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.
Effective May 12, 2008:
Individual Practice Privilege (See Conn. Gen. Stat. § 20-281n) - An individual CPA whose principal place of business is not in Connecticut may exercise all the privileges of Connecticut CPAs without the need to obtain a Connecticut CPA license or pay a fee if the individual:
- Holds a valid license as a CPA from a substantially equivalent jurisdiction; OR
- Obtains verification that such individual's CPA qualifications are substantially equivalent to the CPA licensure requirements of the Uniform Accountancy Act (UAA). A CPA who holds a license in a state that is not on the substantially equivalent jurisdiction list linked above must obtain verification from NASBA's National Qualification Appraisal Service (CredentialNet) that their individual CPA qualifications are substantially equivalent, prior to performing services in Connecticut.
NOTE: - Any individual who passed the Uniform CPA Exam and holds a valid license issued by any other state prior to January 1, 2012, may be exempt from the education requirement of the UAA for purposes of obtaining practice privileges.
- Individuals not meeting the above requirements must apply for a Reciprocal License. Click Reciprocal Licensure above for additional information.
- Practice Privileges extend to professional services offered or rendered in Connecticut, whether in person or by mail, telephone or electronic means, based on a practice privilege, and no notice, fee or other submission shall be required of any such individual.
Firm Practice Privilege/Firm Registration Requirement (See Conn. Gen. Stat. § 20-281e)
- A firm that does not have an office in Connecticut may perform reviews of financial statements in accordance with SSARS and compilations for a client having its home office in Connecticut and may use the title “Certified Public Accountant”, “CPA”, “CPA firm” or other similar title without a firm permit issued by the Connecticut State Board of Accountancy if:
- Such firm has met Connecticut’s Quality or Peer Review requirements; and
- Such firm performs such services through an individual who has practice privileges.
Exception: Any firm that is not required by the above language to obtain a firm permit in Connecticut may perform other professional services while using the title “Certified Public Accountant”, “CPA”, “CPA firm” or other similar title in Connecticut without a Connecticut firm permit if: - Such firm performs such services through an individual who has practice privileges; and
- Such firm can lawfully do so in the state where said individuals with practice privileges have their principal place of business.
Consent to Jurisdiction - Any individual licensee of another state exercising the privilege and the firm that employs such licensee shall consent, as a condition of the grant of such privilege:
- To the personal and subject matter jurisdiction and disciplinary authority of the Connecticut State Board of Accountancy;
- To comply with any applicable provision of state law and Connecticut State Board of Accountancy rules;
- That in the event the license from the state of such individual's principal place of business is no longer valid, such individual shall cease offering or rendering professional services in Connecticut individually and on behalf of a firm; and
- To the appointment of the state board that issued such license as the agent upon whom process may be served in any action or proceeding by the Connecticut State Board of Accountancy against such licensee.
Peer Review Requirement (See Conn. Gen. Stat. § 20-281- 2 through 12)
- A licensed firm must enroll in a board-approved peer review program before issuing a report for each of the following types of service:
- Review of historical financial statements;
- Audit of financial statements, performance audits, or examination of internal controls for nonpublic enterprises;
- Other professional services subject to Statements on Standards for Attestation Engagements (SSAE).
- A new permit holder firm, as a condition of renewal of its permit, must undergo a quality review during the first calendar year after it has been engaged in the practice of public accountancy for one (1) full calendar year. After the initial quality review, the new permit holder shall undergo a quality review every three (3) years thereafter. The Connecticut State Board of Accountancy shall mail to the permit holders, at their addresses as last shown on the records of the Connecticut State Board of Accountancy, notice of the year during which they must undergo quality review.
- Every firm, as a condition of renewal of its permit, must undergo a quality review in accordance with these Regulations to determine and report on the degree of compliance by permit holders with generally-accepted accounting principles, generally-accepted auditing standards, and other similarly recognized authoritative technical standards. The quality review will include the financial reporting areas of practice, including audit engagements, review engagements, and compilation engagements of both historical and prospective financial information.
- A permit holder may be granted a waiver from the quality review requirements under subsection (b) of this section if it annually represents to the Connecticut State Board of Accountancy that:
- It does not engage in financial reporting or attest areas of practice, including audits, compilations and reviews, or:
- It does not intend to engage in such a practice during the following year, and Any firm which has been granted a waiver pursuant to subdivision one (1) of this subsection shall immediately notify the board if it engages in the financial reporting or attest areas of practice and shall undergo a quality review during the first calendar year after its initial acceptance of such an engagement.
Additional Requirements N/A
Restrictions - A firm that does not have an office in Connecticut may perform reviews of financial statements in accordance with SSARS and compilations for a client having its home office in Connecticut and may use the title “Certified Public Accountant”, “CPA”, “CPA firm” or other similar title without a firm permit issued by the Connecticut State Board of Accountancy.
Definitions (See Conn. Gen. Stat. § 20-279b) - “Attest” services means any of 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 examination of prospective financial information 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 PCAOB; and
- Any examination, review or agreed upon procedures engagement to be performed in accordance with the Statements on Standards for Attestation Engagements (SSAE), other than an examination as described in the third bullet of this paragraph.
- “Compilation” means the provision of a service to be performed in accordance with Statements on Standards for Accounting and Review Services (SSARS) that is presented in the form of financial statements that is the representation of management without undertaking to express any assurance on the statements.
- “Report” means, in reference to any attest or compilation service, any opinion, writing or other form of language that:
- Expresses or implies assurance as to the reliability of the attested information or compiled financial statements, and
- Contains or is accompanied by a statement that expresses or implies that the person or firm issuing such opinion, writing or other language has special knowledge or competence in accounting or auditing, which expression or implication arises from, among other things, the use of names or titles by the issuer indicating that the person or firm is an accountant or auditor or from the language of the report itself.
Statute and/or Regulation Reference Conn. Gen. Stat. § 20-281n
Conn. Gen. Stat. § 20-281e
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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