AT 01: PRACTICE AND REGULATIONS OF THE PROFESSION ® corporaUons in PH cannot public pracUce

BSA Graduate ® accreditaUon required (3years of meaningful exp)

¯ ® Sectoral: AssociaUon of CPAs in Public PracUce (ACPAPP)
BOARD EXAM Average of 75
Minimum grade of 65 2. Commerce/Industry
® rendering CPA services to a parUcular private employer
® high posiUon (acctg, tax, audit - admin/supervisory)
Must
＋
be a
Large company (with 5M paid-up capital &/or 10M CPA
annual revenue)
® Sectoral: AssociaUon of CPAs in Commerce & Industry
(ACPACI)

3. EducaUon/Academe
® requirements for accredited accounUng teacher:
• SYLLABUS ® can be change every 3years a. Master’s Degree (MBA)
• 2 COMPLETE FAILURES = Refresher Course (24units) b. At least 3yrs exp of actual accounUng work
c. 12 units of educaUon subjects
• R.A 9298 SEC. 23 Guilty of immoral/dishonorable conduct
d. At least 120 CPD units
Unsound mind
® business law professors can be Lawyers
Moral turpitude
CPAs
MisrepresentaUon in the applicaUon of
® Sectoral: NaUonal AssociaUon of CPAs in EducaUon (NACPAE)
board exam
êCOLLEGE OF ACCOUNTANCY ® BSA courses only
• OATH ® BOA or in the absence of BOA;
® Dean must be a CPA
® Any person authorized by law
êCOLLEGE OF BUSINESS & ACCOUNTANCY
• CPA CERTIFICATE OF REGISTRATION
® BSA, Economics, Management courses in one college
• PRC ID ® valid for 3yrs (renew at the 3rd year of your birthday) ® Dean is not required to be a CPA
® renewal: ® Department Chairman for BSA must be a CPA
1. Must have 15 CPD units
2. Must be a member in good standing – PICPA 4. Government
• SECTORS: ® employed in government
1. Public PracUce ® Sectoral: Government AssociaUon of CPAs (GACPA)
® offers/renders CPA services assurance
non-assurance
• REGISTERED NAME FOR ACCREDITATION no qualified Filipino CPA for the engagement
a. Individual CPA ® name in the CPA cerUficate of registraUon 2. Lecturer or professor in accounUng topics of
® ex: George R. James, CPA interest to the accounUng profession
b. Sole Proprietorship ® ex: James and Associates, CPAs 3. IFRS consultant
c. Partnership ® ex: James and Abitago, CPAs; or
James, Abitago and Co., CPAs • RULES AND REGULATIONS IN PRACTICE OF ACCOUNTANCY:
1. R.A 9298 (Philippine Accountancy Act of 2004) & its IRR
✤ NAMES IN THE PARTNERSHIP MUST NOT: 2. Code of Ethics
1. have ficUUous name 3. System of Quality Management
2. indicate specializaUon
3. be misleading as to form of organizaUon • SANCTIONS FOR NOT FOLLOWING THE RULES AND REGULATIONS:
1. Fines ® minimum of PHP50,000
• AUDIT FEES ® based on degree of responsibility assumed 2. Suspension ® temporary removal of license
✤ BILLING METHODS: 3. RevocaUon ® permanent removal of license
1. Flat Fee ® one amount for all services rendered (fixed fee) êThe BOA can reinstate a CPA a"er a period of 2years.
2. Per Diem ® per day/per hour êThe former CPA should file a pe99on for reinstatement.
3. Maximum Fee ® total fee amount is with limit
4. CancellaUon of temporary/special permit for foreign CPAs
4. Retainer Fee Monthly Fee ® periodic fee for availability
5. Imprisonment ® maximum of 2years (for violaUon of R.A 9298)
® paid whether there is an
engagement or not
Engagement Fee • DEATH/DISABILITY OF A CPA ® must be reported to the BOA within
30days amer death
5. Value Pricing ® client gives value on fees and the CPA may
counter offer the proposed fee
êREFERRAL FEES/COMMISSIONS old rule ® NOT allowed
revised code of ethics ® allowed
but w/ safeguards
for self-interest
threats

• FOREIGN CPAs ® general rule: NOT allowed to pracUce in PH

® excep@ons:
a. Reciprocity (Mutual RecogniUon Agreement)
b. Temporary/Special Permits if:
1. Foreign CPA is acUng as consultant in a project
of naUonal significance provided that there is
• WORKING PAPERS ® engagement documentaUon
® property of the auditor
® compleUon: 60 days from date of audit report
® retenUon: 10years 5years - hard copy
5years - som copy
✤ 3 PURPOSES:
1. Support for the audit report
2. Provide evidence of compliance with PSAs
3. Reference for future engagements

• CPD UNITS ® 120

40units ® fixed 80units ® flexible

a. Technical Competence - 30units
b. Professional Skills - 5units
c. Professional Ethics, Values and
Aotudes - 5units

• SEAL

NAME

CPA
REGISTRATION
NUMBER