Iowa Administrative Code › Agency 193A - Accountancy Examining Board › Chapter 13 - Rules of Professional Ethics and Conduct › Rule 193A-13.1 - Applicability

Current through Register Vol. 47, No. 3, July 24, 2024
(1) The AICPA Code of Professional Conduct is
			 based upon the premise that the reliance of the public in general and of the
			 business community in particular on sound financial reporting and on the
			 implication of professional competence inherent in the authorized use of a
			 board-regulated title relating to the practice of public accountancy imposes on
			 persons engaged in such practice certain obligations both to their clients and to
			 the public. These obligations, which the rules of professional ethics and conduct
			 are intended to enforce where necessary, include the obligation to maintain
			 independence of thought and action and a continued commitment to learning and
			 professional improvement, to observe applicable generally accepted accounting
			 principles and generally accepted auditing standards, to promote the public
			 interest through sound and informative financial reporting, to hold the affairs
			 of clients in confidence, and to maintain high standards of personal conduct in
			 all professional activities in whatever capacity performed.
(2) In addition to the rules specifically
			 enumerated herein, and only to the extent applicable to certificate holders' and
			 licensees' respective scope of practice, all certificate holders and licensees
			 are obligated to comply with the AICPA Code of Professional Conduct. In the event
			 of a conflict or inconsistency between the AICPA Code of Professional Conduct and
			 rules specifically enumerated herein, the rules specifically enumerated herein
			 prevail.
(3) The rules of
			 professional ethics and conduct apply to all professional services performed by
			 all CPAs and LPAs, whether or not they are engaged in the practice of public
			 accountancy, except where the wording of a rule clearly indicates that the
			 applicability is specifically limited to the practice of public
			 accountancy.
(4) A CPA or an LPA
			 engaged in the practice of public accountancy outside the United States will not
			 be subject to discipline by the board for departing, with respect to such foreign
			 practice, from any of the board's rules of professional ethics and conduct, so
			 long as the CPA's or LPA's conduct is in accordance with the standards of
			 professional conduct applicable to the practice of public accountancy in the
			 country in which the CPA or LPA is practicing. However, even in such a case, if a
			 CPA's or an LPA's name is associated with financial statements in such manner as
			 to imply that the CPA or LPA is acting as an independent public accountant and
			 under circumstances that would entitle the reader of the financial statement to
			 assume that United States practices are followed, the CPA or LPA will comply with
			 applicable generally accepted engagement standards and applicable generally
			 accepted accounting principles.
(5) A
			 CPA or an LPA may be held responsible for compliance with the rules of
			 professional ethics and conduct by all persons associated with the accountant in
			 the practice of public accounting who are either under the accountant's
			 supervision or are licensees, partners or shareholders in the accountant's
			 practice.
(6) CPAs and CPA firms
			 exercising a practice privilege in Iowa or for a client with a home office in
			 Iowa are subject to the professional standards set forth in this
			 chapter.
(7) These rules complement
			 the grounds for discipline set out in 193A-Chapter 14.