News, Legislative Update

Legislative and Accountancy Board Update – January 2019

Published on January 18, 2019

This month’s update includes information on Arizona’s legislative session, ASCPA’s legislative podcast with Ryan DeMenna, an update on Accountancy Board rules and information from this month’s Accountancy Board meeting.

Arizona’s Legislative Session

The first regular session of Arizona’s 54th Legislative Session officially began on January 14 and Governor Ducey delivered his State of the State Address to the Legislature. In his address, the governor focused mostly on bipartisanship, maintaining civility in both chambers and water conservation. Other notable topics were the continued reduction of regulation and the importance of school safety. The Society will continue monitoring legislative actions that could impact you. Thanks to our tax legislation committee for reviewing several tax bills before the session began.

ASCPA Legislative Podcast

Earlier this month, Ryan DeMenna, our lobbyist with DeMenna Public Affairs, came to the Society’s office and recorded a podcast discussing ASCPA legislative items. He talked about:

  • The January 7 inauguration ceremony, highlighting the diversity of our state’s Legislature with both parties being represented in a variety of offices.
  • The governor’s remarks about the budget surplus reinforcing the governor’s commitment to fiscal responsibility.
  • The state’s legislative leaders and the partisan makeup of the Legislature.
  • Federal income tax conformity, noting there are three different approaches being reviewed by legislators on how/if to conform to the federal changes.

If you would like to hear the full details on conformity, as well as Ryan’s updates on audit firm rotation, the ASCPA’s outreach to legislators and the Department of Revenue, and the national trends around licensing of professions, listen to the entire podcast here

 Accountancy Board

In an email communication last month, the Arizona State Board of Accountancy (Board) announced the new rules effective February 4, 2019, that impact the following:

  1. Continuing professional education requirements, including CPE reciprocity, nano-learning, reporting/retention requirements and more.
  2. Foreign transcript evaluators.

A copy of the rulemaking can be found on the Board’s website.

 he Society is hosting a complimentary webinar on April 30, 2019, CPE Requirements and Reporting, that will include some of these new rules. Thanks to ASCPA member Carter Smitherman, the Board’s CPE Advisory Committee chairperson, for leading the webinar.

At the Board’s January meeting, the Board reviewed the proposed Statement on Standards for Forensic Services (SSFS-1), concluding it is a positive codification of existing standards.

The Board encouraged the Society to assist in reducing non-compliance with CPE requirements. Upon renewal of your license, please make sure all classes on the renewal have been taken. Several cases were identified where a CPA submitted the renewal prior to the end of the month and prior to completion of a course within the month that was included in the renewal. This created unnecessary time for Board members/staff and the CPAs.

For additional information on our advocacy activities, please contact Cindie Hubiak or Paul Kern.