New Jersey State Board of Accountancy


Renew Your CPA License by Dec. 31

Posted: October 31, 2017
The New Jersey State Board of Accountancy has mailed renewal notices to all licensed CPAs, PAs, RMAs and Public School Accountants. Licenses must be renewed by December 31.

CPAs Have More Reciprocity Than NJ Board of Accountancy Form Says

Posted: September 7, 2017
The Application for Certification by Endorsement form posted on the New Jersey State Board of Accountancy website erroneously states reciprocity information. While the State Board is aware of the error, the form has yet to be updated to show that NJ has reciprocity with all jurisdictions.

Retain Your CPE Records an Extra Year

Posted: November 23, 2016
In anticipation of a periodic random audit, the New Jersey State Board of Accountancy is asking CPAs to retain their CPE records for an additional year.

Meeting Highlights

The NJCPA regularly attends the monthly meetings of the New Jersey State Board of Accountancy. Below are highlights from the meetings:

  • October 19, 2017
    • The Board voted to simplify and revise the form that CPA instructors need to fill out in order to receive CPE credit for teaching courses. 

  • September 28, 2017
    • The Board voted to extend the date to June 30, 2018, for those CPA candidates who are scheduled to lose parts of their CPA exam at the end of Q2, Q3 and Q4 of the 2017 testing periods. The decision comes after the Board previously granted an extension to December 30, 2017. Delays in the release of the exam results occurred in Q2, Q3 and Q4 of 2017 stemming from changes in the exam last April. Normally, scores are released four times per testing timeframe, and credit for any test section passed is valid for 18 months from the date the applicant takes the test section.

    • The Board eliminated the requirement for CPAs engaged in public accounting who are seeking reciprocity to have completed at least six months in their home state during the prior five years.

    • Per New Jersey statute NJSA 45:1-7.5a.(1), the Board clarified that a CPA seeking reciprocity must be from a state where the licensure requirements at the time of licensure are substantially equivalent to the requirements in New Jersey now. For individuals who do not meet that criteria, the Board will look at the applicant’s experience, CPE history, etc., and make decisions on a case-by-case basis.

    • The Board discussed a memo by the NJCPA that proposed eliminating or simplifying the form that must be filed by CPAs seeking CPE credit for teaching. The Board will look into what other states are doing in this area and discuss at a future meeting.

    • The Board stated that the form on their website— Instructions For Candidates Seeking Certification By Endorsement— will be updated to reflect that all states are now substantially equivalent with New Jersey. Currently, the form incorrectly states that 14 states are not equivalent.

  • June 15, 2017
    • The New Jersey State Board of Accountancy reviewed recommendations to include reducing the number of technical CPE credits required from 72 to 60 and allowing for nano learning, as well as some minor technical changes. The Board will vote on the proposed regulation changes at its July 20 meeting. The proposed rules will then be published in the New Jersey Register, and the public will have 60 days to submit comments to the Board. Under the state’s “sunset review” process, the Board’s regulations must be changed or readopted by April 2018.
    • Rajeev Malhotra, CPA and NJCPA member, was welcomed as a new State Board of Accountancy member.

     

  • April 20, 2017
    • The New Jersey State Board of Accountancy voted to approve an increase in the triennial license fee from $90 to $135. The increase was requested by Governor Christie’s budget office. For inactive CPAs, the fee would be raised from $45 to $60. The proposal still has to be published in the New Jersey Register for public comment before being adopted. It is subject to change before it becomes a new regulation. This process could take a few months.
  • December 15, 2016
    • New Jersey State Board of Accountancy President Daniel Geltrude introduced Michaela Ross, the new Acting Executive Director. She will replace Michael DeFrancisci, who will become the Executive Director of the New Jersey State Board of Nursing.
    • In December, the board began issuing letters for its CPE audit. More letters will be issued in January. About 550 CPAs will be audited. The Board reiterated that it is advising all CPAs to hold on to all CPE records dating back to 2012 until December 31, 2017.
    • The Peer Review Oversight Committee reported that many states are unhappy with the AICPA's plan to consolidate peer review administration to fewer states. In light of the objections, the AICPA is reconsidering its plan.
  • November 17, 2016
    • In the 30-minute meeting, the New Jersey State Board discussed conducting random CPE audits of CPAs from Dec. 2016 to Jan. 2017. Although the Board only requires that CPAs hold onto their CPE certificates for five years, they recommend that CPAs hold onto it for an extra year since they may be required to show the certificate to auditors.
  • October 20, 2016
    • The board voted to require all CPAs seeking a reciprocal license from New Jersey to have at least six months of experience within the past five years as a practicing CPA.
    • The board's Acting Executive Director Michael DeFrancisci reported that he is working on making the reciprocity forms easier to complete and is reviewing licensing fee procedures with an eye towards streamlining them.
    • The board is aware of the CPE credit changes related to nano learning outlined in NASBA and AICPA proposed revisions to the Statement on Standards for CPE Programs. They discussed the possibility of changing the state regulations for CPE credit, but didn't go into further discussion. The board will talk about nano learning in fuller detail in the next meeting.
  • September 15, 2016
    • The NJCPA, with input from the American Institute of CPAs (AICPA), drafted A3959 legislation. It was created to update New Jersey's Accountancy Act of 1997 to make it conform with the Uniform Accountancy Act (UAA). Board members reviewed this recently introduced legislation. The NJCPA hopes the bill will start moving through the legislative process this fall.
    • The National Association of State Boards of Accountancy (NASBA) and the AICPA together wrote the model legislation UAA. New Jersey's accountancy statute needs to be updated. Laws governing the accounting profession must be modernized to reflect changes that have taken place over the past 20 years, and so that New Jersey laws better conform to the accountancy laws of other states. Many of the changes the bill calls for are technical in nature. The most substantive changes include:
      • Firm Mobility. The bill would allow out-of-state firms to perform attest functions in New Jersey without having to register with the New Jersey State Board of Accountancy. They would still be subject to the full regulatory oversight of the Board. Fifteen states already allow this and more are expected to follow suit.
      • CPE Reciprocity. This exempts CPAs who hold multiple state licenses from having to meet the individual CPE requirements of each state so long as the licensee meets the CPE requirements of their home state. Currently, 22 states allow for CPE reciprocity and more are expected to do the same.

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