The Public Accountancy Act

1 Chapter 901of theOccupations CodeEffective as of September 1, 2015 Prepared as an information brochure onlyand not necessarily in conformitywith Chapter 901, Occupations CodeTexas State Board of Public Accountancy333 Guadalupe, Tower 3, Suite 900 Austin, Texas 78701-3900(512) Accountancy ActThecelebratio n191 5 201 5 Centennial100yearsThe Public Accountancy ActChapter 901 of the Occupations CodeContentsSubchapter A. general ProvisionsSec. and Implication of of Public ; ; Public Policy; of Sunset B.

2 Texas State Board of Public AccountancySec. of Public and Employee ..14 Sec. ; Executive for Diem; .. 15 Subchapter C. Executive Director and Other PersonnelSec. Director and of and Standards of Conduct Ladder Program; Performance Employment Opportunity Policy; on State Employee Incentive D. Board Powers and DutiesSec. Powers and Duties of of Board Public Accountancy ActChapter 901 of the Occupations CodeSec. 19 Sec..20 Sec. Trust Fund for Fifth-Year 20 Sec.

3 Of Professional 21 Sec. on Consequences of Criminal 21 Sec. for Restricting Competitive 21 Sec. 21 Sec. and Confidentiality of Certain 22 Sec. for Certain 23 Sec. from Analysis of for Attest to Issue Subpoena, Administer Oath,and Receive Rulemaking and Alternative DisputeResolution E. Public Interest Information and Complaint ProceduresSec. Interest ..26 Sec. F. Certificate RequirementsSec. Education Requirements for Experience and Certificate Public Accountancy ActChapter 901 of the Occupations CodeSec.

4 Of Complete Examination Credit Based on Based on Foreign G. Uniform CPA ExaminationSec. ; Board of of and Security of ..34 Sec. Examination of of Partial Examination Credit H. Firm License RequirementsSec. License for Firm License or License Information and for Certain Foreign I. License Requirements, Issuance, and RenewalSec. Requirements; general for and Renewal of of License for Public Accountancy ActChapter 901 of the Occupations CodeSec.

5 Of Failure to Pay Certain Reduction for Retired or Disabled Exemption for Certain License Professional J. Practice of Public AccountancySec. of Title or Abbreviation for Certified PublicAccountant ..43 Sec. of Title or Abbreviation for Public Accountant ..44 Sec. of Other Titles or Used by Certain Out-of-State or Foreign Requirements and on Financial Statements; Use of Nameor Signature on Certain of of Partnership Requirements to Attest by Certain Out-of-State.

6 49 Sec. by Out-of-State Practitioner With SubstantiallyEquivalent K. Prohibited Practices and Disciplinary ProceduresSec. Powers of for Disciplinary Action Involving Revocation Based on Violation of Suspension ..54 Sec. Pending Final Conviction of Certain Surrender of Certificate or Firm ..56 Sec. to of Representation at Action for Act Committed in Another Public Accountancy ActChapter 901 of the Occupations CodeSubchapter L. Administrative PenaltySec. of Administrative of and Notice of Violation and 57 Sec.

7 To Be Paid or Hearing Following Decision: Pay or of of Penalty and M. Other Penalties and Enforcement ProvisionsSec. and Desist ..60 Sec. in Act as Evidence of of Secretary of State as From N. Scholarships for Fifth-Year Accounting StudentsSec. Purpose ..62 Sec. and Disadvantaged Student on Accountant Scholarship Public Accountancy ActChapter 901 of the Occupations CodeThe Public Accountancy ActChapter 901 of the Occupations CodeCHAPTER 901.

8 ACCOUNTANTSSUBCHAPTER AGeneral ProvisionsSec. SHORT TITLE.(a) This chapter may be cited as the Public Accountancy Act.(b) A reference in law to the Public Accountancy Act of 1979 or thePublic Accountancy Act of 1991 means this general DEFINITIONS.(a) In this chapter:(1) Attest service means:(A) an audit or other engagement required by the board to beperformed in accordance with the auditing standards adoptedby the American Institute of Certified Public Accountants oranother national Accountancy organization recognized bythe board.

9 (B) an engagement required by the board to be performed inaccordance with standards for accounting and review ser-vices adopted by the American Institute of Certified PublicAccountants or another national Accountancy organizationrecognized by the board;(C) an engagement required by the board to be performed inaccordance with standards for attestation engagementsadopted by the American Institute of Certified PublicAccountants or another national Accountancy organizationrecognized by the board; or(D) any other assurance service required by the board to beperformed in accordance with professional standards adoptedby the American Institute of Certified Public Accountants oranother national Accountancy organization recognized bythe board.

10 (2) Board means the Texas State Board of Public Accountancy .(3) Certificate means a certificate issued to a certified publicaccountant.(4) Certified Public accountant means a person who holds acertificate issued under this chapter or who practices in thisstate under Section Public Accountancy ActChapter 901 of the Occupations Code(5) Certified Public Accountancy firm means a person who holds afirm license or a firm that practices in this state under (6) Client means a person who enters into an agreement with alicense holder or a license holder s employer to receive a profes-sional accounting service.