The bill amends the public accountancy act in Washington State, focusing on the licensing and regulation of certified public accountants (CPAs). Key changes include the transition of current certificate holders to inactive CPA licenses by June 30, 2024, and the introduction of a "practice privilege" provision that allows certain out-of-state CPAs to practice in Washington under specific conditions. The bill also updates the qualifications for obtaining a CPA license, including educational standards, examination requirements, and experience criteria, while emphasizing ethical conduct and competency among licensees. Additionally, it clarifies the roles of the board of accountancy and the processes for maintaining and activating licenses, prohibiting individuals with inactive licenses from practicing public accounting.

Further amendments streamline the licensing process for CPA firms, requiring a simple majority of ownership to hold valid licenses or be licensees from other states. The bill mandates that nonlicensee owners in CPA firms comply with established provisions and that licensed firms notify the board of any ownership changes. It also introduces new requirements for resident nonlicensee owners regarding ethics examinations and continuing professional education (CPE). The bill enhances the regulatory framework by clarifying the use of titles like "CPA," establishing confidentiality provisions, and ensuring compliance with ethical standards, while also including a severability clause to maintain the act's effectiveness if any part is found invalid.

Statutes affected:
Original Bill: 18.04.015, 18.04.025, 18.04.105, 18.04.180, 18.04.183, 18.04.195, 18.04.205, 18.04.215, 18.04.295, 18.04.345, 18.04.350, 18.04.390, 18.04.405, 18.04.430
Bill as Passed Legislature: 18.04.015, 18.04.025, 18.04.105, 18.04.180, 18.04.183, 18.04.195, 18.04.205, 18.04.215, 18.04.295, 18.04.345, 18.04.350, 18.04.390, 18.04.405, 18.04.430
Session Law: 18.04.015, 18.04.025, 18.04.105, 18.04.180, 18.04.183, 18.04.195, 18.04.205, 18.04.215, 18.04.295, 18.04.345, 18.04.350, 18.04.390, 18.04.405, 18.04.430