Cpa Qualifications

In the United States, Certified Public Accountant (CPA) is an accountant who has been legally recognized to certify/attest the accounts and report on them. For qualifying as CPAs, the candidates have to appear and clear the Uniform Certified Public Accountant Examination (Uniform CPA Exam), and in addition, they should also meet the criteria set by respective States relating to experience and education.

Therefore, there are Texas CPA qualifications for practicing or serving as CPA in Texas. Similarly, Ohio CPA qualifications, Missouri CPA qualifications, Florida CPA qualifications, and Illinois CPA qualifications and so on are qualifications for each respective state. These differ because each state has its own set of laws. Each state defines age, residency, educational qualifications, experience, etc. to qualify as CPA. In so far as licensing process is concerned, some States like Nebraska, Alabama, Montana and Illinois certify a student as CPA, as soon as he clears the Uniform CPA Exam, but the relevant license is granted only after such student gets the required amount of practical experience. In general, CPA student is called certified and licensed, and he has to clear both the Uniform CPA Exam, as well as gain stipulated work experience within a predefined time frame. There are, however, some major differences related to CPA licensing in States of Ohio, North Carolina, Arizona, and Kansas. These four States differ from the other states because they allow auditing to be done by accountants other than CPA. In general, a licensed CPA is the only accountant who is allowed to audit, and sign on the audited financial statements, and accompanying explanations, offering opinion on the accounting procedure etc., followed by the company.

CPAs are mainly responsible for financial audits, and confirming whether the matters that are disclosed are true and reasonable. Their certification and attestation are not questioned, and considerable trust is reposed in them. In addition, CPAs also report on whether or not the accounts are as per GAAP (generally accepted accounting principles). Apart from practicing as CPAs, there can also take up employment. CPAs hold the position as finance managers, CEOs, or Chief Financial Officers when they take up employment. Finance related services such as financial accounting, and analysis, estate planning, income tax planning, and corporate governance etc., are the kind of functions that are covered when they are employed.

To differentiate between a qualified CPA, and other accountants, many States in the country use the words Public Accountant or PA. People who do not have the required qualifications, experience, and education are not allowed to use the words CPAs or Certified Public Accountant to represent their qualifications.

In the United Kingdom, Chartered Accountants are the professionals who carry out the same functions as the CPA does in the United States. The American Institute of Certified Public Accountants defines the criteria on which the candidates appearing for the Uniform CPA exam should be tested. The National Association of State Boards of Accountancy manages the entire process.

Each state has a State Board of Accountancy, and this board identifies who can appear for this profession's examination, i.e., the Uniform CPA examination. As a general rule, the candidate who would like to qualify as CPA should hold a bachelors degree given by a U.S. university. Only the bachelor's degree through which student puts in specified number of credit hours (150 hours) studying accountancy, and business administration is considered to the right qualification for this purposes. In addition to this, there is an added year's study is stipulated as well. The entire study period takes 5 years. In all, this pattern of studying for CPA course is accepted by 45 states in the country. Chartered Accountants who are also Chartered Certified Accountants can appear for the Uniform CPA Exam through Colorado State Board of Accountancy. Qualified accountants from other countries can also qualify as CPAs, if they appear for International Qualification Examination.