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HF1458 (Legislative Session 94 (2025-2026))

Standards for required education and experience modified for certified public accountants, and mobility for licensed public accountants established.

Related bill: SF1536

AI Generated Summary

This bill modifies the education and experience requirements for becoming a Certified Public Accountant (CPA) in Minnesota and establishes reciprocity for out-of-state licensed accountants. Key provisions include:

  1. Changes in Education & Experience Requirements:

    • Until July 1, 2030, individuals must complete 150 semester or 225 quarter hours of college education and one year of experience in an accounting-related field to qualify as a CPA.
    • After June 30, 2030, individuals must either:
      • Earn a master’s degree and complete one year of work experience, or
      • Earn a bachelor’s degree and complete two years of work experience to qualify.
    • Transitional Period: Until July 1, 2030, candidates can qualify under either the old or new requirements.

  2. Reciprocity for Out-of-State CPAs:

    • CPAs from other states with substantially equivalent requirements can practice in Minnesota without obtaining a separate Minnesota license if they:
      • Hold a valid CPA license in good standing from another state.
      • Have at least a bachelor’s degree with an accounting concentration.
      • Have passed the Uniform CPA Exam.
    • CPAs from states not substantially equivalent may still qualify by verifying that their credentials meet Minnesota’s licensure standards.
    • CPAs exercising these privileges must comply with Minnesota laws and are subject to the Minnesota Board of Accountancy’s jurisdiction.

  3. Repeal of a Rule:

    • Minnesota Rules part 1105.7900, item D, is repealed. (This section likely contained outdated CPA licensure provisions.)

Overall Impact:

  • The bill adjusts the CPA licensure requirements to offer more flexibility and encourage new entrants into the profession.
  • It simplifies the process for out-of-state CPAs to practice in Minnesota while maintaining professional standards.
  • The transitional period allows candidates flexibility in meeting the new requirements.

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Bill text versions

Actions

DateChamberWhereTypeNameCommittee Name
February 23, 2025HouseFloorActionIntroduction and first reading, referred toState Government Finance and Policy
February 26, 2025HouseFloorActionAuthor added
March 19, 2025HouseFloorActionAuthor added
March 23, 2025HouseFloorActionCommittee report, to adopt as amended and re-refer toWays and Means
March 23, 2025HouseFloorActionCommittee report, to adopt as amended and re-refer toWays and Means

Citations

 
[
  {
    "analysis": {
      "added": [
        "Introduced new subdivisions for post-June 30, 2030 requirements."
      ],
      "removed": [],
      "summary": "Amendments to section 326A.03 concerning education and experience requirements for certified public accountants.",
      "modified": [
        "Education and experience requirements for certificates adjusted."
      ]
    },
    "citation": "326A.03"
  },
  {
    "analysis": {
      "added": [
        "Clause providing practice privileges without the need for a license under specific conditions."
      ],
      "removed": [],
      "summary": "Amendments to section 326A.14 regarding reciprocity and substantial equivalency for certified public accountants.",
      "modified": [
        "Definition of reciprocal licensing requirements and practice privileges."
      ],
      "additional_information": [
        "Includes verification process and conditions for maintaining practice privileges."
      ]
    },
    "citation": "326A.14"
  },
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "References to attest services as defined.",
      "modified": []
    },
    "citation": "326A.01"
  },
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "Permit requirement for firms offering attest services.",
      "modified": []
    },
    "citation": "326A.05"
  }
]

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