reglab/statecodes huggingface dataset:
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 6 - Peer Review › Section 48 - Minimum Requirements for a Peer Review Program

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
For a peer review program provider to receive Board
				  recognition and be authorized to administer peer reviews in California, the
				  peer review program provider shall submit evidence to the satisfaction of the
				  Board that the peer review program is comprised of a set of standards for
				  performing, reporting on, and administering peer reviews. A peer review program
				  shall include the following components:
(a) Peer Review Types
A peer review program shall have a minimum of two types of
				  peer reviews that include the following:
(1) For firms performing engagements under
				the Statements on Auditing Standards (SASs), Government Auditing Standards,
				examinations of prospective financial statements under the Statements on
				Standards on Attestation Engagements (SSAEs), or audits of non-Security
				Exchange Commission (SEC) issuers performed pursuant to the standards of the
				Public Company Accounting Oversight Board (PCAOB), the firm shall undergo a
				peer review designed to test the firm's system of quality control. The scope of
				the peer review shall be such that it provides a peer reviewer with a
				reasonable assurance that a firm's system of quality control was designed in
				accordance with professional standards and was complied with by a firm's
				personnel.
(2) For firms only
				performing engagements under the Statements on Standards for Accounting and
				Review Services (SSARS) or under Statements on Standards on Attestation
				Engagements (SSAEs) not encompassed in review performed under subsection
				(a)(1), the firm shall undergo a peer review designed to test a cross-section
				of a firm's engagements to assess whether the engagements were performed in
				conformity with the applicable professional standards.
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 6 - Peer Review › Section 48.1 - Board-Recognition of the American Institute of Certified Public Accountants, Inc. Peer Review Program

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
The American Institute of Certified Public Accountants, Inc.
				  Peer Review Program is hereby recognized as meeting the minimum peer review
				  program requirements as outlined in Section
				  48 of this Article and is
				  authorized to administer peer reviews in California. If in the future the Board
				  deems the American Institute of Certified Public Accountants, Inc. Peer Review
				  Program to no longer meet the minimum qualifications specified in Section
				  48 of this Article, the Board
				  shall rescind its recognition pursuant to Section
				  48.5 of this
				  Article.
1. New section
				  filed 12-10-2009 as an emergency; operative 1-1-2010 (Register 2009, No. 50). A
				  Certificate of Compliance must be transmitted to OAL by 6-30-2010 or emergency
				  language will be repealed by operation of law on the following
				  day.
2. New section refiled 6-18-2010 as an emergency; operative
				  6-30-2010 (Register 2010, No. 25). A Certificate of Compliance must be
				  transmitted to OAL by 9-29-2010 or emergency language will be repealed by
				  operation of law on the following day.
3. New section refiled
				  9-22-2010 as an emergency; operative 9-29-2010 (Register 2010, No. 39). A
				  Certificate of Compliance must be transmitted to OAL by 12-28-2010 or emergency
				  language will be repealed by operation of law on the following
				  day.
4. Certificate of Compliance as to 9-22-2010 order transmitted
				  to OAL 11-5-2010 and filed 12-20-2010 (Register 2010, No.
				  52).
Note: Authority cited: Sections
					 5010
					 and
					 5076,
					 Business and Professions Code. Reference: Section
					 5076,
					 Business and Professions Code.
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 6 - Peer Review › Section 48.2 - Applying to Become a Board-Recognized Peer Review Program

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
Prior to receiving Board recognition to perform peer reviews
				  in California, a peer review program provider shall submit the following
				  application:
Application to Become a Board-Recognized Peer Review
				  Program
( 
				  1/10), which is
				  hereby incorporated by reference. With the application, the firm shall submit
				  materials evidencing the program meets the requirements outlined in Section
				  48.
1. New section
				  filed 12-10-2009 as an emergency; operative 1-1-2010 (Register 2009, No. 50). A
				  Certificate of Compliance must be transmitted to OAL by 6-30-2010 or emergency
				  language will be repealed by operation of law on the following
				  day.
2. New section refiled 6-18-2010 as an emergency; operative
				  6-30-2010 (Register 2010, No. 25). A Certificate of Compliance must be
				  transmitted to OAL by 9-29-2010 or emergency language will be repealed by
				  operation of law on the following day.
3. New section refiled
				  9-22-2010 as an emergency; operative 9-29-2010 (Register 2010, No. 39). A
				  Certificate of Compliance must be transmitted to OAL by 12-28-2010 or emergency
				  language will be repealed by operation of law on the following
				  day.
4. Certificate of Compliance as to 9-22-2010 order, including
				  amendment of section, transmitted to OAL 11-5-2010 and filed 12-20-2010
				  (Register 2010, No. 52).
Note: Authority cited: Sections
					 5010
					 and
					 5076,
					 Business and Professions Code. Reference: Section
					 5076,
					 Business and Professions Code.
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 6 - Peer Review › Section 48.3 - Board-Recognized Peer Review Program Provider Reporting Responsibilities

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
(a) Upon
				request of the Board or Peer Review Oversight Committee, a Board-recognized
				peer review program provider shall make available, at a minimum, the following:
(1) Standards, procedures, guidelines,
				training materials, and similar documents prepared for the use of reviewers and
				reviewed firms.
(2) Information
				concerning the extent to which the Board-recognized peer review program
				provider has reviewed the quality of reviewers' working papers in connection
				with the acceptance of reviews.
(3)
				Statistical data maintained by the Board-recognized peer review program
				provider related to its role in the administration of peer reviews.
(4) Information concerning the extent to
				which the Board-recognized peer review program provider has reviewed the
				qualifications of its reviewers.
(5) Sufficient documents to conduct sample
				reviews of peer reviews accepted by the Board-recognized peer review program
				provider. These may include, but are not limited to, the report; reviewer
				working papers prepared or reviewed by the Board-recognized peer review
				program's peer review committee in association with the acceptance of the
				review; and materials concerning the acceptance of the review, including, but
				not limited to, the imposition of required remedial or corrective actions; the
				monitoring procedures applied; and the results.
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 6 - Peer Review › Section 48.4 - Reconsideration of a Denied Applicant

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
(a) An applicant pursuant to Section
				48.2 whose peer review program has
				been denied by the Board may request an informal hearing of such action to the
				Board. The request for an informal hearing shall be filed within six months of
				the denial or the mailing of written notification, whichever is later. The
				appeal shall contain the following information:
(1) The name and business address of the
				provider making the appeal.
(2) The
				action being appealed and the date of any written notification by the
				Board.
(3) A summary of the basis
				for the request for an informal hearing, including any information which the
				provider believes was not given adequate consideration by the
				Board.
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 6 - Peer Review › Section 48.5 - Withdrawal of Board Recognition

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
(a) The Board may rescind and withdraw its
				recognition of a peer review program if it is determined that the peer review
				program is not in compliance with the requirements of this Article, the
				provider failed to respond to an informational request by the Board or the Peer
				Review Oversight Committee, or the provider made any material misrepresentation
				of fact related to any information required to be submitted to the Board or the
				Peer Review Oversight Committee.
(b) The order of withdrawal of Board
				recognition shall be issued by the Board or its executive officer, without
				prior notice or hearing, and is effective immediately when mailed to the peer
				review program provider's address of record.
(c) The order of withdrawal of Board
				recognition shall contain the following:
(1)
				The reason for the withdrawal, including the specific statutes and regulations
				with which the program showed non-compliance.
(2) A statement that the peer review program
				provider has the right, within 30 days, to request an informal hearing to
				appeal the withdrawal of Board recognition.
(3) A statement that any informal hearing
				shall be scheduled before the Board or its designee, at which time a peer
				review program provider shall be afforded the opportunity to be
				heard.
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 6 - Peer Review › Section 48.6 - Records of Proceedings

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
For any informal hearings conducted by the Board pursuant to
				  Sections 48.4 and
				  48.5 of this Article, the Board
				  shall maintain a record of its proceedings, such as the minutes of the meeting
				  or an audio recording of the meeting.
1. New section
				  filed 12-10-2009 as an emergency; operative 1-1-2010 (Register 2009, No. 50). A
				  Certificate of Compliance must be transmitted to OAL by 6-30-2010 or emergency
				  language will be repealed by operation of law on the following
				  day.
2. Editorial correction (Register 2010, No. 25).
3.
				  New section refiled 6-18-2010 as an emergency; operative 6-30-2010 (Register
				  2010, No. 25). A Certificate of Compliance must be transmitted to OAL by
				  9-29-2010 or emergency language will be repealed by operation of law on the
				  following day.
4. New section refiled 9-22-2010 as an emergency;
				  operative 9-29-2010 (Register 2010, No. 39). A Certificate of Compliance must
				  be transmitted to OAL by 12-28-2010 or emergency language will be repealed by
				  operation of law on the following day.
5. Certificate of Compliance
				  as to 9-22-2010 order transmitted to OAL 11-5-2010 and filed 12-20-2010
				  (Register 2010, No. 52).
6. Amendment filed 12-21-2010; operative
				  1-20-2011 (Register 2010, No. 52).
Note: Authority cited: Sections
					 5010,
					 5076
					 and
					 5076.1,
					 Business and Professions Code. Reference: Section
					 5076,
					 Business and Professions Code.
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 8 - Appeals › Section 49 - Appeals

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
(a) Any applicant
				who is aggrieved by any action of any of the board's committees or its staff
				may appeal from such action to the board. The appeal shall be filed within 24
				months of the action being appealed or the mailing of written notification from
				the board, whichever is later. Two signed copies of the appeal shall be mailed
				or delivered to the office of the California Board of Accountancy. The appeal
				shall contain the following information:
(1)
				The name, business address and residence address of the applicant making the
				appeal.
(2) The action being
				appealed from and the date of any written notification from the
				board.
(3) A summary of the basis
				for the appeal, including any information which the applicant believes was not
				given adequate consideration by the committee or staff.
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 9 - Rules of Professional Conduct › Section 50 - Client Notification

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
Every licensee engaged in the practice of public accountancy
				  shall provide notice reasonably calculated to be received by the licensee's
				  clients of the fact that the licensee is licensed by the California Board of
				  Accountancy. For purposes of this section, "licensee" means a Certified Public
				  Account, Public Accountant, accountancy partnership, or accountancy corporation
				  licensed by the California Board of Accountancy. Notice shall be provided by
				  any of the following methods:
(a)
				Displaying the certificate of licensure issued by the Board in the office or
				the public area of the premises where the licensee provides the licensed
				service.
(b) Providing a statement
				to each client to be signed and dated by the client and retained in that
				person's records that states the client understands the person is licensed by
				the California Board of Accountancy.
(c) Including a statement that the licensee
				is licensed by the California Board of Accountancy either on letterhead or on a
				contract for services where the notice is placed immediately above the
				signature line for the client in at least 12 point type.
(d) Posting a notice in a public area of the
				premises where the licensee provides the licensed services, in at least
				48-point type, that states the named licensee is licensed by the California
				Board of Accountancy.
(e) Any other
				method of written notice, including a written notice that is electronically
				transmitted or a written notice posted at an Internet Website.
1. New section
				  filed 5-10-2000; operative 6-9-2000 (Register 2000, No. 19).
2.
				  Amendment filed 6-12-2002; operative 6-12-2002 pursuant to Government Code
				  section
				  11343.4
				  (Register 2002, No. 24).
Note: Authority cited: Sections
					 5010
					 and
					 5018,
					 Business and Professions Code. Reference: Section
					 138,
					 Business and Professions Code.
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 9 - Rules of Professional Conduct › Section 50.1 - Attest Client Notification Regarding Composition of Firm Ownership

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
Any licensee employed by a firm in which no licensee owners
				  are authorized to sign reports on attest engagements pursuant to Business and
				  Professions Code Section
				  5095
				  must, prior to engaging in attest services, provide written notification to any
				  attest client or prospective attest client of the ownership composition of the
				  firm. Notice shall be provided by any of the following methods:
(a) Providing a statement to the attest
				client or prospective attest client to be signed and dated by the client and
				retained in the client's records, which states the client or prospective client
				understands that no firm owners are authorized to sign reports on attest
				engagements.
(b) Posting a written
				notice on the firm's Internet Web site, disclosing all owner's names and
				whether each is authorized to sign reports on attest engagements pursuant to
				Business and Professions Code Section
				5095.
1. New section
				  filed 2-18-2010; operative 3-20-2010 (Register 2010, No.
				  8).
Note: Authority cited: Sections
					 5010,
					 5018
					 and
					 5095,
					 Business and Professions Code. Reference: Sections
					 138,
					 5018
					 and
					 5095,
					 Business and Professions Code.
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 9 - Rules of Professional Conduct › Section 51 - Firms with Nonlicensee Owners

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
At initial registration and at renewal, all firms shall
				  certify that any nonlicensee owner with his or her principal place of business
				  in this state has been informed regarding the rules of professional conduct
				  applicable to accountancy firms. This certification shall be signed by a
				  licensed partner or licensed shareholder of the firm.
1. New section
				  filed 7-22-99; operative 8-21-99 (Register 99, No.
				  30).
Note: Authority cited: Sections
					 5010,
					 5018
					 and
					 5079,
					 Business and Professions Code. Reference: Section
					 5079,
					 Business and Professions Code.
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 9 - Rules of Professional Conduct › Section 51.1 - Notification of Non-Licensee Ownership

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
(a) Any firm with a nonlicensee owner or
				owners that has one or more offices located in California shall notify each
				client served by an office located in California of the actual or potential
				involvement of a nonlicensee owner or owners in any service to be provided to
				the client by the firm. Notice shall be provided by any of the following
				methods:
(1) Providing a statement to each
				client served by a California office to be signed and dated by the client and
				retained in the firm's records that states that the client understands that
				services will or may be provided by a nonlicensee owner of the firm.
(2) Including a statement that the firm has a
				nonlicensee owner or owners who may provide client services in any contract for
				services, proposal letter, or engagement letter with the client served by a
				California office.
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 9 - Rules of Professional Conduct › Section 52 - Response to Board Inquiry

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
(a) A
				licensee shall respond to any inquiry by the Board or its appointed
				representatives within 30 days. The response shall include making available all
				files, working papers and other documents requested.
(b) A licensee shall respond to any subpoena
				issued by the Board or its executive officer or the assistant executive officer
				in the absence of the executive officer within 30 days and in accordance with
				the provisions of the Accountancy Act and other applicable laws or
				regulations.
(c) A licensee shall
				appear in person upon written notice or subpoena issued by the Board or its
				executive officer or the assistant executive officer in the absence of the
				executive officer.
(d) A licensee
				shall provide true and accurate information and responses to questions,
				subpoenas, interrogatories or other requests for information or documents and
				not take any action to obstruct any Board inquiry, investigation, hearing or
				proceeding.
1. Renumbering
				  of former section
				  54.1 to new section
				  52 and amendment of section
				  heading filed 8-4-95; operative 9-3-95 (Register 95, No. 31).
2.
				  Repealer and new section and amendment of NOTE filed 1-23-2004; operative
				  1-23-2004 pursuant to Government Code section
				  11343.4
				  (Register 2004, No. 4).
Note: Authority cited: Sections
					 5010
					 and
					 5018,
					 Business and Professions Code. Reference: Sections
					 5018,
					 5100,
					 5103
					 and
					 5108,
					 Business and Professions Code.
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 9 - Rules of Professional Conduct › Section 52.1 - Failure to Appear. [Repealed]

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
1. Renumbering
				  and amendment of former section
				  69.1 to new section
				  52.1 and amendment of NOTE filed
				  8-4-95; operative 9-3-95 (Register 95, No. 31).
2. Repealer filed
				  1-23-2004; operative 1-23-2004 pursuant to Government Code section
				  11343.4
				  (Register 2004, No. 4).
Note: Authority cited: Sections
					 5010
					 and
					 5018,
					 Business and Professions Code. Reference: Sections
					 5018
					 and
					 5020,
					 Business and Professions Code.
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 9 - Rules of Professional Conduct › Section 53 - Discrimination Prohibited

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
No licensee or registrant shall engage in any conduct or
				  practice which shall deny any person an opportunity or benefit of employment
				  within the accounting profession based on race, color, religious creed,
				  national origin, ancestry, physical handicap, sex, marital status, sexual
				  orientation or age.
1. New section
				  filed 6-8-81; effective thirtieth day thereafter (Register 81, No.
				  24).
Note: Authority cited: Sections
					 5010
					 and
					 5018,
					 Business and Professions Code. Reference: Section
					 5018,
					 Business and Professions Code.
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 9 - Rules of Professional Conduct › Section 54 - Confidential Information Defined, Exception

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
"Confidential information" includes all information obtained
				  by a licensee, in his or her professional capacity, concerning a client or a
				  prospective client, except that it does not include information obtained from a
				  prospective client who does not subsequently become a client, where all of the
				  following conditions are met:
(a) The
				licensee provides reasonable notice to the prospective client or the
				prospective client's representative that the information will not be treated as
				confidential information in the event the provider does not become a client and
				that providing such information will not preclude the licensee from being
				employed by a party adverse to the potential client in any current or future
				legal action or proceeding. For purposes of this section "reasonable notice"
				shall mean the following:
(1) With respect to
				oral communications, including telephonic communications, reasonable notice
				consists of oral notice to the speaker given immediately by the licensee upon
				hearing that client information is being presented or will be
				presented.
(2) With respect to
				written communications, including electronic and facsimile communications,
				reasonable notice consists of an oral or written notice to the sender within
				one business day.
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 9 - Rules of Professional Conduct › Section 54.1 - Disclosure of Confidential Information Prohibited

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
(a) No confidential information obtained by a
				licensee, in his or her professional capacity, concerning a client or a
				prospective client shall be disclosed by the licensee without the written
				permission of the client or prospective client, except for the following:
(1) disclosures made by a licensee in
				compliance with a subpoena or a summons enforceable by order of a
				court;
(2) disclosures made by a
				licensee regarding a client or prospective client to the extent that the
				licensee reasonably believes that it is necessary to maintain or defend
				himself/herself in a legal proceeding initiated by that client or prospective
				client;
(3) disclosures made by a
				licensee in response to an official inquiry from a federal or state government
				regulatory agency;
(4) disclosures
				made by a licensee or a licensee's duly authorized representative to another
				licensee in connection with a proposed sale or merger of the licensee's
				professional practice;
(5)
				disclosures made by a licensee to (A) another licensee to the extent necessary
				for purposes of professional consultation and to (B) professional standards
				review, ethics or quality control peer review organizations;
(6) disclosures made when specifically
				required by law;
(7) disclosures
				made at the direct request of the client to a person or entity that is
				designated by the client at the time of the request.
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 9 - Rules of Professional Conduct › Section 54.2 - Recipients of Confidential Information

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
Members of the Board, its appointed representatives
				  professional practice reviewers and other persons designated in section
				  54.1(a)(4)-(a)(6)
				  shall not disclose information concerning licensees or their clients which
				  comes to their attention in carrying out their professional responsibilities;
				  provided, however, such information may be disclosed:
(a) as part of disciplinary proceedings with
				the Board,
(b) as part of legal
				actions in which the Board is a party,
(c) in response to an official inquiry from a
				federal or state governmental regulatory agency,
(d) in compliance with a subpoena or summons
				enforceable by order of a court, or
(e) when otherwise specifically required by
				law.
1. New section
				  filed 1-5-90; operative 2-4-90 (Register 90, No. 3).
2. Editorial
				  correction of printing error in HISTORY 1 (Register 91, No. 30).
3.
				  Editorial correction of Reference cite (Register 95, No. 30).
4.
				  Amendment of first paragraph filed 8-4-95; operative 9-3-95 (Register 95, No.
				  31).
5. Amendment of first paragraph filed 11-20-98; operative
				  12-20-98 (Register 98, No. 47).
6. Amendment of first paragraph and
				  NOTE filed 4-14-2005; operative 5-14-2005 (Register 2005, No.
				  15).
Note: Authority cited: Sections
					 5010,
					 5018
					 and
					 5063.3,
					 Business and Professions Code. Reference: Sections
					 5018
					 and
					 5063.3,
					 Business and Professions Code.
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 9 - Rules of Professional Conduct › Section 55 - Permission to Use Name. [Repealed]

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
1. Amendment
				  filed 2-4-60; effective thirtieth day thereafter (Register 60, No.
				  3).
2. Amendment filed 4-12-83; effective thirtieth day thereafter
				  (Register 83, No. 16).
3. Amendment filed 8-4-95; operative 9-3-95
				  (Register 95, No. 31).
4. Change without regulatory effect repealing
				  section filed 9-19-2001 pursuant to section
				  100, title 1, California Code of
				  Regulations (Register 2001, No. 38).
Note: Authority cited: Sections
					 5010
					 and
					 5018,
					 Business and Professions Code. Reference: Sections
					 5010,
					 5018
					 and
					 5059,
					 Business and Professions Code.
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 9 - Rules of Professional Conduct › Section 56 - Commissions-Basic Disclosure Requirement

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
(a) A licensee shall not accept any fee or
				commission permitted by Business and Professions Code Section
				5061
				unless he or she complies with the provisions of this section and Section
				56.1
(b) A licensee who may receive a fee or
				commission pursuant to Business and Professions Code Section
				5061
				shall furnish to the client, at or prior to the time the recommendation of the
				product or service is made, a written disclosure statement in 12 point type or
				larger that contains the following information:
(1) The fact that the fee or commission is to
				be paid for professional services and that a fee or commission cannot be
				accepted solely for the referral of the client to the products or services of a
				third party.
(2) A description of
				the product(s) or service(s) which the licensee is recommending to the client,
				the identity of the third party that is expected to provide the product or
				service, the business relationship of the licensee to the third party, a
				description of any fee or commission which may be received by the licensee,
				including, but not limited to, any supplemental fee or commission or other
				compensation allocable to the client being provided with the product or service
				of the third party. Where the product(s) or service(s) cannot be specifically
				identified at the time of the initial disclosure, this information shall be
				included in a supplemental disclosure within 30 days of receipt of the fee or
				commission.
(3) The dollar amount
				or value of the fee or commission payment(s) or the basis on which the
				payment(s) shall be computed.
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 9 - Rules of Professional Conduct › Section 56.1 - Commissions-Professional Services Provided to the Client

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
The professional services which must be provided to the
				  client in conjunction with the products or services of a third party under
				  Business and Professions Code Section
				  5061(b)
				  shall include consultation with the client regarding the third party's product
				  or service in relation to the client's circumstances.
1. New section
				  filed 1-7-99; operative 1-7-99 pursuant to Government Code section
				  11343.4(d)
				  (Register 99, No. 2).
Note: Authority cited: Section
					 5010,
					 5018
					 and
					 5061,
					 Business and Professions Code. Reference: Section
					 5061,
					 Business and Professions Code.
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 9 - Rules of Professional Conduct › Section 56.2 - Commissions-Disclosure Requirement and Other Rules of Professional Conduct

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
Nothing in Section
				  56 permits a licensee either (1)
				  to accept any fee or commission which would violate the requirement that a
				  licensee be independent in the performance of services in accordance with
				  professional standards (Section
				  65) or (2) to concurrently engage
				  in the practice of public accountancy and in any other business or occupation
				  which impairs the licensee's independence, objectivity, or creates a conflict
				  of interest in rendering professional services (Section
				  57). However, the act of a
				  licensee taking a fee or commission as permitted by Business and Professions
				  Code Section
				  5061
				  and in conformity with Section
				  56 does not, by itself, constitute
				  an impairment of a licensee's objectivity or create a conflict of interest in
				  rendering professional services.
1. New section
				  filed 1-7-99; operative 1-7-99 pursuant to Government Code section
				  11343.4(d)
				  (Register 99, No. 2).
Note: Authority cited: Section
					 5010,
					 5018
					 and
					 5061,
					 Business and Professions Code. Reference: Sections
					 5018
					 and
					 5061,
					 Business and Professions Code.
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 9 - Rules of Professional Conduct › Section 56.3 - Commissions-Definitions

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
For purposes of Sections
				  56,
				  56.1, and
				  56.2 of the Board's regulations
				  the following definitions apply:
(a)
				"Licensee" means a Certified Public Accountant, Public Accountant, or firm
				licensed by the Board of Accountancy, including a firm with nonlicensee owners,
				that is engaged in the practice of public accountancy as defined by Business
				and Professions Code Section
				5051.
(b) The term "a third party" means all
				persons other than the licensee, the licensee's client, and any licensee firm
				of which the licensee is an employee, partner, or owner.
(c) "The basis on which the payment(s) shall
				be computed" shall be a formula which can be used to calculate the dollar
				amount or value of the fee or commission once the dollar amount or value of the
				transaction is known.
1. New section
				  filed 1-7-99; operative 1-7-99 pursuant to Government Code section
				  11343.4(d)
				  (Register 99, No. 2).
Note: Authority cited: Section
					 5010,
					 5018
					 and
					 5061,
					 Business and Professions Code. Reference: Section
					 5061,
					 Business and Professions Code.
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 9 - Rules of Professional Conduct › Section 56.4 - "Officer" and "Director."

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
The terms "director" and "officer" as defined under Section
				  5061(c) does not
				  include a director or officer of a nonprofit corporation, or a corporation that
				  together with any affiliates, has 100 or less employees or average annual gross
				  receipts of ten million dollars ($10,000,000) of less over the previous three
				  tax years. The term "average annual gross receipts" means all pecuniary gross
				  receipts (less returns, allowances and interaffiliate transactions), the
				  assignment of such receipts notwithstanding, of a business concern from
				  whatever source derived, as entered or to have been entered on its regular
				  books of account for its most recently completed fiscal year (whether on a
				  cash, accrual, completed contracts, percentage of completion or other commonly
				  recognized and accepted accounting method).
1. New section
				  filed 1-23-2004; operative 1-23-2004 pursuant to Government Code section
				  11343.4
				  (Register 2004, No. 4).
Note: Authority cited: Sections
					 5010,
					 5018
					 and
					 5061,
					 Business and Professions Code. Reference: Section
					 5061,
					 Business and Professions Code.
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 9 - Rules of Professional Conduct › Section 57 - Incompatible Occupations/Conflict of Interest

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
A licensee shall not concurrently engage in the practice of
				  public accountancy and in any other business or occupation which impairs the
				  licensee's independence, objectivity, or creates a conflict of interest in
				  rendering professional services.
1. Amendment
				  filed 2-14-75; effective thirtieth day thereafter (Register 75, No.
				  7).
2. Amendment filed 4-12-83; effective thirtieth day thereafter
				  (Register 83, No. 16).
Note: Authority cited: Sections
					 5010
					 and
					 5018,
					 Business and Professions Code. Reference: Section
					 5018,
					 Business and Professions Code.
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 9 - Rules of Professional Conduct › Section 58 - Compliance with Standards

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
Licensees engaged in the practice of public accountancy shall
				  comply with all applicable professional standards, including but not limited to
				  generally accepted accounting principles and generally accepted auditing
				  standards.
1. New section
				  filed 10-9-79; effective thirtieth day thereafter (Register 79, No. 41). For
				  prior history, see Registers 68, No. 38; 66, No. 1; 61, No. 22; 20, No. 6; and
				  10, No. 5.
2. Amendment of section heading and section filed 8-4-95;
				  operative 9-3-95 (Register 95, No. 31).
3. Change without regulatory
				  effect amending NOTE filed 2-27-2012 pursuant to section
				  100, title 1, California Code of
				  Regulations (Register 2012, No. 9).
Note: Authority cited: Sections
					 5010
					 and
					 5018,
					 Business and Professions Code. Reference: Section
					 5018,
					 Business and Professions Code.
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 9 - Rules of Professional Conduct › Section 58.1 - Accountant's Report on the Examination of Financial Statements. [Repealed]

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
1. Amendment
				  filed 10-9-79; effective thirtieth day thereafter (Register 79, No. 41). For
				  prior history, see Registers 75, No. 52; 73, No. 1; and 68, No.
				  38.
2. Repealer of subsection (b) filed 3-18-81; effective thirtieth
				  day thereafter (Register 81, No. 12).
3. Repealer filed 8-4-95;
				  operative 9-3-95 (Register 95, No. 31).
Note: Authority cited: Sections
					 5010
					 and
					 5018,
					 Business and Professions Code. Reference: Sections
					 5010
					 and
					 5018,
					 Business and Professions Code.
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 9 - Rules of Professional Conduct › Section 58.2 - Accountant's Report on Unaudited Financial Information of a Public Entity. [Repealed]

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
1. Amendment
				  filed 10-9-79; effective thirtieth day thereafter (Register 79, No. 41). For
				  prior history, see Registers 75, No. 2; 73, No. 1; and 68, No.
				  38.
2. Repealer of subsection (d) filed 3-18-81; effective thirtieth
				  day thereafter (Register 81, No. 12).
3. Repealer filed 8-4-95;
				  operative 9-3-95 (Register 95, No. 31).
Note: Authority cited: Sections
					 5010
					 and
					 5018,
					 Business and Professions Code. Reference: Sections
					 5010
					 and
					 5018,
					 Business and Professions Code.
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 9 - Rules of Professional Conduct › Section 58.3 - Compilation and Review of Financial Statements. [Repealed]

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
1. Amendment
				  filed 10-9-79; effective thirtieth day thereafter (Register 79, No. 41). For
				  prior history, see Register 79, No. 25.
2. Repealer of subsection
				  (b) and consecutive relettering of subsections (c)-(e) filed 3-18-81; effective
				  thirtieth day thereafter (Register 81, No. 12).
3. Repealer filed
				  8-4-95; operative 9-3-95 (Register 95, No. 31).
Note: Authority cited: Sections
					 5010
					 and
					 5018,
					 Business and Professions Code. Reference: Sections
					 5010
					 and
					 5018,
					 Business and Professions Code.
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 9 - Rules of Professional Conduct › Section 58.4 - Unaudited Financial Statements. [Repealed]

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
1. New section
				  filed 10-9-79; effective thirtieth day thereafter (Register 79, No.
				  41).
2. Repealer filed 4-12-83; effective thirtieth day thereafter
				  (Register 83, No. 16).
Note: Authority cited: Sections
					 5010
					 and
					 5018,
					 Business and Professions Code. Reference: Sections
					 5010
					 and
					 5018,
					 Business and Professions Code.
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 9 - Rules of Professional Conduct › Section 59 - Reporting of Restatements

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
(a)
				To comply with the requirements of paragraph (1) of subdivision (b) of Business
				and Professions Code Section
				5063,
				a licensee who issues a report on a client's restated financial statement shall
				report to the Board:
(1) Any restatement of a
				financial statement reporting the correction of any error in a previously
				issued financial statement of a client that is a government agency located in
				California, when the financial restatement(s) exceeds the planning materiality
				used by the licensee in conjunction with the current year audit. For purposes
				of this paragraph, planning materiality means the planned level of
				misstatements, individually or in aggregate, that would cause the financial
				statements to not be presented fairly, in all material respects, in conformity
				with generally accepted accounting principles.
(2) Any restatement of a financial statement
				of a charitable organization registered by the Office of the Attorney General's
				Registry of Charitable Trusts which is issued for purposes of correcting any
				error in a previously issued financial statement and which has resulted in the
				filing of an amended or superceding Internal Revenue Service Form 990 of
				990PF.
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 9 - Rules of Professional Conduct › Section 60 - Reporting of Investigations by the Securities and Exchange Commission Pursuant to Section 5063(b)(3); Reporting of Notices of Requests for Wells Submissions Pursuant to Section 5063 (b)(4); and Reporting of Investigations by the Public Company Accounting Oversight Board Pursuant to Section 5063(b)(5)

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
(a) For purposes of
				reporting pursuant to Section
				5063 (b)(5),
				notice of the opening or initiation of an investigation by the Public Company
				Accounting Oversight Board shall include any notice by the Public Company
				Accounting Oversight Board that it is initiating an investigation of the
				licensee.
(b) Reports received by
				the Board pursuant to the requirements of subsection (a) of this section or of
				paragraphs (3), (4) or (5) of subdivision (b) of Business and Professions Code
				5063 shall not be publicly disclosed other than (1) in the course of any
				disciplinary proceeding by the Board after the filing of a formal accusation;
				(2) in the course of any legal action to which the Board is a party; (3) in
				response to an official inquiry from a state or federal agency; (4) in response
				to a subpoena or summons enforceable by order of a court; or (5) when otherwise
				specifically required by law.
1. New section
				  filed 1-23-2004; operative 1-23-2004 pursuant to Government Code section
				  11343.4
				  (Register 2004, No. 4). For prior history, see Register 95, No.
				  31.
Note: Authority cited: Sections
					 5010,
					 5018
					 and
					 5063,
					 Business and Professions Code. Reference: Section
					 5063,
					 Business and Professions Code.
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 9 - Rules of Professional Conduct › Section 61 - The Reporting of Settlements, Arbitration Awards, and Judgments

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
(a) To meet the
				reporting requirements of paragraph (b)(2) of Section
				5063, licensees shall report
				settlements and arbitration awards consistent with that provision that are the
				result of actions brought by persons located, residing, or doing business in
				California.
(b) Reports of
				judgments in civil actions alleging negligent conduct (but not dishonesty,
				fraud, or gross negligence) by a licensee pursuant to paragraph (c)(1) of
				Section 5063 shall be limited to those
				judgments in which a person located, residing in or doing business in
				California is a named party to the action or where the alleged conduct relates
				to the practice of public accountancy in California. Nothing in this subsection
				limits a licensee's responsibility to report under any other paragraph of
				subdivision (c) of Section
				5063.
(c) Reports received by the Board pursuant to
				the requirements of subsection (a) of this section shall not be publicly
				disclosed other than (1) in the course of any disciplinary proceeding by the
				Board after the filing of a formal accusation; (2) in the course of any legal
				action to which the Board is a party; (3) in response to an official inquiry
				from a state or federal agency; (4) in response to a subpoena or summons
				enforceable by order of a court; or (5) when otherwise specifically required by
				law.
1. New section
				  filed 1-23-2004; operative 1-23-2004 pursuant to Government Code section
				  11343.4
				  (Register 2004, No. 4). For prior history, see Register 77, No.
				  34.
Note: Authority cited: Sections
					 5010,
					 5018
					 and
					 5063,
					 Business and Professions Code. Reference: Section
					 5063,
					 Business and Professions Code.
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 9 - Rules of Professional Conduct › Section 62 - Contingent Fees

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
(a) A
				licensee shall not:
(1) Perform for a
				contingent fee any professional services for, or receive such a fee from, a
				client for whom the licensee or the licensee's firm performs:
(A) an audit or review of a financial
				statement; or
(B) a compilation of
				a financial statement when the licensee expects or reasonably should expect
				that a third party will use the financial statement and the licensee's
				compilation report does not disclose a lack of independence; or
(C) an examination of prospective financial
				information; or
(D) any other
				attest engagement when the licensee expects or reasonably should expect that a
				third party will use the related attestation report; or
(E) any other services requiring
				independence.
California Code of Regulations › Title 16 - Professional and Vocational Regulations › Division 1 - State Board of Accountancy › Article 9 - Rules of Professional Conduct › Section 63 - Advertising

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
A licensee shall not advertise or use other forms of
				  solicitation in any manner which is false, fraudulent, misleading, or in
				  violation of Section
				  17500
				  of the Business and Professions Code.
1. New section
				  filed 12-6-47; effective thirtieth day thereafter (Register 10, No.
				  5).
2. Amendment filed 8-17-49; effective thirtieth day thereafter
				  (Register 17, No. 4).
3. Amendment filed 8-17-77; effective
				  thirtieth day thereafter (Register 77, No. 34).
4. Amendment of
				  section and new NOTE filed 8-4-95; operative 9-3-95 (Register 95, No.
				  31).
Note: Authority cited: Sections
					 5010
					 and
					 5018,
					 Business and Professions Code. Reference: Section
					 5100,
					 Business and Professions Code.