NOTICE FOR RENEWAL OF A PUBLIC ACCOUNTING LICENCE

In order to be eligible for an automatic renewal of your public accounting licence as of November 1, you must meet the requirements set out in 1, 2 and 3 below:

1.   Practice inspection requirement

The practising office where eligible hours have been obtained must have been the subject of a practice inspection resulting in the office having been found to be adhering to professional standards contained within the CICA Handbook and other professional standards established by the Institute.

2.  Mandatory continuing professional development requirement

The licensee must have complied with the mandatory continuing professional development requirement of 120 hours in the last three-year CPD reporting period, 60 hours of which are verifiable hours in accordance with Bylaw 801.

3.   Minimum eligible hours in public accounting and other designated services

Within the five-year period immediately prior to November 1, the licensee must have obtained at least 2500 eligible hours obtained in a recognized capacity with a public accounting practice. At least 1250 eligible hours must be in public accounting services. The remainder of the eligible hours may be additional public accounting service hours or other specified designated services hours up to 1250 hours. Public accounting services include any combination of the following:

• Assurance, including audit or review engagements; or
• Compilations in respect of which it can be reasonably expected that all or any portion of the compilation or associated materials will be relied upon or used by a third party, whether or not the compilations or associated materials are accompanied by the prescribed Notice to Reader.

For the definition of other designated services, see Additional Information Regarding Requirements for Renewal of a Public Accounting Licence.

Tracking and reporting of eligible hours

Each licensee is required

• to track and keep a record of the number of hours obtained in providing public accounting services and designated services for each of the last five years ending October 31, and to provide a copy of the record of the hours to the Institute for review as part of the next practice inspection of the practising office; and
• to complete a declaration as part of the annual licence renewal application indicating whether or not the licensee has obtained within the immediate past five years a minimum of 2,500 eligible hours that includes at least 1,250 eligible hours in public accounting services.

Licensees who charge clients on a “value billing” basis should track and report the actual hours that they spend on such engagements even if the hours are not chargeable.

Licensees are reminded that they must track and keep a record of the actual number of hours obtained in the 12-month period ending October 31^st in each year and to provide a copy of the record of the actual hours to the Institute for review as part of the next practice inspection of the practising office.

MEMBERS WHO HAVE NOT FULFILLED THE MINIMUM ELIGIBLE HOURS REQUIREMENT

The Institute’s Public Accounting Licensing Board has authority to exercise discretion in determining whether or not to renew a licence where a licensee participates in providing public accounting services in a recognized capacity and has fulfilled the requirements of 1 and 2 above but has not fulfilled the minimum 2500 eligible hours requirement or the minimum 1,250 public accounting services hours as set out in 3 above. The licensee must satisfy the Board that he or she otherwise has the required capabilities, competence and current skills to provide public accounting services.

Licensees who are unable to declare compliance with the minimum eligible hours requirement must complete, with the renewal application, a public accounting experience certification and provide the Public Accounting Licensing Board with a written description of how the member has otherwise demonstrated the required capabilities, competence and current knowledge to provide public accounting services. The Public Accounting Licensing Board will take into account the hours reported on the experience certification form and the written submission of the licensee when determining whether to renew the licence.  The Public Accounting Licensing Board will also take into account any circumstances where the practice of public accounting has been interrupted or adversely affected due to maternity or paternity leave, parenting, medical circumstances or a disability.