§ 542.8 — Qualifications for and issuance of a license as a licensed public accountant — renewal of license — firm registration — peer review

Iowa § 542.8

• Jurisdiction: Iowa
• Title XIII: COMMERCE
• Ch. 542: PUBLIC ACCOUNTANTS

Text

governor may, after a hearing, remove any member of the board for neglect of duty or other
just cause.
g. A person who has served three successive complete terms shall not be eligible for
reappointment, but appointment to fill an unexpired term shall not be considered a complete
term for this purpose.
2. The board shall elect annually from among its members a chairperson and such other
officers as the board may determine to be appropriate. The board shall meet at such times
and places as may be fixed by the board. A majority of the board members in office shall
constitute a quorum at any meeting. The board shall maintain a registry of the names and
addresses of all licensees and permittees under this chapter.
3. Members of the board are entitled to receive a per diem as specified in section 7E.6 for
each day spent on performance of duties as members and shall be reimbursed for all actual
and necessary expenses incurred in the performance of duties as members.
4. All moneys collected by the board from fees authorized to be charged by this chapter
shall be received and accounted for by the board and shall be paid monthly to the treasurer
of state for deposit in the licensing and regulation fund created in section 10A.507. Expenses
of administering this chapter shall be paid from moneys appropriated to the department
pursuant to section 10A.507 and from appropriations made by the general assembly, which
expenses may include but shall not be limited to the costs of conducting investigations
and of taking testimony and procuring the attendance of witnesses before the board or

its committees; all legal proceedings taken under this chapter for the enforcement of this
chapter; and educational programs for the benefit of the public and licensees and their
employees.
5. a. The board shall maintain the confidentiality of information relating to the following:
(1) The contents of the examination.
(2) Theexaminationresultsotherthanfinalscoreexceptforinformationabouttheresults
of the examination given to the person examined.
b. A member of the board who willfully communicates or seeks to communicate such
information in a manner which violates confidentiality requirements, and any person
who willfully requests, obtains, or seeks to obtain such information, is guilty of a simple
misdemeanor.
6. The director of the department of inspections, appeals, and licensing shall provide
staffing assistance to the board for implementing this chapter.
7. The board may join professional organizations and associations to promote the
improvement of the standards of the practice of accountancy and for the protection and
welfare of the public. The board may provide social security numbers of licensees to
NASBA, provided that the numbers are solely used by NASBA for inclusion in a national
database of licensees, the numbers are submitted in an encrypted format or through such
alternative means as will assure the confidentiality of the numbers, and NASBA maintains
the confidentiality of the numbers and agrees not to disseminate the numbers to any other
person or entity.
8. The board shall have the power to take all action that is necessary and proper to
effectuate the purposes of this chapter, including the power to sue and be sued in its official
name as an agency of this state. The board shall also have the power to issue subpoenas to
compel the attendance of witnesses and the production of documents; to administer oaths; to
take testimony; to cooperate with the appropriate authorities in other states in investigation
and enforcement concerning violations of this chapter and comparable statutes of other
states; and to receive evidence concerning all matters within the scope of this chapter. In
case of disobedience of a subpoena, the board may invoke the aid of any district court in
requiring the attendance and testimony of witnesses and the production of documentary
evidence.
9. The board shall adopt rules pursuant to chapter 17A governing the administration and
enforcement of this chapter and the conduct of licensees and permittees. Rules adopted shall
include but not be limited to the following:
a. Rules governing the board’s meetings and the conduct of its business.
b. Rules of procedure governing the conduct of investigations and hearings by the board.
c. Rulesspecifyingtheeducationalandexperiencequalificationsrequiredfortheissuance
of a certificate under section 542.6 and the continuing professional education required for
renewal of a certificate under section 542.6.
d. Rules specifying the educational and experience qualifications required for the
issuance of a license under section 542.8 and the continuing professional education required
for renewal of a license under section 542.8.
e. Rules of professional conduct directed to control the quality and probity of services
provided by a licensee, and, among other areas, pertaining to a licensee’s independence,
integrity, and objectivity; competence and technical standards; responsibilities to the public;
and responsibilities to a client.
f. Rules relating to the propriety of opinions on financial statements by a certified public
accountant who is not independent.
g. Rules relating to actions discreditable to the practice as a certified public accountant or
licensed public accountant.
h. Rules relating to professional confidences between a certified public accountant or
licensed public accountant and a client.
i. Rules governing technical competence and the expression of opinions on financial
statements.
j. Rules governing the failure to disclose a material fact known to the certified public
accountant or licensed public accountant.

k. Rules relating to a material misstatement known to the certified public accountant or
licensed public accountant.
l. Rules governing negligent conduct in an examination or in making a report on an
examination.
m. Rules governing failure to direct attention to any material departure from generally
accepted accounting principles.
n. Rules governing the professional standards applicable to a licensee.
o. Rules governing the manner and circumstances of use of the titles “certified public
accountant” and “CPA”.
p. Rules governing the manner and circumstances of use of the titles “accounting
practitioner” and “AP”, and “licensed public accountant” and “LPA”.
q. Rules regarding peer review that may be required to be performed under this chapter.
r. Rules on substantial equivalency under section 542.19.
s. Rules on practice privilege under section 542.20.
t. Such other rules as the board deems necessary or appropriate for administering
this chapter, including but not limited to rules establishing fees and rules of professional
conduct, pertaining to corporations or limited liability companies practicing accounting,
which the board deems consistent with or required by the public welfare. The board
may adopt rules governing the style, name, and title of corporations and limited liability
companies and governing the affiliation of corporations and limited liability companies with
other organizations.