The American Institute of CPAs (AICPA) is partnering with the National Association of State Boards of Accountancy (NASBA) to encourage state CPA societies to begin a dialogue with their state boards on adopting the AICPA Code of Professional Conduct for all licensees.
For CPAs and firms that practice in multiple states, inconsistent requirements and varying ethical standards between state boards may be confusing and could prove costly. Uniform ethical standards make it easier for CPAs to comply with regulations, thereby protecting the public and promoting sound business practices.
The AICPA’s Professional Ethics Executive Committee (PEEC) meets quarterly to ensure that the Code remains relevant and addresses emerging ethical issues in the CPA profession. Because it is impractical – if not impossible – for state regulations to cover every possible ethical situation a CPA may need to address, the AICPA Code provides a conceptual framework for how a CPA should proceed when there is no established guidance.
Eighteen states and jurisdictions have already adopted the full AICPA Code as a requirement for CPAs to practice in their state, 14 have adopted portions of the Code, and over 400,000 members adhere to it as part of their membership in the AICPA. The AICPA, with its partners on the initiative, aims to approach at least 10 state boards in 2015 and ask that they adopt the Code in full, which will help ensure that more CPAs nationwide operate under the same robust ethical standards that AICPA members already follow.
A full-size image of the map is available here.