Arkansas Administrative Code › Agency 019 - State Board of Accountancy › Rule 019.00.05-001 - Changes to Board Rules 1 -Definitions; 3 - CPA Exam; 4 - Reciprocity; 6 - Substantial Equivalency; 7- Firms; 8 -Standards; 9 - Address Change; 10 - Annual Registration; 11 - Hearings; 12-Fees; 13 - CPE; 14 - Quality Review; 16 - Experience

Current through Register Vol. 49, No. 6, June, 2024
BOARD RULES
Rule 1
DEFINITIONS
1.1 ACT, BOARD,
		  STATE, EXAMINATION, PRONOUNS
Throughout these Rules, the "Public Accountancy Act of 1975, as
			 amended," codified as A.C.A. §
									17-12-101 et
			 seq., may be referred to as "the Act" and the Board of Public Accountancy as
			 "the Board;" "this State" refers to the State of Arkansas; "examination" means
			 the examination required for a certificate as a Certified Public Accountant
			 prescribed by A.C.A. §
									17-12-301
			 et seq.; and masculine terms shall include the feminine and, when the context
			 requires, shall include partnerships, limited liability companies and
			 corporations.
1.2 CLIENT
The person or entity which retains a licensee for the performance
			 of professional services.
1.3 FINANCIAL STATEMENTS
Financial statements are statements and footnotes related thereto
			 that purport to show actual or anticipated financial position which relates to
			 a point in time or changes in financial position which relate to a period of
			 time, including statements which use a cash or other comprehensive basis of
			 accounting. The term includes balance sheets, statements of income, statements
			 of changes in comprehensive income, statements of retained earnings, statements
			 of cash flows and statements of changes in owners' equity, but does not include
			 incidental financial data included in management advisory services reports to
			 support recommendations to a client, nor does it include tax returns and
			 supporting schedules,
1.4
		  FIRM
See A.C.A. §
									17-12-103(a)(7)
1.5 GENERALLY ACCEPTED
		  ACCOUNTING PRINCIPLES
"Generally accepted accounting principles" shall be deemed and
			 construed to mean accounting principles or standards generally accepted in the
			 United States. For purposes of these rules and regulations, generally accepted
			 accounting principles are considered to be defined by pronouncements issued by
			 the Financial Accounting Standards Board and its predecessor entities and
			 similar pronouncements issued by other entities having similar generally
			 recognized authority.
1.6
		  GENERALLY ACCEPTED AUDITING STANDARDS
"Generally accepted auditing standards" shall be deemed and
			 construed to mean the generally accepted auditing standards adopted by the
			 Board. The Board shall take into consideration interpretations of Generally
			 Accepted Auditing Standards as issued by the American Institute of Certified
			 Public Accountants and other pronouncements having similar generally recognized
			 authority.
1.7 LICENSEE
See A.C.A. §
									17-12-103(a)(9)
1.8 PRACTICE OF, OR
		  PRACTICING PUBLIC ACCOUNTING See A.C.A. §
								17-12-103(a)
		  {12)
1.9 PROFESSIONAL SERVICES See
		  A.C.A. §
								17-12-103(a)(13)
1.10 PUBLIC COMMUNICATION
A public communication is a communication made in identical form
			 to multiple persons or to the world at large, as by television, radio, motion
			 picture, newspaper, pamphlet, mass mailing, letterhead, business card,
			 electronic transmission or directory.
1.11 CERTIFICATE SeeA.C.A. §
								17-12-103(a)(5)
1.12 PERMIT TO PRACTICE
Permit to practice means a permit to practice public accountancy
			 issued under prior provisions of the Act, or under corresponding provisions of
			 the law of other states.
1.13 COMMISSION
An allowance or consideration paid upon completion of the
			 transaction for recommending or referring a product or service to be supplied
			 by another person.
1.14
		  PEER REVIEW
The process of reviewing the work product of a licensee by a
			 qualified individual or firm, the purpose of which is to assure that
			 professional services are performed consistent with applicable
			 standards.