673.040 Eligibility for certificate of certified public accountant; experience requirement; issuance of certificate to licensee from other state or country; fee; rules

673.050 General qualifications for candidates for C.P.A. examination

673.060 C.P.A. examination; scope; conduct; fee

673.075 Credit for examination taken in other states

673.100 License as public accountant; application; fee

673.103 Public accountant audits prohibited; exception

673.138 Liability of persons operating in certain registered business organization

673.150 Permits to engage in practice of public accountancy; permit renewals; fees

673.153 Holders of certificates and licenses issued by other states; fees

673.160 Registration of business organizations

673.165 Continuing education; types of programs; hours; waiver

673.170 Disciplinary actions; grounds; costs

673.173 Cease and desist orders

673.175 Review of statement or report prepared by accountant required by consent agreement; liability of accountant performing review

673.185 Procedure for disciplinary actions and adoption of rules; continuing authority of board

673.210 Reissuance of revoked or suspended licenses

673.220 Inactive status; conditions; roster

673.310 Words or abbreviations of similar import to certified public accountant, public accountant, C.P.A. or P.A. prohibited

(Practice of Accountancy)

673.325 Statement allowed without permit or authorization

673.345 Payment or acceptance of commissions; contingent fees; referral fees; rules

673.350 Application of ORS 673.010 to 673.457 to employees of registered business organizations

673.360 Injunctions

673.370 Acts constituting prima facie evidence that person is authorized to use words certified public accountant or public accountant

673.380 Disposition of statements, records, schedules, working papers and memoranda of licensee

673.385 Disclosure of client information prohibited; exceptions

673.390 Solicitation permitted

(Civil Penalties)

673.400 Civil penalties

(Oregon Board of Accountancy)

673.410 Oregon Board of Accountancy; confirmation; qualifications; enforcement authority

673.415 Furnishing of signature block of income tax return or report by Department of Revenue; use of information; unlawful disclosure

673.440 Compilation of laws and rules; availability

673.445 Code of professional conduct

673.455 Peer Review Oversight Committee; alternative peer review programs; review of permit holders and business organizations; items for review

673.457 Review by alternative peer review program; right of Oregon Board of Accountancy to conduct review

673.465 Authority of Oregon Board of Accountancy to require fingerprints

TAX CONSULTANTS AND TAX PREPARERS

(Generally)

673.605 Definitions for ORS 673.605 to 673.740

673.610 Application of ORS 673.605 to 673.740

673.615 Prohibited acts; preparation of tax returns; refund anticipation loans

(Licensing)

673.625 Qualifications for tax consultant and tax preparer; examination

673.630 Tax consultant’s application

673.635 Tax preparer’s application

673.637 Licensing of person licensed in another state or enrolled to practice before Internal Revenue Service; requirements

673.640 Issuance of licenses

673.643 Preparation of tax returns by corporation, firm or partnership; requirements; liability; prohibitions

673.645 Renewal of licenses; restoration of lapsed license

673.655 Continuing education requirement; waiver

673.660 Licenses to be displayed

673.663 Use of title “tax consultant”

673.667 Inactive status; application; renewal; reactivation; revocation or suspension; prohibition

673.685 Fees

673.690 Tax consultant’s records

673.695 Secretary of State as agent for service of process against nonresident; fee

673.697 Continuing authority of board

673.700 Disciplinary action; grounds

673.705 Prohibited acts

673.710 Names of tax preparers and other information furnished by Department of Revenue; use of information

(Refund Anticipation Loans)

673.712 Refund anticipation loan disclosures

673.715 Local government regulation of refund anticipation loans prohibited; preemption

(State Board of Tax Practitioners)

673.725 State Board of Tax Practitioners; term;

qualification

673.730 Powers of board

673.732 Cease and desist orders

673.735 Civil penalties

673.740 Educational program as remedy

CRIMINAL PENALTIES

673.990 Criminal penalties

ACCOUNTANTS

(Generally)

673.010 Definitions for ORS 673.010 to 673.457. As used in ORS 673.010 to 673.457:

(1) “Attest,” “attesting” or “attestation” means the opinion of a licensee as to the reliability or fairness of information that is used for guidance in the financial transactions of, accounting for or assessing the status or performance of, commercial and noncommercial enterprises, whether public or private, following the completion of an audit, in accordance with generally accepted accounting and auditing standards. The board by rule shall further define what constitutes attestation services in conformance, to the extent possible, with professional standards, including but not limited to the Statements on Auditing Standards (SAS) for audits or other engagements, the Statement of Standards for Accounting and Review Services (SSARS) for the review of financial statements and the Statements on Standards for Attestation Engagements (SSAE) for examinations of prospective financial information.

(2) “Board” means the Oregon Board of Accountancy created by ORS 673.410.

(3) “Business organization” means any form of business organization authorized by law, including but not limited to a proprietorship, partnership, corporation, limited liability company, limited liability partnership or professional corporation.

(4) “Certificate” means a certificate of certified public accountant issued under ORS 673.040.

(5) “Client” means a person who agrees with a licensee to receive any professional service from the licensee.

(6) “Commission” means money or other consideration recognized as a commission under rules adopted by the board pursuant to ORS 673.012.

(7) “Compilation” means those services as defined by the board by rule.

(8) “Contingent fee” means a fee established for the performance of any professional service and directly or indirectly paid to a licensee pursuant to an arrangement in which no fee will be charged unless a specified finding or result is attained, or in which the amount of the fee is otherwise dependent upon the finding or result of such service. The board by rule may further define “contingent fee.” A fee is not contingent if the fee:

(a) Is fixed by courts or other public authorities; or

(b) In tax matters, is determined based on the results of judicial proceedings or the findings of governmental agencies.

(9) “License” means:

(a) A certificate, permit or registration, or a license issued under ORS 673.100, enabling the holder thereof to practice public accountancy in this state; or

(b) A certificate, permit, registration or other authorization issued by a jurisdiction outside this state enabling the holder thereof to practice public accountancy in that jurisdiction.

(10) “Licensee” means the holder of a license under subsection (9)(a) of this section.

(11) “Manager” means a manager of a limited liability company.

(12) “Member” means a member of a limited liability company.

(13) “Peer review” means a study, appraisal or review of one or more aspects of the public accountancy work of a holder of a permit under ORS 673.150 or of a registered business organization that performs attestation or compilation services that is conducted by:

(a) A certified public accountant who holds an active permit issued under ORS 673.150 or an active license issued by the licensing authority for the practice of public accountancy in another state and who is independent of the permit holder or registered business organization being reviewed; or

(b) A public accountant who holds an active permit issued under ORS 673.150 and who is independent of the permit holder or registered business organization being reviewed.

(14) “Permit” means a permit to practice public accountancy issued under ORS 673.150.

(15) “Professional” means arising out of or related to the specialized knowledge or skills associated with certified public accountants and public accountants.

(16) “Public accountant” means a public accountant licensed under ORS 673.100.

(17) “Referral fee” means a fee recognized as a referral fee under rules adopted by the board pursuant to ORS 673.012.

(18) “Registration” means the authority issued under ORS 673.160 by the Oregon Board of Accountancy to a business organization to practice public accountancy in this state.

(19) “Report,” when used with reference to attestation or compilation services, means an opinion or other form of written language that states or implies assurance as to the reliability of any financial statements and that also includes or is accompanied by any statement or implication that the person issuing the report has special knowledge or competence in public accountancy. Such a statement or implication of special knowledge or competence may arise from use by the issuer of the report of names or titles indicating that the issuer is a public accountancy professional or organization or may arise from the language of the report itself.

(a) “Report” includes any form of written language that:

(A) Disclaims an opinion when the form of language implies any positive assurance as to the reliability of the financial statements referred to or special knowledge or competence on the part of the person issuing the language;

(B) Implies any positive assurance as to the reliability of the financial statements referred to or special knowledge or competence on the part of the person issuing the language; or

(C) Relates to the financial affairs of a person and that is conventionally used by licensees in reports or financial statements.

(b) “Report” does not include:

(A) The following statement signed by a person who does not hold a certificate, license or permit under ORS 673.010 to 673.457 as long as the statement is not accompanied by any wording indicating the person is an accountant or auditor or any other language prohibited by ORS 673.310 or 673.320:

______________________________________________________________________________

The accompanying balance sheet (or___) of XYZ Company as of (date), and the related statements of income (or retained earnings or cash flow) for the year then ended have been prepared by me (us).

The information presented in these financial statements is the representation of management (owners).

______________________________________________________________________________

(B) Any other financial statements or reports that are not and do not purport to be in compliance with national standards, including but not limited to Statements of Standards for Accounting and Review Services (SSARS) and Statements on Standards for Attestation Engagements (SSAE) adopted by the board by rule, when the statements or reports are issued by persons not otherwise subject to regulation by the board under ORS 673.010 to 673.457.

(20) “State” means any state, territory or insular possession of the United States, and the District of Columbia.

(21) “Substantial equivalency” means a determination by the National Qualification Appraisal Service of the National Association of State Boards of Accountancy that:

(a) The education, examination and experience requirements contained in the statutes and administrative rules of another jurisdiction are equivalent to or exceed the education, examination and experience requirements of the Uniform Accountancy Act; or

(b) An individual’s education, examination and experience qualifications are equivalent to or exceed the education, examination and experience requirements of the Uniform Accountancy Act. [Amended by 1981 c.89 §2; 1993 c.431 §1; 1999 c.322 §2; 2001 c.313 §1; 2001 c.638 §1a; 2005 c.30 §1]

673.012 Rules defining certain terms. The Oregon Board of Accountancy shall adopt rules defining the terms “commission” and “referral fee” for purposes of ORS 673.010 to 673.457. [2001 c.313 §4]

673.015 Statement of public interest in regulating practice of accountancy. The public interest requires:

(1) The promotion of reliable information used for guidance in financial transactions and accounting for, or assessing the financial status or performance of, commercial, noncommercial and governmental enterprises;

(2) That persons professing special competence in accountancy or offering assurance as to the reliability or fairness of presentation of such information demonstrate their qualifications to do so, and that persons who have not demonstrated and maintained such qualifications, including public accountancy professionals not in public practice, not be permitted to hold themselves out as having special competence or to offer such assurance; and

(3) That the conduct of persons licensed as having special competence in accountancy be regulated in all aspects of their professional work and that the use of titles relating to the practice of public accountancy that have the capacity or tendency to mislead or deceive the public as to the status or competence of the persons using the titles be prohibited. [1999 c.322 §1]

673.020 [Amended by 1975 c.440 §3; 1985 c.605 §1; 1993 c.431 §2; repealed by 1999 c.322 §44]

673.030 [Amended by 1975 c.440 §4; 1981 c.89 §3; 1985 c.605 §2; 1993 c.431 §3; repealed by 1999 c.322 §44]

(Authority to Practice Public Accountancy)

673.040 Eligibility for certificate of certified public accountant; experience requirement; issuance of certificate to licensee from other state or country; fee; rules. (1) A certificate of certified public accountant shall be granted to any applicant who meets the requirements of this section and ORS 673.050 and 673.060 and who passes an examination on the code of professional ethics adopted by the Oregon Board of Accountancy.

(2) An applicant for a certificate shall show that after meeting the eligibility requirements for the examination required by ORS 673.050, the applicant has had one year of experience, meeting requirements prescribed by the board by rule, under the direct supervision of a public accountant, certified public accountant or chartered accountant who:

(a) Is licensed and in good standing in this state or another jurisdiction; and

(b) Has been licensed for a minimum period of time set by the board by rule.

(3) The board may issue a certificate to a holder in good standing of a license of certified public accountant or chartered accountant issued by another state or by a foreign country upon a showing that the holder meets requirements that are substantially equivalent to the education, experience and other requirements that must be satisfied for the issuance of a certificate of certified public accountant under ORS 673.010 to 673.457.

(4) The board shall charge a fee for each application for issuance of a certificate under this section in an amount prescribed by the board by rule.

(5) The board by rule may prescribe:

(a) Information required of applicants regarding the practice of public accountancy outside this state;

(b) Information required of licensees regarding changes in the ability or authority of the licensee to practice public accountancy; and

(6) Any certified public accountant may also be known as a “public accountant.” [Amended by 1999 c.322 §3; 2001 c.638 §4; 2003 c.209 §1]

673.050 General qualifications for candidates for C.P.A. examination. (1) Except as provided in subsection (2) of this section, a candidate for admission to the examination for a certified public accountant certificate shall:

(a) Present satisfactory evidence of graduation with a baccalaureate or higher degree from a college or university that is accredited by one of the six regional accrediting associations or by another accrediting body that is recognized by the Oregon Board of Accountancy, and shall have completed 150 or more semester hours or 225 or more quarter hours or the equivalent thereof, including courses in the study of accounting, business, economics, finance, written and oral communications and other subjects as determined by the board as appropriate for the accountancy profession; or

(b) Be a public accountant who received a license under ORS 673.100 prior to January 1, 2000.

(2) A person may apply to take the examination for the certificate of certified public accountant in order to pass the sections described in ORS 673.100 on which a passing grade must be received before a license as a public accountant may be issued if the person presents satisfactory evidence of graduation from a high school with a four-year course or of having acquired an equivalent education, and has had two years of public accountancy experience or the equivalent satisfactory to the board. [Amended by 1973 c.827 §66; 1979 c.84 §1; 1981 c.89 §4; 1997 c.640 §1; 1999 c.322 §§5,6; 2001 c.735 §2]

673.060 C.P.A. examination; scope; conduct; fee. (1) A person must pass an examination as a condition of the grant of a certificate of certified public accountant by the Oregon Board of Accountancy. The examination shall test the person’s knowledge of the subjects of accounting and auditing and other related subjects as the board may determine by rule. The board may contract with a testing service to administer the examination and may contract with any organization, governmental or private, for examination material and services.

(2) A person must pass all sections of the examination in order to qualify for a certificate of certified public accountant and must pass the sections of the examination described in ORS 673.100 (1)(c) to qualify for a license as a public accountant.

(3) The board shall charge each person who applies to take the examination a nonrefundable application fee in an amount determined by the board. The person shall pay the application fee at the time of the application.

(4) If the board contracts with a testing service to administer the examination described in subsection (1) of this section, the testing service shall collect from each person taking the examination all fees that the testing service charges for administering the examination. [Amended by 1967 c.62 §1; 1971 c.217 §2; 1975 c.440 §6; 1983 c.255 §1; 1989 c.771 §1; 1991 c.187 §1; 1993 c.300 §1; 1997 c.95 §1; 1999 c.322 §8; 2003 c.5 §1]

673.070 [Repealed by 1979 c.84 §5]

673.075 Credit for examination taken in other states. (1) The Oregon Board of Accountancy may, in accordance with its rules, grant credit to an applicant who has successfully completed an examination given by the licensing authority in any other state. The board may grant credit under this subsection if the applicant has successfully completed an examination in any two or more subjects described in ORS 673.060 or required by the board to be part of the examination in this state.

(2) Any examination for which credit is granted an applicant under subsection (1) of this section shall be substantially equivalent to examination requirements described in ORS 673.060. [1967 c.62 §§3,4; 1975 c.440 §7; 1993 c.300 §2; 1999 c.310 §2; 1999 c.322 §42; 2001 c.638 §5]

673.080 [Amended by 1971 c.217 §3; 1975 c.440 §8; 1981 c.89 §5; 1983 c.247 §1; 1991 c.187 §2; repealed by 1999 c.322 §44]

673.090 [Amended by 1975 c.440 §9; 1985 c.605 §3; 1991 c.187 §3; repealed by 1999 c.322 §44]

673.095 [1985 c.605 §6; 1991 c.187 §4; 1993 c.193 §2; repealed by 1999 c.322 §44]

673.100 License as public accountant; application; fee. (1) The Oregon Board of Accountancy shall issue a license as a public accountant to a person who applies for the license and who:

(a) Passes an examination on the code of professional ethics adopted by the board;

(b) Meets the requirements of ORS 673.050 for admission to the examination for the certificate of certified public accountant;

(c) Takes the examination for the certificate of certified public accountant pursuant to ORS 673.060 and receives a passing grade in those sections of the examination, excluding the auditing section, that the board by rule requires an applicant for a license as a public accountant to pass; and

(d) Has one year of public accountancy experience or the equivalent satisfactory to the board.

(2) An applicant for a license as a public accountant must make application on a form provided by the board. The board shall charge each applicant a fee for application in an amount determined by the board by rule. [Amended by 1975 c.440 §10; 1981 c.89 §6; 1983 c.255 §2; 1991 c.187 §5; 1993 c.300 §3; 1999 c.310 §3; 1999 c.322 §9; 2001 c.735 §1]

673.103 Public accountant audits prohibited; exception. (1) Except as provided in subsection (2) of this section, a public accountant licensed under ORS 673.100 may not perform audits.

(2) Subsection (1) of this section does not apply to a public accountant licensed under ORS 673.100 who first qualified for and applied to take the examination described in ORS 673.060 before January 1, 2002. [2001 c.735 §5; 2003 c.241 §1]

673.110 [Repealed by 1981 c.89 §21]

673.120 [Amended by 1981 c.89 §6a; repealed by 1985 c.605 §21]

673.130 [Amended by 1975 c.440 §11; 1981 c.89 §7; 1985 c.605 §4; 1991 c.187 §6; repealed by 1999 c.322 §44]

673.132 [1993 c.431 §14; repealed by 1999 c.322 §44]

673.134 [1993 c.431 §15; repealed by 1999 c.322 §44]

673.136 [1993 c.431 §16; repealed by 1999 c.322 §44]

673.138 Liability of persons operating in certain registered business organization. Notwithstanding any other law, the liability and limitations on liability of a shareholder, owner, member or comparable person in a registered business organization that is not a proprietorship or partnership for negligent or wrongful acts, omissions or misconduct in the rendering of professional accountancy services on behalf of the registered business organization, shall be as set forth in ORS chapter 58, regarding the liability of a shareholder of a professional corporation for such negligence or wrongful acts, omissions or misconduct. [1993 c.431 §17; 1999 c.322 §10]

673.140 [Amended by 1981 c.89 §8; repealed by 1999 c.322 §44]

673.150 Permits to engage in practice of public accountancy; permit renewals; fees. (1) A permit to engage in the practice of public accountancy in this state shall be issued by the Oregon Board of Accountancy biennially to an applicant who is:

(a) A holder of the certificate of certified public accountant issued under ORS 673.040 to 673.075; or

(b) A public accountant licensed under ORS 673.100.

(2) The board by rule shall cause all permits issued under this section to be renewed biennially.

(3) Applications for permits or for renewals of permits may be submitted to the board on a form prescribed by the board within such time periods as the board prescribes by rule. Applications for permits or for renewals of permits shall be accompanied by a fee determined by the board by rule.

(4) Applications for renewals of permits shall be accompanied by evidence satisfactory to the board that the applicant has complied with continuing education requirements under ORS 673.165 unless those requirements have been waived by the board.

(5) A permit that is not renewed by the close of the permit period may be restored upon payment to the board of a delinquent renewal fee in an amount determined by the board by rule. Any permit that is not renewed within 60 days after the close of the permit period for which it was issued or renewed shall lapse. The board may restore a lapsed permit upon payment to it of all past unpaid renewal fees and the delinquent renewal fee. However, the board may restore a permit issued or renewed for a permit period that ended more than five years prior to the date of the application for restoration only upon demonstration satisfactory to the board that the applicant is qualified to engage in the practice of public accountancy.

(6) Notwithstanding subsection (3) of this section, the board may by rule prescribe a reduced fee for renewal of permits of those certified public accountants and public accountants who have reached the age of 65 years. [Amended by 1971 c.217 §4; 1973 c.782 §1; 1975 c.438 §3a; 1975 c.440 §12; 1977 c.873 §6; 1981 c.89 §9; 1985 c.605 §7; 1991 c.187 §7; 1993 c.193 §3; 1999 c.322 §11; 2001 c.638 §6]

673.153 Holders of certificates and licenses issued by other states; fees. (1) The Oregon Board of Accountancy may authorize a holder of a license with a principal place of business in another state to practice public accountancy in this state if the holder holds in good standing a valid certificate and license as a certified public accountant from:

(a) Another state that is verified to be of substantial equivalency, as defined in ORS 673.010 (21)(a).

(b) Another state that is not verified to be of substantial equivalency, as defined in ORS 673.010 (21)(a), but the holder’s skills are verified to be of substantial equivalency, as defined in ORS 673.010 (21)(b).

(2) A holder authorized under subsection (1) of this section shall be presumed to meet this state’s requirements to practice public accountancy and shall have all the rights and privileges of certificate holders and licensees of this state without the need to obtain a certificate under ORS 673.040 or a permit under ORS 673.150.

(3) A holder of a license from another state who is engaged in the practice of public accountancy under this section shall:

(a) Notify the board of the holder’s intent to practice public accountancy in this state on a form provided by the board;

(b) Pay an annual fee in an amount and by the date determined by the board by rule;

(d) Comply with the requirements of ORS 673.010 to 673.457 and any rules adopted thereunder; and

(e) Agree to the appointment of the other state’s licensing authority as the agent of the holder, upon whom process may be served in any action or proceeding by the board against the holder. [2001 c.638 §3; 2001 c.638 §3a]

673.160 Registration of business organizations. (1) Business organizations of certified public accountants or of public accountants shall register with the Oregon Board of Accountancy if the business organization:

(a) Uses the terms “certified public accountants” or “public accountants” or abbreviations for such terms in this state;

(b) Holds itself out to clients in this state or the public in this state as a business organization engaged in the practice of public accountancy; or

(2) Nothing in this section shall be construed to require a holder of a permit under ORS 673.150 to register under this section unless the permit holder:

(a) Holds the permit holder out to clients in this state or the public in this state as a business organization composed of more than one licensee; or

(b) Performs attestation or compilation services in this state.

(3) Registrations shall be issued and renewed for periods of not more than two years. Applications for registration shall be made in a form prescribed by the board by rule. Applications for renewal shall be made between the dates prescribed by the board by rule.

(4) The following requirements must be satisfied before a registration may be issued or renewed under this section:

(a) Notwithstanding any other provision of law, a simple majority of the ownership of the business organization, in terms of financial interests and voting rights of all partners, officers, shareholders, members or managers, shall belong to holders of permits or holders of certificates who are licensed in any state, and the partners, officers, shareholders, members or managers of the business organization whose principal place of business is in this state and who perform public accountancy services in this state, shall be holders of permits under ORS 673.150. If a majority of the ownership of the business organization is held by holders of permits who are public accountants holding licenses issued under ORS 673.100, the business organization may not use the name “C.P.A. Firm” or any similar name indicating that a majority of the ownership of the firm holds certificates issued under ORS 673.040;

(b) In the case of a business organization that includes owners who are not holders of permits under ORS 673.150, a holder of a permit in this state shall be responsible for the management and proper registration of the business organization;

(c) All owners of the business organization who are not holders of permits under ORS 673.150 shall be active individual participants in the business organization or affiliated entities; and

(d) Any person who is responsible for supervising attestation or compilation services and who signs or authorizes someone to sign the accountant’s report on the financial statements on behalf of the business organization in this state, shall hold a permit under ORS 673.150 and meet the competency requirements established by the board by rule.

(5) An application for registration or renewal of registration under this section shall:

(a) List all states in which the business organization has applied for or holds permits to practice public accountancy; and

(b) Provide evidence that the requirements of subsection (4) of this section are satisfied.

(6) Each applicant for registration or renewal under this section and each registrant shall notify the board in writing, within the time period specified by the board by rule, of:

(a) The identities of partners, officers, shareholders, members, managers or owners of the business organization who work regularly in this state;

(b) The number or location of offices in this state;

(d) Any issuance, denial, revocation, lapse or suspension of authority to perform professional or other services in any jurisdiction against a partner, officer, shareholder, member, manager or owner of the applicant or registrant that seeks registration or is registered in this state; and

(e) The filing of a lawsuit relating to professional services of the business organization, the commencement of any civil action an essential element of which involves fraud, dishonesty or misrepresentation, or of any criminal action against the applicant or registrant that seeks registration or is registered in this state or against a partner, officer, shareholder, member, manager or owner of the applicant or registrant that seeks registration or is registered in this state.

(7) The board shall charge a fee for each application for issuance or renewal of registration under this section in an amount prescribed by the board by rule. A registration under this section that is not renewed by the close of the registration period may be restored upon payment to the board of a delinquent renewal fee in an amount determined by the board by rule.

(8) Applicants for renewals of registrations under this section shall undergo a peer review as provided under ORS 673.455, unless the registrant notifies the board that the registrant is exempt from peer review requirements because the registrant does not perform attestation or compilation services in this state. [Amended by 1975 c.440 §13; 1985 c.605 §8; 1993 c.431 §4; 1999 c.322 §12; 2001 c.104 §256; 2001 c.638 §7; 2003 c.8 §1]

673.165 Continuing education; types of programs; hours; waiver. (1) Each holder of a permit issued under ORS 673.150, under rules adopted by the Oregon Board of Accountancy, shall participate in a continuing education program that directly contributes to professional competency.

(2) The education programs shall include any of the following:

(a) Professional development programs and technical meetings of professional associations of public accountants, of certified public accountants or of public accountants and certified public accountants.

(b) University and college courses.

(c) Such professional staff training programs provided by accountancy organizations and other education programs that meet the requirements established by the board by rule.

(3) The board shall determine the hourly value to be assigned to each education program.

(4) The number of hours of continuing education required shall be determined by the board, but shall not exceed 40 hours per year, or the equivalent, for both certified public accountants and public accountants.

(5) The board by rule may adopt conditions under which continuing education requirements may be waived. However, continuing education requirements may not be waived by the board for more than three consecutive years except for military service, retirement, disability, absence from the state or for other instances of individual hardship as determined by the board, or for accountants granted inactive status by the board. The board may, among other things, take into account the accessibility by applicants to continuing education programs and any impediments to interstate practice of public accountancy that may result from differences in continuing education requirements in other states. [1975 c.438 §2; 1981 c.89 §10; 1985 c.461 §3; 1985 c.605 §9; 1999 c.322 §13]

673.170 Disciplinary actions; grounds; costs. (1) The Oregon Board of Accountancy may take any of the following disciplinary actions:

(a) Revoke, suspend or refuse to issue any certificate issued under ORS 673.040 to 673.075.

(b) Revoke, suspend or refuse to issue any public accountant’s license issued under ORS 673.100.

(d) Revoke, suspend, refuse to renew or refuse to issue authorization to practice public accountancy in this state under ORS 673.153.

(e) Censure the holder of any permit described in ORS 673.150 or authorization described in ORS 673.153.

(f) Revoke, suspend, refuse to renew or refuse to issue any registration issued under ORS 673.160.

(g) Censure the holder of any registration issued under ORS 673.160.

(2) The board may take any of the actions described in subsection (1) of this section for any one or any combination of the following causes:

(a) Fraud or deceit in obtaining or applying for:

(A) A certificate under ORS 673.040 to 673.075;

(B) A public accountant’s license under ORS 673.100;

(D) A permit under ORS 673.150;

(E) Authorization to practice public accountancy in this state under the provisions of ORS 673.153; or

(F) Admission to the roster of authorized accountants referred to in ORS 297.670.

(b) Dishonesty, fraud or gross negligence in the practice of public accountancy.

(c) Incompetence in the practice of public accountancy. A holder of a license issued under ORS 673.100, certificate, permit or registration is incompetent in the practice of public accountancy if the holder:

(A) Engages or has engaged in conduct that evidences a lack of ability or fitness to discharge the duty owed to a client or the general public; or

(B) Engages or has engaged in conduct that evidences a lack of knowledge or ability to apply principles or skills of the practice of public accountancy, as adopted by the board.

(d) Violation of any of the provisions of ORS 673.010 to 673.457.

(e) Violation of any of the provisions of ORS 297.405 to 297.555.

(f) Violation of any provision of the Code of Professional Conduct adopted by the board under the authority granted by ORS 673.010 to 673.457, or rules adopted by the board under ORS 670.310.

(g) Conduct resulting in a conviction of a felony under the laws of any state, of any foreign jurisdiction or of the United States. However, such conduct may be considered only to the extent permissible under the provisions of ORS 670.280.

(h) Conviction of any crime, an essential element of which is dishonesty, fraud or misrepresentation, under the laws of any state, of any foreign jurisdiction or of the United States.

(i) Conviction of willful failure to pay any tax, file any tax return, keep records or supply information required under the tax laws of any state, of any foreign jurisdiction or of the United States, or conviction of the willful making, rendering, delivery, disclosure, signing or verifying of any false or fraudulent list, return, account, statement or other document, or of supplying any false or fraudulent information, required under the tax laws of any state, of any foreign jurisdiction or of the United States.

(j) Cancellation, revocation, suspension or refusal to renew, authority to practice as a certified public accountant or a public accountant in any state or foreign jurisdiction.

(k) Cancellation, suspension, revocation or refusal to renew by any state, any foreign jurisdiction or any federal agency of the right to practice law, to practice as an enrolled agent before the Internal Revenue Service pursuant to 31 C.F.R. part 10, or to practice under other regulatory law if the cancellation, suspension, revocation or refusal to renew was related to the practice of public accountancy or if dishonesty, fraud or deception was involved.

(L) Failure to comply with the continuing education requirements under ORS 673.165 unless such requirements have been waived by the board.

(m) Failure to pay a civil penalty imposed by the board after the period for requesting a hearing on the civil penalty terminates if the person or business organization against whom the penalty is imposed has not requested a hearing, or after the period for seeking judicial review of the order assessing the civil penalty has passed.

(n) Failure to comply with the terms of a consent agreement described in subsection (3) of this section.

(o) Failure to comply with any reporting or other requirement established by the board by rule.

(p) Issuance of a cease and desist order against the person under subsection (7) of this section.

(3) In lieu of disciplinary actions under subsection (1) of this section, the board may enter into a consent agreement with the holder of any certificate described in ORS 673.040 to 673.075, the holder of any public accountant’s license, the holder of any registration described in ORS 673.160, the holder of any permit described in ORS 673.150 or the holder of any authorization described in ORS 673.153, under which the holder agrees to comply with conditions prescribed by the board.

(4) In addition to the causes in subsection (2) of this section, the board may take any of the actions described in subsection (1) of this section for dishonesty, fraud or misrepresentation not in the practice of public accountancy.

(5) In lieu of or in addition to any action described in subsection (1) of this section, the board may take any of the following actions:

(a) Require a holder of a permit under ORS 673.150 that provides compilation services or a business organization registered under ORS 673.160 to undergo a peer review conducted as the board may specify; or

(b) Require a holder of a permit under ORS 673.150 to complete any continuing professional education programs the board may specify.

(6) In the case of a registered business organization, the board may take any of the actions described in subsection (1) of this section for any of the following additional causes:

(a) The cancellation, revocation or suspension of, or refusal to renew, the authority to provide professional services, in this state or any other jurisdiction, of any partner, officer, shareholder, member, manager or owner of the business organization; or

(b) The cancellation, revocation or suspension of, or refusal to renew, the authority of the business organization to practice public accountancy or provide other professional services in any other state or foreign jurisdiction.

(7) If the board has reasonable cause to believe that any person has engaged, is engaging or is about to engage in any violation of any provision of ORS 673.010 to 673.457 or any rule or order adopted under ORS 673.010 to 673.457, the board may issue an order, subject to ORS 673.173, directed to the person, and to any other person directly or indirectly controlling the person, to cease and desist from the violation or threatened violation.

(8) Notwithstanding any protective order issued under ORCP 36 C, upon motion of the board, the court shall order disclosure of materials or information subject to a protective order under ORCP 36 C. The board may use the material or information to take disciplinary action under this section.

(9) If the board takes disciplinary action under this section, the board may assess against the person disciplined costs associated with the disciplinary action. An assessment under this subsection is in addition to, and not in lieu of, any other action taken by the board. Moneys collected under this subsection shall be deposited in the Oregon Board of Accountancy Account established in the General Fund pursuant to ORS 670.335. [Amended by 1971 c.734 §112; 1975 c.438 §4a; 1975 c.440 §14; 1979 c.84 §2; 1981 c.89 §11; 1983 c.255 §3; 1985 c.605 §10; 1987 c.455 §3; 1993 c.431 §5; 1999 c.322 §14; 2001 c.638 §8; 2005 c.39 §1; 2005 c.837 §12]

673.173 Cease and desist orders. (1) A cease and desist order issued under ORS 673.170 shall include the following:

(a) A statement of the facts constituting the violation.

(b) A provision requiring the person named in the order to cease and desist from the violation.

(d) A notice to the person named in the order of the right to a contested case hearing under ORS chapter 183.

(2) An order under this section shall be effective 30 days after the date of the order unless the person named in the order requests a hearing on the order. [2005 c.39 §3]

673.175 Review of statement or report prepared by accountant required by consent agreement; liability of accountant performing review. If the Oregon Board of Accountancy, as part of a consent agreement entered into under ORS 673.170, requires a certified public accountant or public accountant to obtain review of any financial statement or report prepared by the certified public accountant or public accountant before the statement or report is issued, the review of the statement or report shall be performed by a certified public accountant or public accountant approved by the board to conduct the review. The liability of any certified public accountant or public accountant conducting the review shall be limited to any fees paid to the reviewer for conducting the review. This section shall not affect the liability of the certified public accountant or public accountant subject to the review. [1989 c.362 §2]

673.180 [Amended by 1971 c.734 §113; 1985 c.605 §11; repealed by 1999 c.322 §44]

673.185 Procedure for disciplinary actions and adoption of rules; continuing authority of board. (1) When the Oregon Board of Accountancy proposes to refuse to issue a certificate under ORS 673.040, license under ORS 673.100, permit under ORS 673.150, registration under ORS 673.160 or authorization under ORS 673.153, proposes to refuse to renew a permit or registration or proposes to revoke or suspend a certificate, registration, license, permit or authorization, opportunity for hearing shall be accorded as provided in ORS chapter 183 and chapter 734, Oregon Laws 1971.

(2) When the board institutes or continues a disciplinary action under ORS 673.170, the surrender, retirement or other forfeiture, expiration, lapse or revocation of a license issued by the board does not deprive the board of its authority to institute or continue the disciplinary action against the licensee.

(3) Adoption of rules, conduct of hearings, issuance of orders and judicial review of rules and orders shall be in accordance with ORS chapter 183 and chapter 734, Oregon Laws 1971.

(4) The decision of the board under subsection (1) of this section shall be by majority vote. [1971 c.734 §115; 1999 c.322 §15; 2001 c.638 §9]

Note: Legislative Counsel has substituted “chapter 734, Oregon Laws 1971,” for the words “this 1971 Act” in section 115, chapter 734, Oregon Laws 1971, compiled as 673.185. Specific ORS references have not been substituted, pursuant to 173.160. The sections for which substitution otherwise would be made may be determined by referring to the 1971 Comparative Section Table located in Volume 20 of ORS.

673.190 [Amended by 1971 c.418 §21; repealed by 1971 c.734 §21]

673.200 [Repealed by 1971 c.734 §21]

673.210 Reissuance of revoked or suspended licenses. (1) The Oregon Board of Accountancy may reissue any license that it has revoked or may modify the suspension of any license that it has suspended.

(2) The power of the board to suspend any authority to provide professional services includes the power to reissue:

(a) At a time certain; or

(b) When the licensee or business organization subject to suspension fulfills conditions for reissuance set by the board. [Amended by 1979 c.84 §3; 1999 c.322 §16]

673.220 Inactive status; conditions; roster. (1) The Oregon Board of Accountancy may grant inactive status to any licensee who does not hold the licensee out to clients or the public as a certified public accountant or a public accountant and does not engage in the practice of public accountancy, if the license is not suspended or revoked.

(2) A licensee granted inactive status by the board:

(a) Must pay any fee in an amount determined by the board by rule for becoming or remaining inactive or becoming active.

(b) May not hold the licensee out to clients or the public as a certified public accountant or a public accountant or otherwise engage in the practice of public accountancy until restored to active status.

(3) The board by rule shall adopt procedures and requirements for granting and renewing inactive status and for restoring to active status any licensee on inactive status.

(4) The board may restore a lapsed permit to inactive status upon payment to it of all past unpaid renewal fees and the delinquent renewal fee as provided in ORS 673.150 (5).

(5) The board shall maintain a current roster of all licensees granted inactive status. [1985 c.461 §2; 1987 c.455 §4; 1993 c.193 §4; 1999 c.322 §17; 2005 c.39 §6]

673.310 Words or abbreviations of similar import to certified public accountant, public accountant, C.P.A. or P.A. prohibited. No person, partnership, professional corporation or other business form shall assume or use the title or designation “certified accountant,” “chartered accountant,” “enrolled accountant,” “licensed accountant,” “registered accountant” or any other title or designation likely to be confused with “certified public accountant” and “public accountant,” or any of the abbreviations “C.A.,” “R.A.,” or “L.A.,” or similar abbreviations likely to be confused with “C.P.A.” or “P.A.” [Amended by 1991 c.372 §1; 1993 c.431 §6]

(Practice of Accountancy)

673.320 Permit or registration required to provide attestation or compilation services or issue report; exceptions; use of terms certified public accountant, public accountant, C.P.A. or P.A; exceptions. (1) A person or business organization in this state shall not provide attestation or compilation services for or issue a report on financial statements of any other person, firm, organization or governmental unit unless the person or business organization holds a permit or registration issued under ORS 673.010 to 673.457. The prohibitions of this subsection do not apply to:

(a) An officer, partner, employee, shareholder, member, manager or owner of any firm or organization affixing that person’s own signature to any statement or report in reference to the financial affairs of the firm or organization with wording designating the position, title or office that the person holds in the firm or organization;

(b) Any act of a public official or employee in the performance of official duties; or

(c) The performance by any person, other than a licensee or registrant, of other services, including the preparation of tax returns, management advisory services and the preparation of financial statements, without the issuance of reports thereon.

(2) Any transmission of financial statements or information using language as specified in ORS 673.325 or as adopted by the Oregon Board of Accountancy by rule under this subsection shall not be considered a report.

(3) A person shall not assume or use the title or designation “certified public accountant,” or the abbreviation “C.P.A.,” or any other title, designation, words, letters, abbreviation, sign, card or device tending to indicate that the person is a certified public accountant, unless the person holds a valid certificate of certified public accountant issued under ORS 673.040 and a permit issued pursuant to ORS 673.150.

(4) A business organization shall not assume or use the title or designation “certified public accountant,” or the abbreviation “C.P.A.,” or any other title, designation, words, letters, abbreviation, sign, card or device tending to indicate that the business organization is composed of certified public accountants unless the business organization is registered under ORS 673.160.

(5) A person shall not assume or use the title or designation “public accountant,” or the abbreviation “P.A.,” or any other title, designation, words, letters, abbreviation, sign, card or device tending to indicate that the person is a public accountant unless that person holds a valid license issued under ORS 673.100 and permit issued under ORS 673.150.

(6) A business organization shall not assume or use the title or designation “public accountant,” or the abbreviation “P.A.,” or any other title, designation, words, letters, abbreviation, sign, card or device tending to indicate that the business organization is composed of public accountants, unless the business organization is registered under ORS 673.160.

(7) A person or business organization shall not assume or use any title or designation likely to be confused with the titles “certified public accountant” or “public accountant,” or any abbreviations likely to be confused with the abbreviations “C.P.A.” or “P.A.,” unless the person or business organization holds a valid permit or registration issued under ORS 673.010 to 673.457. This subsection does not restrict the use of any title, designation or abbreviation awarded by institutions that are recognized by the board by rule.

(8) A person or business organization shall not assume or use any title or designation that includes the words “accountant,” “auditor” or “accounting” in connection with any other wording, including that of a report, that implies that the person or business organization holds a permit or registration or has special competence as an accountant or auditor, unless the person or business organization holds a permit or registration issued under ORS 673.010 to 673.457. This subsection does not prohibit:

(a) A partner, officer, employee, shareholder, member, manager or owner of any firm or organization from affixing that person’s own signature to any statement or report in reference to the financial affairs of the firm or organization with wording designating the position, title or office that the person holds in the firm or organization;

(b) Any act of a public official or employee in the performance of official duties; or

(c) Use of the words “accountant” or “accounting” by a person or business offering services that are not restricted to a person or business organization holding a license or permit to practice public accountancy.

(9) A person or business organization holding a permit or registration under ORS 673.010 to 673.457 shall not use a professional or business name or designation that is misleading about the legal form of the business organization, about the persons who are partners, officers, shareholders, members, managers or owners of the business organization or about any other matter. The board by rule may specify the appropriate use by licensees of abbreviations and initials in a professional or business name. Notwithstanding any provision of this subsection, the names of one or more former partners, shareholders, members or managers may be included in the name of a registered business organization or its successor.

(10) A person holding a permit issued under ORS 673.150 shall not perform attestation or compilation services in any business organization that does not hold a valid registration under ORS 673.160.

(11) Subsections (1) to (10) of this section apply to a person or business organization holding a certification, license, permit, designation or degree granted in another jurisdiction entitling the holder to engage in the practice of public accountancy or its equivalent in the other jurisdiction unless:

(a) The activities of the person or business organization in this state are limited to the provision of professional services to clients in this state, where the clients are residents of, governments of or business entities in the other jurisdiction in which the person holds the entitlement;

(b) The person or business organization does not provide attestation or compilation services or issue reports regarding the financial statements of any other persons, organizations or governmental units in this state; and

(c) The person or business organization does not hold out to clients, potential clients or the public in this state that the person or business organization is licensed or registered under ORS 673.010 to 673.457 and does not use any title or designation other than the one under which the person or business organization practices in the other jurisdiction, followed by the name of the other jurisdiction and, if applicable, any translation of the title or designation into the English language. [Amended by 1999 c.322 §18; 2001 c.104 §257; 2001 c.638 §10]

673.325 Statement allowed without permit or authorization. The following statement signed by a person who does not hold a permit issued under ORS 673.150 or the authorization granted under ORS 673.153 shall not constitute a report under ORS 673.320, so long as the statement is not accompanied by any wording indicating the person is an accountant or auditor or other language prohibited by ORS 673.310 or 673.320:

______________________________________________________________________________

The accompanying balance sheet of XYZ Company as of (date), and the related statements of income (or retained earnings or cash flow) for the year then ended have been prepared by me (us).

The information presented in these financial statements is the representation of management (owners).

______________________________________________________________________________

[1997 c.610 §2; 1999 c.322 §18a; 2001 c.104 §258; 2001 c.638 §11]

673.330 [Amended by 1975 c.440 §17; 1985 c.605 §12; 1993 c.431 §7; repealed by 1999 c.322 §44]

673.340 [Amended by 1975 c.440 §18; 1993 c.431 §8; repealed by 1999 c.322 §44]

673.345 Payment or acceptance of commissions; contingent fees; referral fees; rules. (1)(a) A holder of a permit under ORS 673.150 or a business organization registered under ORS 673.160, when the conditions set forth in paragraph (b) of this subsection are present, may not:

(A) Pay a commission to obtain a client;

(B) Accept a commission for a referral to a client of products or services of others; or

(b) The prohibition on commissions set forth in paragraph (a) of this subsection applies only when the holder or business organization, or any of the partners, officers, shareholders, members, managers or owners of the holder or business organization, performs:

(A) Client attestation services; or

(B) A compilation of a financial statement for a client, if the compilation report does not disclose a lack of independence.

(2)(a) A holder of a permit under ORS 673.150 or a business organization registered under ORS 673.160 may:

(A) Perform for a contingent fee any professional service for a client; or

(B) Receive a contingent fee for any professional service performed for a client.

(b) Notwithstanding paragraph (a) of this subsection, a holder or business organization may not accept a contingent fee under paragraph (a) of this subsection from a client for whom the holder or business organization, or any of the partners, officers, shareholders, members, managers or owners of the holder or business organization, performs:

(A) Client attestation services; or

(B) A compilation of a financial statement for the client, if the compilation report does not disclose a lack of independence.

(3) A holder of a permit under ORS 673.150 or a business organization registered under ORS 673.160 may not prepare for a contingent fee an original or amended tax return or a claim for a tax refund for any client.

(4) The prohibitions described in subsections (1) to (3) of this section apply during the period in which the holder of a permit under ORS 673.150 or a business organization registered under ORS 673.160 is engaged to perform any of the services described in subsection (1)(b) or (2)(b) of this section and during the period covered by any historical financial statements involved in any of the services. The Oregon Board of Accountancy by rule may modify the period when the prohibitions described in subsections (1) to (3) of this section are applicable.

(5)(a) Any holder of a permit under ORS 673.150 or business organization registered under ORS 673.160 that expects or accepts a fee for recommending or referring any product or service to any person or entity, or that pays a referral fee or other valuable consideration to obtain a client, shall disclose the expectation, acceptance or payment to the client.

(b) The board by rule shall specify the manner and form in which disclosures under this subsection shall be made. The rules shall require that disclosures required by this subsection:

(A) Be made in clear and conspicuous writing;

(B) Be made on or before the time at which the recommendation or referral that is the basis of the fee is made, or prior to the time the client retains the licensee to whom the client has been referred and for which a referral fee or other valuable consideration has been paid; and

(6) This section does not prohibit:

(a) Payments for the purchase of all or any part of an accountancy practice; or

(b) Retirement payments to individuals presently or formerly engaged in the practice of public accountancy or payments to their heirs or estates. [1989 c.524 §2; 2001 c.313 §2]

673.350 Application of ORS 673.010 to 673.457 to employees of registered business organizations. Nothing contained in ORS 673.010 to 673.457 shall prohibit any person not a certified public accountant or public accountant from serving as an employee of a business organization registered under ORS 673.160. However, such an employee shall not issue any report on an accounting or financial statement over that employee’s name. [Amended by 1975 c.440 §19; 1985 c.605 §13; 1993 c.431 §9; 1999 c.322 §20]

673.360 Injunctions. (1) Whenever in the judgment of the Oregon Board of Accountancy any person has engaged, or is about to engage, in any acts or practices that constitute or may constitute a violation of any of the provisions of ORS 673.010 to 673.457, the board may apply to the court for an order enjoining the acts or practices, and upon a showing by the board that the person has engaged, or is about to engage, in any such acts or practices, an injunction, restraining order or other order may be granted by the court without bond.

(2) The board may apply to the court for an injunction against a person for failure to comply with a cease and desist order. [Amended by 1999 c.322 §21; 2005 c.39 §4]

US Laws, Codes, Statutes & Cases

Oregon Chapter 673

Code Resources