Licensing and Disciplinary Systems

Question 1

State Boards vs AICPA/PCAOB

Answer 1

1. State Board rules follow AICPA, closely.
2. State boards:
   a. Issue licensing.
   b. Revoke licensing.

Question 2

Reasons for revocation by state boards?

Answer 2

• Fraud in obtaining a certificate
• Failing to properly renew CPA license
• If federal/state agency revokes license.
• Violation of professional standards
• Felony convictions involving dishonesty
• Dishonesty, fraud, gross negligence while performing services for clients
• Failing to file CPA’s own TRs

Question 3

Reasons for suspension/expolsion by AICPA?

Answer 3

• Filing fraudulent TR
• License revocation by state boards
• If convicted of a crime punishable by 5 years or more of imprisonment (felony)
• Failing to file own TRs

Question 4

What does JEEP stand for and what is it?

Answer 4

• Joint Ethics Enforcement Program

- joint enforcement of AICPA and State Boards ethic rules