Current through February 27, 2024
1. The requirement
of experience must be satisfied by an applicant for a certificate of certified
public accountant as set forth in this section and subsection 2 of
NRS
628.200, as amended by section 11 of Assembly
Bill No. 454, chapter 512, Statutes of Nevada 2017, at page 3463.
2. To satisfy the requirement of subsection 2
of NRS
628.200, as amended by section 11 of Assembly
Bill No. 454, chapter 512, Statutes of Nevada 2017, at page 3463, the
experience of an applicant must consist of the following, or equivalent
experience from another state:
(a) Two years
of full-time employment performing the tasks set forth in subsection 3 in a
partnership, corporation, limited-liability company or sole proprietorship
engaged in the practice of public accounting;
(b) Four years of full-time employment
performing the tasks set forth in subsection 3 in a governmental or other
industry position substantially equivalent to a position in the practice of
public accounting; or
(c) Any
combination of the experience set forth in paragraphs (a) and (b), except that
an applicant who completes any experience described in paragraph (b) is
entitled to credit towards any experience required by paragraph (a) in an
amount equal to one-half of the amount of the experience completed pursuant to
paragraph (b).
3. The
requirement of experience set forth in subsection 2 must include the
preparation, performance, supervision and review of tasks relating to the
practice of public accounting that require discretion and judgment with
increasing responsibility and levels of complexity and competency. Such tasks
must include:
(a) Compilation or preparation
of historical financial statements or prospective financial information
consistent with generally accepted accounting principles or other comprehensive
basis of accounting;
(b) Review of
financial statements prepared consistent with generally accepted accounting
principles or another financial reporting framework;
(c) Auditing of financial
statements;
(d) Other attestation
services relating to historical and prospective financial information and the
compliance with all applicable controls, laws and regulations and contractual
obligations;
(e) Operational and
other tasks which are frequently referred to as internal auditing
activities;
(f) Preparation of
income tax returns, information returns and other federal, state, local and
foreign tax returns for individuals, corporations, partnerships and
limited-liability companies, charitable organizations and estates and
trusts;
(g) Design of internal
controls over financial reporting;
(h) Testing of compliance with internal
controls over financial reporting;
(i) Testing of compliance with financial
accounting and auditing and income tax laws, regulations and contractual
obligations;
(j) Testing of
financial information and the design and effectiveness of controls as part of
internal audit outsourcing or co-sourcing arrangements;
(k) Fraud examinations and other forensic
accounting;
(l) Research relating
to the application of professional standards, laws and regulations;
(m) Providing professional advice relating to
structuring prospective transactions and events to achieve a desired result in
compliance with applicable professional standards, laws and regulations;
and
(n) Completing tasks relating
to the tasks provided in paragraphs (a) to (m), inclusive, including:
(1) Engagement planning, including the
identification of significant transactions, accounts and processes, assessment
of risks, program design and timing of procedures;
(2) File organization and report
assembly;
(3) Documenting findings
and conclusions, including internal working papers, memoranda and reports for
external use;
(4) Account analysis
and verification procedures for all categories of assets, liabilities,
equities, revenues, costs and expenses and related information;
(5) Analytical procedures;
(6) Inspection and summary of
documents;
(7) Valuation assertion
testing, including the testing of the appropriateness of inputs, related
metrics and methods;
(8)
Confirmation of information with independent parties;
(9) Design of sample plans and nonsampling
selections;
(10) Written and verbal
inquiry of responsible parties and their advisors;
(11) Direct observation of circumstances and
events;
(12) Reperformance
processes and controls initially performed by others;
(13) Comparison of expectations and results
to industry and other relevant metrics;
(14) Comparison of budgeted amounts to actual
or expected results; or
(15)
Performance auditing activities.
4. The following tasks must not be considered
to satisfy the requirement of experience set forth in subsection 2:
(a) Unless significantly related to a task
listed in subsection 3, administrative and clerical functions that do not
require discretion and judgment;
(b) Personnel recruiting;
(c) Industrial engineering;
(d) Actuarial services;
(e) Unless performed in connection with a
task listed in subsection 3, expert testimony or litigation support;
(f) Valuation services, except those
valuation services performed in connection with the valuation assertion testing
of financial statements, including, without limitation, real estate and
personal property appraisals and business valuations;
(g) Bookkeeping, unless performed in
connection with a task listed in subsection 3;
(h) Unless performed in connection with a
task listed in subsection 3, approving and processing routine accounting
transactions, including, without limitation, transactions involving cash
receipts and disbursements, the procurement of goods and services, payroll
processing and recurring journal entries; or
(i) Unless performed in connection with a
task listed in subsection 3, the development, maintenance and monitoring of
electronic systems and tools, software and hardware.
5. To satisfy the requirements for experience
set forth in this section, all work must have been performed under the direct
supervision of a person engaged in active practice as a certified public
accountant who has knowledge about and a higher level of responsibility of the
subject tasks and in accordance with all applicable professional standards,
including, without limitation:
(a) The
Code of Professional Conduct of the American Institute of
Certified Public Accountants, as adopted by reference in NAC
628.500, or, if applicable, the
standards set forth by the United States Government Accountability Office or
the Public Company Accounting Oversight Board;
(b) Generally accepted accounting principles,
including, without limitation, any principles applicable to the selected
financial reporting framework which are derived from authoritative standards
and certain interpretive nonauthoritative guidance promulgated by the Financial
Accounting Standards Board, the United States Securities and Exchange
Commission, the Governmental Accounting Standards Board, the International
Accounting Standards Board and the American Institute of Certified Public
Accountants and its Financial Reporting Executive Committee;
(c) Auditing standards, including, without
limitation, those promulgated by the Auditing Standards Board of the American
Institute of Certified Public Accountants or, if applicable, the Public Company
Accounting Oversight Board, the Comptroller General of the United States, the
International Auditing and Assurance Standards Board or the Institute of
Internal Auditors; and
(d) Other
standards published by the American Institute of Certified Public Accountants,
including, without limitation, Statements on Standards for Attestation
Engagements (SSAE), Statements on Standards for Accounting and Review Services
(SSARS), Statements on Standards for Tax Services (SSTS) and Statements on
Standards for Consulting Services (SSCS), each of which is hereby adopted by
reference and may be obtained on-line from the American Institute of Certified
Public Accountants at its Internet website,
https://www.aicpa.org, free of
charge.
6. An applicant
must complete and submit a form for the verification of experience to the Board
as proof of his or her experience. The form must be signed, under penalty of
perjury, by one or more certified public accountants who supervised, or have
sufficient knowledge of, the applicant's work and can certify the character,
extent and nature of that work.
Upon request, an applicant must obtain and submit any records
and supporting documentation of the experience of the applicant for inspection
and review by the Board.
7.
An applicant who has obtained the experience which the applicant believes may
satisfy the requirement described in paragraph (b) of subsection 2 but is
unable to provide the verification of experience signed, under penalty of
perjury, by one or more certified public accountants who supervised, or have
sufficient knowledge of, the applicant's work and can certify the character,
extent and nature of that work, as required by subsection 6, may request an
individual evaluation by the Board of the character, extent and nature of his
or her experience to determine whether the experience satisfies the requirement
of paragraph (b) of subsection 2 of
NRS
628.200.
8. An applicant who has requested an
individual evaluation pursuant to subsection 7 must pay an additional fee as
provided in paragraph (e) of subsection 3 of NAC
628.016 for the evaluation by the
Board of the character, extent and nature of the applicant's experience. The
Board may require an applicant to reimburse the Board for reasonable costs of
travel actually incurred in evaluating the character of an applicant's
experience.
9. The applicant shall
maintain, for 3 years after obtaining a certificate of certified public
accountant, the records and supporting documentation of the applicant's
experience for inspection and review by the Board.
10. A certified public accountant who signs
an applicant's form for the verification of experience pursuant to subsection 6
shall maintain, for 3 years after signing the form, any records and supporting
documentation of the experience of the applicant for inspection and review by
the Board.
Bd. of Accountancy, Art.
10, eff. 5-13-82-NAC A 2-6-87; 7-6-92; 5-18-94; 12-13-96; R031-13, 10-23-2013;
A by
R068-17AP,
eff. 5/16/2018
NRS 628.120,
628.200
