Bill S. 176 seeks to amend the South Carolina Code of Laws to enhance the regulation of Certified Public Accountants (CPAs) and Public Accountants (PAs). Key amendments include correcting definitions related to "attest," "practice of accounting," and "substantial equivalency," as well as updating licensing requirements to incorporate electronic files and metadata tags. The bill revises educational and experience requirements for licensure, extends the time allowed to pass the CPA exam from 18 to 36 months, and clarifies conditions under which firms can provide attest services. It also introduces provisions for the Board of Accountancy to review proposed legislative changes and mandates that inspectors must have been licensed CPAs for at least five years.

Additionally, the bill imposes new requirements on non-CPA owners of CPA firms, mandating they complete the same continuing professional education hours as licensed CPAs, including an annual ethics requirement. It specifies that non-CPA owners cannot take ultimate responsibility for financial statements or attest engagements and must adhere to the code of professional ethics. The bill facilitates reciprocity for CPAs moving to South Carolina from other jurisdictions based on substantial equivalency of qualifications, allowing those with valid licenses from equivalent jurisdictions to practice without obtaining a state license. The act will take effect upon the Governor's approval and includes a severability clause to maintain the validity of remaining sections if any part is deemed unconstitutional.

Statutes affected:
01/14/2025: 40-2-20, 40-2-30, 40-2-35, 40-2-40, 40-2-70, 40-2-80, 40-2-240, 40-2-245
Latest Version: 40-2-20, 40-2-30, 40-2-35, 40-2-40, 40-2-70, 40-2-80, 40-2-240, 40-2-245