Mobility is a practice privilege that generally permits a licensed CPA in good standing to practice in a state from outside of his or her 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, Texas, and Pennsylvania have adopted the UAA Safe Harbor Language for Mobility.
Effective October 1, 2009, Alabama offers practice privileges.
Individual Practice Privilege As of October 1, 2009, a CPA whose principal place of business is outside of Alabama may exercise all the privileges of Alabama CPAs without the need to obtain a license or pay a fee, if the individual: - holds an active permit, certificate or license which allows the person to engage in the practice of public accountancy as a CPA in another state.
Click here to go to the Alabama State Board of Public Accountancy Mobility information page. Please also review Alabama's mobility statute at Ala. Code § 34-1-7 and the Alabama State Board of Public Accountancy's rules on mobility at Ala. Admin. Code r. 30-x-3-.04.
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. See Ala. Code § 34-1-7(a).
Firm Practice Privilege/Firm Registration Requirement No firm or office not located in Alabama, even if engaged in business in Alabama, shall be required to register as a firm with this Alabama State Board of Public Accountancy. See Ala. Code § 34-1-10(b)
Consent to Jurisdiction By law, a CPA of another state exercising practice privileges in Alabama and the entity which employs the CPA consent, as a condition to the exercise of this privilege, to the following: - The personal and subject matter jurisdiction and disciplinary authority of the Alabama State Board of Public Accountancy and the courts of Alabama.
- Compliance with the provisions of Alabama Accountancy Law and the rules and regulations adopted by the Alabama State Board of Public Accountancy.
- In the event the certificate from the state of the individual's principal place of business is no longer valid, the individual shall cease offering or rendering professional services in Alabama individually and on behalf of the CPA firm.
- The appointment of the board of accountancy which issued the individual or firm license as his agent upon whom process may be served in any action or proceeding by the Alabama State Board of Public Accountancy against the licensee.
Peer Review Requirement Participation in the Peer Review Program and compliance with all rules of the Program and administrative guidelines issued pursuant to the Program are required of all Practice Units (firms) who perform accounting and auditing engagements for the public, including but not limited to audits, reviews, compilations, forecasts, or projections. (See Ala. Admin. Code r. 30-X-8.)
Additional Requirements N/A
Restrictions Anyone holding an Alabama CPA Certificate, whether it be original or reciprocal, must register annually with the Alabama State Board of Public Accountancy, and if practicing in Alabama, must hold a permit to practice (active status). CPAs licensed in another state who hold an Alabama CPA Certificate but are not domiciled in Alabama, who desire to practice in Alabama under practice privileges may do so if they surrender their Alabama CPA Certificate in good standing.
Definitions - "Practice of Public Accounting": The practice of Public Accounting or the practice of Public Accountancy is:
- Performing services as one skilled in the knowledge and practice of Public Accounting; or
- Providing "Attest services" as defined by the following services:
- Any audit or other engagement to be performed in accordance with the Statements on Auditing Standards (SAS).
- Any review of a financial statement to be performed in accordance with the Statements on Standards for Accounting and Review Services (SSARS).
- Any engagement to be performed in accordance with the Statements on Standards for Attestation Engagements (SSAE).
- Any engagement to be performed in accordance with the auditing standards of the Public Company Accounting Oversight Board (PCAOB).
- The statements on standards specified in this definition shall be adopted by reference by the board pursuant to rule making and shall be those developed for general application by recognized national accountancy organizations such as the AICPA and PCAOB.; or
- Providing a service of any compilation engagement performed in accordance with Statements on Standards for Accounting and Review Services (SSARS); or
- Providing a service of any preparation of financial statements engagement performed in accordance with Statements on Standards for Accounting and Review Services (SSARS).
- "Practice Unit": Any firm or entity legally constituted under the laws of the State of Alabama and duly registered with a current permit; and each person certified or registered as a public accountant and holding a current permit who is not a member or employee of any registered firm.
- "Report": A report is a brief description based on the accountant's professional judgement conveying the nature and extent of services performed and the degree of responsibility assumed for the client's representations contained in the related financial statements.
(See Ala. Admin. Code r. 30-X-1.01.)
Statute and/or Regulation Reference Ala. Code § 34-1-7
Ala. Admin. Code r. 30-x-3-.04.
Ala. Admin. Code r. 30-X-8.
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. |
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