There is significant momentum across the country to enact a uniform practice mobility system for certified public accountants (CPAs) and CPA firms. A majority of states are in the process of considering this concept. View an overview of the activity.
Practice mobility for CPAs is the ability of a licensee to gain a practice privilege outside of his or her home jurisdiction without obtaining an additional license in another state where he or she will be serving a client or an employer.
Because the electronic age makes conducting business across state borders an everyday occurrence, a national effort is underway to adopt a uniform system that will allow licensed CPAs the ability to provide services across state lines without being subject to unnecessary burdens that do not protect the public interest.
This uniform approach is endorsed by the AICPA and the National Association of State Boards of Accountancy (NASBA), the national organization of state boards of accountancy, through a provision in the AICPA/NASBA Uniform Accountancy Act (UAA) – Fifth Edition. The provision specifically allows for interstate practice by CPAs whose home jurisdiction or who individually meets the UAA licensure standard.
This provision provides the right balance of trust and public protection. Removing notification is being coupled with automatic jurisdiction. By removing boundaries to practice in the U.S., CPAs will be able to more readily serve individuals and businesses in need of their expertise. At the same time, the state board of accountancy’s ability to discipline under the provision is enhanced and is based on the CPA and the CPA firm’s performance of public accounting services, either physically, electronically or otherwise within a state, rather than restricting the board’s authority to only those holding a state’s license.
Prior to 2007, when this national effort was undertaken, four states had already eliminated notification and added automatic consent to enforcement (Ohio, Missouri, Virginia, and Wisconsin). In both Ohio and Virginia, states that have the longest history with this concept, there is no documented lapse in public protection.
Mobility Update
As of May 1, 2008
Connecticut Passes Mobility Legislation Unanimously in the House and Senate!
On April 29th, 2008, the Connecticut House joined the Senate and voted unanimously to pass mobility legislation consistent with the substantial equivalency provision in the UAA, Fifth Edition. The measure has been sent to Governor M. Jodi Rell for signature. Connecticut becomes the 23rd state to enact a full mobility provision and the 12th state in 2008.
After gaining gubernatorial signature Connecticut will join Illinois, Indiana, Idaho, Iowa, Kentucky, Louisiana, Maine, Minnesota, Mississippi, Missouri, New Mexico, Ohio, Rhode Island, Tennessee, Texas, Utah, Virginia, Washington, West Virginia, and Wisconsin.
These states are to be applauded for their efforts toward providing a national uniform mobility system.
Awaiting Gubernatorial Approval
- Colorado
- Connecticut
- Georgia
- Maryland
Ongoing Activity
Currently, 11 states have mobility legislation pending: Alabama, Arizona, California, Delaware, Hawaii, Massachusetts, Michigan, New Jersey, Oklahoma, Pennsylvania, and South Carolina.
Mobility Reference Materials
State Licensing Issues
For questions concerning the "Mobility Initiative" or any other legislative information please contact the following AICPA staff members:
Sheri Bango Cavaney - Vice President, Practice Mobility & State Regulatory & Legislative Affairs
Ann Pallasch - Manager, Mobility & State Regulation & Legislation
Aaron Castelo - Manager, State Legislation
Suzanne Jolicoeur - Manager, State Regulatory Outreach