act § 1-125.01 and § 1-125.02) - A person is not eligible to exercise the practice privilege if the person has a permit, certificate, or license under current suspension or revocation for reasons other than nonpayment of fees or failure to comply with continuing professional education (CPE) requirements in another state.
- Any person who has been granted the temporary practice privilege shall use only the title or designation under which they are generally known in their own country, followed by the name of their foreign country.
- The practice privilege or temporary practice privilege shall not be interpreted to prevent any governmental body from requiring that public accounting services performed for a governmental body or for an entity regulated by a governmental body be performed by a person or firm holding a Nebraska permit.
Definitions (See 288 NE Rule Ch. 3 § 001 and NE Public Accy. Act § 1-106) - "Attest" means providing the following services:
- Any audit or other engagement to be performed in accordance with the American Institute of CPAs (AICPA) Statements on Auditing Standards (SAS);
- Any review of a financial statement to be performed in accordance with the AICPA Statements on Standards for Accounting and Review Services (SSARS);
- Any examination of prospective financial information to be performed in accordance with the AICPA Statements on Standards for Attestation Engagements (SSAE);
- Any engagement to be performed in accordance with the standards of the Public Company Accounting Oversight Board (PCAOB); and
- Any examination, review, or agreed upon procedures engagement to be performed in accordance with the SSAE, other than an examination described above. The standards specified in this definition shall be adopted by reference by the Nebraska Board of Public Accountancy, and shall be those developed for general application by recognized national accountancy organizations, such as the AICPA and the PCAOB.
- “Compilation” shall mean providing a service to be performed in accordance with SSARS, in effect on October 15, 2015.
"Firm" means a partnership, LLC, or corporation engaged in the practice of public accountancy in Nebraska entitled to register with the Nebraska Board of Public Accountancy or a proprietorship engaged in the practice of public accountancy in Nebraska. - "Home Office" is the location specified by the client as the address where the attestation service is directed.
"Peer Review" means a review of one (1) or more aspects of the professional work of a firm that either or both performs attest engagements or performs compilations by an active CPA who holds a Nebraska permit or the equivalent issued by another state and who is not affiliated with the firm being reviewed. - “Practice of public accountancy” shall mean the performance or offering to perform by a person holding oneself out to the public as a permit holder, for a client or potential client, of one (1) or more kinds of services involving:
- The use of accounting or auditing skills, including the issuance of reports on financial statements which state or imply any level of assurance as to the reliability of any financial statements associated with such assurances;
- management, advisory, financial, or consulting services, or the preparation of tax returns or the furnishing of advice on tax matters.
- "Practice Privilege" means the privilege of a CPA licensed in another state to practice public accountancy or hold out as a CPA in Nebraska in accordance with NE Public Accy. Act § 1-125.01 as described above.
- "Principal Place of Business" means the office location designated by the practice privilege CPA as their primary location for the practice of public accountancy.
- "Temporary Practice Privilege" means the privilege of a foreign accountant to temporarily practice public accountancy in Nebraska in accordance with NE Public Accy. Act § 1-125.02 as described below.
Statute and/or Regulation Reference Nebraska Public Accountancy Act § 1-106; § 1-125.01; and § 1-125.02 288 Nebraska Rule Chapter 3 § 001; Ch. 13 § 004
Two (2)-Tiered States - For mobility purposes, "CPA license" means a CPA license granted by the state board after all education, exam and experience requirements have been met. CPAs performing services through mobility may only perform the same level of services (attest or non-attest) in the mobility jurisdiction as they are permitted to perform in the home jurisdiction. Please note the following if you are coming from one (1) of the jurisdictions listed:
- An Alabama certificate holder, holding other than an active license with a permit to practice, may not hold out or practice as a CPA in a mobility jurisdiction.
- A Connecticut certificate holder may not hold out or practice as a CPA in a mobility jurisdiction.
- An Illinois certificate or registered certificate holder may not hold out or practice as a CPA in a mobility jurisdiction.
- Both a Hawaii CPA license and permit are required in order to hold out or practice as a CPA in a mobility jurisdiction.
- A Kansas certificate holder may not hold out or practice as a CPA in a mobility jurisdiction.
- Both a Nebraska CPA certificate and permit are required in order to hold out or practice as a CPA in a mobility jurisdiction.
- An Oklahoma registrant must hold an active permit In order to hold out or practice as a CPA in a mobility jurisdiction.
Disclaimer: The information contained in NASBA’s Accountancy Licensing Library and CPAmobility.org is for informational purposes only and should not be construed as legal advice or legal opinion. The information is based on current state board of accountancy law and rules which are publicly available. Because board law and rules are continuously changing, there may be a slight delay in law or rule effective dates and the information reflected in these websites. NASBA cannot guarantee a mobility outcome based solely on the information contained in these websites, as additional state factors not listed here may be applicable. It is the responsibility of each CPA licensee or permit holder to be knowledgeable of each state board's current laws and rules in the state(s) in which the licensee intends to practice via mobility.
Click Reciprocal Licensure and/or Firm Registration in the menu bar at the top of this page for additional information or if these practice privilege requirements do not apply to you or your firm. |
Subscribe
