An Act relative to economic
stimulus, substantial equivalency and oversight
Be it enacted by the Senate and House of
Representatives in General Court assembled, and by the authority of the same,
as follows:
Section 1. Section 33 of Chapter
13 of the General Laws, as appearing in the 2006 Official Edition, is hereby
amended by striking out Line 5 and the words “one hundred and twelve” from Line
6 and inserting in place thereof the following:
a certificate, as that term
is defined in section 87A of chapter one hundred and twelve
Section 2. Section 33 of Chapter
13 of the General Laws, as appearing in the 2006 Official Edition, is hereby
amended by striking out Lines 7 through 13 and the words “the commonwealth”
from Line 14 and inserting in place thereof the following:
account or with a firm, as
that term is defined in section 87A of chapter one hundred and twelve.
Section
3. Section
33 of Chapter 13 of the General Laws, as appearing in the 2006 Official
Edition, is hereby amended by striking out Lines 21 through 72.
Section
4. Section
34 of Chapter 13 of the General Laws, as appearing in the 2006 Official
Edition, is hereby amended by striking out in Lines 14 and 15 the words “or as
public accountants”.
Section
5. Section
35 of Chapter 13 of the General Laws, as appearing in the 2006 Official
Edition, is hereby amended by striking out in line 5 the words “Each ap-“ and
by striking out Lines 6 through 14.
Section
6. Section
87A of Chapter 112 of the General Laws, as appearing in the 2006 Official
Edition, is hereby amended by striking out in lines 7 and 8 the words “or a
certificate issued to a public accountant issued under the provisions of
section eight-seven C”.
Section
7. Section
87A of Chapter 112 of the General Laws, as appearing in the 2006 Official
Edition, is hereby amended by striking out Line 11.
Section
8. Section
87A1/2 of Chapter 112 of the General Laws, as appearing in the 2006 Official
Edition, is hereby amended in Line 25 by inserting after the word “holders” the
following:
and individuals qualifying for practice privileges
under section 87B(h)(1) of this chapter,
Section 9. Section 87B of Chapter
112 of the General Laws, as appearing in the 2006 Official Edition, is hereby
amended by inserting after Line 68 the following paragraphs:
(h)(1) An individual
whose principal place of business is outside the commonwealth shall be deemed
to have qualifications substantially equivalent to the commonwealth’s
requirements for the practice of pubic accountancy and shall have all the
privileges of a certified public accountant of the commonwealth without the
need to obtain a certificate or license under this section or to notify or
register with the board or pay any fee if the individual:
(i) holds a valid
license as a certified public accountant from any state which the NASBA
National Qualification Appraisal Service has verified to be in substantial
equivalence with the CPA licensure requirements of the AICPA/NASBA Uniform
Accountancy Act; or
(ii) holds a valid
license as a certified public accountant from any state which the NASBA
National Qualification Appraisal Service has not verified to be in substantial
equivalence with the CPA licensure requirements of the AICPA/NASBA Uniform
Accountancy Act, if such individual has obtained from the NASBA National
Qualification Appraisal Service verification that such individual’s CPA qualifications
are substantially equivalent to the CPA licensure requirements of the
AICPA/NASBA Uniform Accountancy Act. Any individual who passed the Uniform CPA
Examination and holds a valid certificate issued by any other state prior to January 1, 2012 shall be deemed exempt
from the education requirements in subsection 87A1/2(e) of this chapter for
purposes of this subsection 87B(h)(1)(ii).
Notwithstanding any
other provision of law, an individual who qualifies for the practice privilege
under this section may offer or render professional services, whether in person
or by mail, telephone or electronic means, and no notice to the board or other
submission to the board shall be required of any such individual. Such an
individual shall be subject to the requirements in subsection (2) of this
paragraph.
(2) An individual
certificate holder of another state exercising the privilege afforded by this
paragraph (h) and the firm that employs such individual hereby simultaneously
consent, as a condition of exercising this privilege:
(i) to the personal and
subject matter jurisdiction and disciplinary authority of the board;
(ii) to comply with
this chapter and the board’s regulations;
(iii) that in the event
the certificate from the state of the individual’s principal place of business
is no longer valid, the individual will cease offering or rendering
professional services in the commonwealth individually and on behalf of a firm;
and
(iv) to the appointment
of the state board that issued the individual’s certificate as the individual’s
agent upon which process may be served in any action or proceeding by the board
against the licensee.
(3) A licensee offering
or rendering services or using the licensee’s CPA title in another state shall
be subject to disciplinary action by the board for acts committed in another
state. The board shall investigate any complaint concerning a Massachusetts licensee made by the
board of accountancy of another state.
(i)
An individual licensee and any individual who
qualifies for practice privileges under section 87B(h)(1) of this chapter who
is responsible for supervising attest or compilation services and signs or
authorizes someone to sign an accountant’s report on the financial statements
on behalf of a firm shall meet the competency requirements set out in the
professional standards for such services.
(j)
An individual licensee and any individual who
qualifies for practice privileges under section 87B(h)(1) of this chapter who
signs or authorizes someone to sign an accountant’s report on financial
statements on behalf of a firm shall meet the competency requirements set out
in the professional standards for such services.
(k)
The board shall adopt and promulgate rules and regulations for the purposes of
interpretation of and enforcement of compliance with this paragraph.
Section 10. Section 87B1/2 of
Chapter 112 of the General Laws, as appearing in the 2006 Official Edition, is
hereby amended Line 28 by inserting after the word “who” the following:
practice
public accountancy
Section 11. Section 87B1/2 of
Chapter 112 of the General Laws, as appearing in the 2006 Official Edition, is
hereby amended in line 29 by striking out the words “perform professional
services” and further amended in Line 30 by striking out the words “or are
public accountants licensed by the board”.
Section 12. Section 87B1/2 of
Chapter 112 of the General Laws, as appearing in the 2006 Official Edition, is
hereby amended in Line 47 by inserting after the word “statements” the
following:
unless such individuals
qualify for practice privileges under section 87B(h)(1) of this chapter;
Section
13.
Section 87B1/2 of Chapter 112 of the General Laws, as appearing in the 2006
Official Edition, is hereby amended by striking out Lines 107 through 118.
Section 14. Section 87B1/2 of
Chapter 112 of the General Laws, as appearing in the 2006 Official Edition, is
hereby amended by striking out Lines 135 through 258.
Section 15. Section 87C of Chapter
112 of the General Laws, as appearing in the 2006 Official Edition, is hereby
stricken in its entirety.
Section 16. Section 87C1/2 of
Chapter 112 of the General Laws, as appearing in the 2006 Official Edition, is
hereby amended in line 5 by inserting after the word “licensee” the following:
,or any individual who
qualifies for practice privileges under section 87B(h)(1) of this chapter,
Section
17. Section 87C1/2 of Chapter 112 of
the General Laws, as appearing in the 2006 Official Edition, is hereby amended
by inserting after Line 37 the following:
(c) The board may revoke or suspend the license granted under
section 87B1/2 of this chapter if at any time a firm does not have all the
qualifications prescribed by the provisions of law under which it qualified for
registration, and the board may revoke or suspend any such license for any of
the causes enumerated in this section and for the following additional causes:—
(1) the revocation or suspension of the certificate, registration
or biennial license of any partner or any officer, director, shareholder,
member or employee thereof;
(2)
the cancellation, revocation, suspension or refusal to renew the authority of
the firm to practice public accountancy in any other state, for any cause other
than failure to pay a registration fee in such another state.
Section 18. Section 87C 1/2 of chapter 112 of the General Laws,
as appearing in the 2006 Official Edition, is hereby amended in Line 38 by
striking out the words “or (b)” and inserting in place thereof the following:
,
(b) or (c).
Section 19. Section 87 D of Chapter
112 of the General Laws, as appearing in the 2006 Official Edition, is hereby
amended in line 13 by inserting after the word “thereon” the following:
; nor does it apply to
an individual qualifying for practice privileges under section 87B(h)(1) of
this chapter.
Section 20. Section 87D of Chapter
112 of the General Laws, as appearing in the 2006 Official Edition, is hereby
amended in line 23 by inserting after the words “certified public accountant”
the following:
, “public accountant”,
Section 21. Section 87D of Chapter
112 of the General Laws, as appearing in the 2006 Official Edition, is hereby
amended in Line 24 by striking out the word “abbreviation” and inserting in
place thereof the following:
abbreviations
Section
22.
Section 87D of Chapter 112 of the General Laws, as appearing in the 2006
Official Edition, is hereby amended in Line 24 by inserting after the words
“CPA” the following:
or “PA”
Section
23.
Section 87D of Chapter 112 of the General Laws, as appearing in the 2006
Official Edition, is hereby amended in Line 28 by inserting after the words
“certified public accountants” the following:
, “public accountants”,
Section
24. Section 87D of Chapter 112 of
the General Laws, as appearing in the 2006 Official Edition, is hereby amended
in Line 28 by striking out the word “abbreviation” and inserting in place
thereof the following
Abbreviations
Section
25. Section 87D of Chapter 112 of
the General Laws, as appearing in the 2006 Official Edition, is hereby amended
in Line 28 by inserting after the words “CPA” the following:
or
“PA”
Section
26. Section 87D of Chapter 112 of
the General Laws, as appearing in the 2006 Official Edition, is hereby amended
by striking out Lines 34 through 43.
Section 27. Section 87
D of Chapter 112 of the General Laws, as appearing in the 2006 Official
Edition, is hereby amended by inserting after Line 90 the following:
(k) An individual possessing practice privileges under section
87B(h)(1) of this chapter is deemed to be included, for purposes of this
section, within the definition of a person holding a valid license or
certificate.
