Chapter 20-7 INDIVIDUALS, PARTNERSHIPS, ASSOCIATIONS AND CORPORATIONS COMPOSED OF CERTIFIED PUBLIC ACCOUNTANTS
| (1) |
A new firm
having a physical office in this state about to engage in the practice of
public accountancy in this state or a firm not having a physical office in this
state but required to be licensed under 43-3-16(b)(1)(C) shall make application
for original licensure upon forms for that purpose provided by the Board and
obtainable from its Office. Upon such application being found sufficient and in
order, the application fee paid, and the applicant found eligible for
licensure, the applicant:
| (a) |
Will be
forthwith licensed under the appropriate Section of the Act; |
| (b) |
Will have its physical office(s) in this
state as designated in the application forthwith licensed under Section
43-3-16
of the Act; |
| (c) |
Will be issued a
permit to practice public accounting in this state; and |
| (d) |
Will be notified accordingly. |
|
| (2) |
Firm licenses will expire on
June 30 of each even numbered year and shall become renewable at least sixty
(60) days prior to the expiration date. If the application for renewal is not
made and the fee paid before September 30 of the even numbered year, the
license shall lapse and shall not be renewed except by application for a new
license or for reinstatement. |
| (3) |
Notice shall be given to the Board within thirty days, of the admission to or
withdrawal of a partner, stockholder, or member from any licensed firm. Notice
shall also be given within thirty days of any mere change of name. In these
cases the Board may elect to issue a new license to the firm.
| (a) |
On the other hand, if a partner,
shareholder, or member is admitted or withdraws and in Connection therewith
there is a change of name, then and only then it is to be regarded for the
purposes of this Rule as a new firm which must file an application for
licensure. |
|
| (1) |
A firm in which a simple majority of the
financial interest and voting rights are owned by CPAs of some state in good
standing may be licensed in accordance with this chapter if all of the
following conditions are met:
| (a) |
Minimum
Required Information: The firm must provide the following information:
| 1. |
The name, full business address, and
telephone number; |
| 2. |
All trade or
business names used by the licensee; |
| 3. |
The designated holder of a license, or in
the case of a firm which must be licensed pursuant to Code Section
43-3-16(b)(1)(C),
a licensee of another state who meets the requirements for substantial
equivalency practice privileges as provided by Code Section
43-3-18(b),
who shall be responsible for the proper registration of the firm; |
| 4. |
The name, address and licensure status of
the resident manager; |
| 5. |
The type
of ownership or operations (i.e., partnership, corporation, or sole
proprietorship); and |
| 6. |
The name(s)
of the owners, including whether they are a CPA or Non-CPA owner, the states of
licensure, the status of any license previously and currently held, and
including:
| (i) |
If an individual, the name of
the individual; |
| (ii) |
If a
partnership, the name of each partner, and the name of the
partnership; |
| (iii) |
If a
corporation, the name and title of each corporate officer and director, the
corporate names, the name of the corporation, the name of the parent company,
if any, the names of all members/shareholders of the corporation and parent
company; and |
| (iv) |
If a sole
proprietorship, the full name of the sole proprietorship and the name of the
business entity. |
|
|
| (b) |
The Board will consider the following
factors in determining eligibility for firm licensure:
| 1. |
Non-CPA owners of the firm must be natural
persons. "Non-CPA owner" shall refer to the natural persons owning interests in
such general partnerships or limited liability partnerships or other legal
entities. |
| 2. |
The Non-CPA owners
must participate in the business of the firm consisting of providing services
to or on behalf of the firm or performing functions in the firm or a related
entity of the firm, and the Non-CPA owners cannot be solely or predominately a
passive investor in the firm. |
| 3. |
All owners must be of good moral character (for purposes of this Rule,"good
moral character" means fiscal integrity and a lack of any history of acts
involving dishonesty or moral turpitude). |
| 4. |
Individuals now holding licenses or
certificates from this state or any other state shall not be designated as
Non-CPA owners. Individuals with expired licenses will be counted as a Non-CPA
for purposes of determining the percentage of financial interests and voting
rights in the firm owned by CPAs. |
| 5. |
Previous disciplinary action against an
owner by this state including the denial of licensure for reasons other than
failure to meet the age, education, examination or experience requirements for
initial licensure, shall be considered as grounds for denial of a
license. |
| 6. |
Commission of a felony
or crime of moral turpitude under Georgia law, federal law, or the laws of any
other states or any other country of a felony as defined in paragraph (3) of
subsection (a) of Code Section
43-3-21
by the owners. |
| 7. |
Previous
disciplinary action against the firm or its' owners by any Federal regulatory
authority, the Public Company Accounting Oversight Board, this state or any
other state regulatory authority, or local government authority of any license,
practice privilege, or the right to practice before a state or federal agency
of the firm or its owners. |
| 8. |
Compliance with licensing requirements under previously granted licenses if
any. |
| 9. |
Any other factor or
qualifications the Board considers relevant to and consistent with the public
health and safety. |
|
|
A firm granted a license in Georgia must comply with the
minimum standard of practice, including, but not limited to the following
standards of practice:
| (a) |
Non-CPA
owners' names may be listed on firm stationery provided that if Non-CPA owners
are designated as partners, shareholders, or members then all CPA owners must
also be so designated. |
| (b) |
Non-CPA
owners may not be listed in any advertisement under the heading. |
| (c) |
Membership in accounting organizations or
their logos may not be used on CPA firm stationery, business cards, or
advertising materials unless all eligible partners are members of the
organization and have attained the certification or designation indicated by
the logo. |
| (d) |
A Non-CPA owner may
not be designated as the resident manager of a physical office of the
firm. |
| (e) |
A Non-CPA owner may not
be the chief executive officer of a firm located in or doing business in this
state. |
| (f) |
An individual who owns a
voting equity interest in a firm may not delegate by proxy or otherwise, the
duty to exercise any voting rights to an individual that does not qualify as
owner under the laws and rules of this state. |
| (g) |
A Non-CPA owner who becomes disqualified
from ownership must dispose of his or her entire interest in the firm to a
qualified owner within 60 days of the date of disqualification. |
| (h) |
Owners who are CPAs and whose office
location is in this state and who perform accounting services in this state
must hold a license from this state. |
| (i) |
Changes in any information from the
application shall be submitted to the Board within 30 days of such change,
including, but not limited to, changes in business organization, changes in
ownership, changes in business location, and changes in resident
manager. |
