August 4, 2015
1804 NE 43rd Avenue
Portland, OR 97213
RE: Oregon Board of Accountancy – Public Meeting
I attended the Public Meeting of the Oregon Board of Accountancy and a topic about license statuses was discussed; something that many of you will be considering in the years to come. Therefore, I thought it would be helpful to provide you with definitions and their related limitations on use of your accounting and auditing skills. Please read the following:
OAR Chapter 801, Division 005 – Board of Accountancy
(25) Inactive means a license status granted by the Board to a licensee:
(a) Whose license is not suspended or revoked;
(b) Who is not:
(A) Performing or offering to perform, for a client, services involving the use of accounting or auditing skills, including but not limited to issuance of reports on financial statements, management advisory, financial advisory or consulting services, preparation of tax returns or the furnishing of advice on tax matters; and
(B) Practicing public accountancy in a business organization that is required to be registered in Oregon with the Board under ORS 673.160; o
(c) A sole practitioner.
(d) Licensees who are granted inactive status shall not use the CPA or PA designation unless the word “inactive” is used in conjunction with the designation, such as “CPA inactive” and is listed in the same size font as the designation.
(28) Lapsed means a license status that is not renewed within 60-days of the close of a license period.
(a) A person in lapsed status may not:
(A) Practice public accounting in a business organization required to be registered with the Board under ORS 673.160;
(B) Practice as a sole practitioner; or
(C) Perform or offer to perform for a client services involving the use of accounting or auditing skills, including but not limited to issuance of reports on financial statements, management advisory, financial advisory or consulting services, preparation of tax returns or the furnishing of advice on tax matters.
(b) A person in lapsed status must not hold out in any form or manner that they are a CPA or PA.
(c) A lapsed license may be reinstated to active status only prior to becoming expired.
(47) Retired means a license status conferred by the Board upon a licensee who:
(a) At any age, has held an active license in good standing, to practice public accountancy in Oregon for a combined period of not less than 20 years, or
(b) Has reached 65 years of age
(A) A licensee in retired status may not perform any attest services nor sign any tax returns as a preparer.
(B) A licensee in retired status may not perform public accounting services for direct or indirect compensation.
(C) A licensee in retired status may sign any documents related to non compensated services as a “CPA Retired” or “PA Retired”. The word “Retired” must be in the same size font as the designation.
(c) A licensee in retired status, may be restored to active status at the Boards discretion of showing good cause.
ADDITIONAL DEFINITIONS: (which may be helpful in understanding the above definitions)
(24) Holding out as a CPCA or PA means to assume or use by oral or written communication the titles or designations “certified public accountant” or “public accountant” or the abbreviations “CPA” or “PA”, or any number of other title, sign, card, devices or use of any internet domain or e-mail name, tending to indicate hat the person holds a certificate or license in good standing issued under the authority of ORS 673 as a certified public accountant or a public accountant.
(26) In good standing means the status of a holder of a license or registration issued by any jurisdiction, that is not suspended, revoked, expired, resigned, retired or lapsed.
(42) Professional services means any services performed or offered to be performed by a licensee for a client or potential client in the course of the practice of public accountancy.
Now, the Oregon Board of Accountancy has published a table highlighting the related fee, biennial CPE requirements (if any), work restrictions and allowances, reinstatement requirements, and age of the CPA or PA professional. Additionally, there are a few FAQs to help you determine how the Board of Accountancy applies the OAR above definitions.
I trust this will give you a little food for thought, especially if you are planning to become inactive, lapsed or retired.
Ronald D. Johanesen, 2nd Vice President
Oregon Association of Independent Accountants