§ 43-3-21 - Registration requirements for firms practicing public accountancy
O.C.G.A. 43-3-21 (2010)
43-3-21. Registration requirements for firms practicing public accountancy
(a) The board shall grant or renew the registration of a firm practicing public accountancy to firms that meet the following requirements:
(1) Partners, members, or shareholders owning at least a simple majority of the financial interest and voting rights of the firm shall be certified public accountants of some state in good standing, except that such partners, members, or shareholders who are certified public accountants and whose principal place of business is in this state and who perform accounting services in this state must hold a live permit from this state. An individual who has practice privileges under subsection (b) of Code Section 43-3-24 who performs services for which a firm registration is required under paragraph (4) of subsection (b) of Code Section 43-3-24 shall not be required to obtain a certificate or live permit under this chapter;
(2) The firm shall be in compliance with all requirements and provisions of state law governing the organizational form of the firm in the state of the firm's principal place of business;
(3) The firm shall comply with all regulations pertaining to firms registered with the board;
(4) The resident manager of each office of the firm within this state in the practice of public accountancy shall be a certified public accountant of this state in good standing;
(5) Any firms that include nonlicensee owners shall comply with the following rules:
(A) The firm shall designate the holder of a live permit, or in the case of a firm which must register pursuant to subparagraph (b)(1)(C) of this Code section, a licensee of another state who meets the requirements set forth in subsection (b) of Code Section 43-3-24, who shall be responsible for the proper registration of the firm and shall identify that individual to the board;
(B) All nonlicensee owners shall be active individual participants in the firm or affiliated entities; and
(C) The firm shall comply with such other requirements as the board may impose by rule or regulation;
(6) Any holder of a live permit and any individual who qualifies for practice privileges under subsection (b) of Code Section 43-3-24 who is responsible for supervising attest or compilation services and signs or authorizes someone to sign the accountant's report on the financial statements on behalf of the firm shall meet the competency requirements set out in the professional standards for such services; and
(7) Any holder of a live permit and any individual who qualifies for practice privileges under subsection (b) of Code Section 43-3-24 who signs or authorizes someone to sign the accountants' report on the financial statements on behalf of the firm shall meet the competency requirements of subparagraph (6) of this subsection.
(b) (1) The following firms must register under this Code section:
(A) Any firm with an office in this state practicing public accountancy;
(B) Any firm with an office in this state that uses the title "CPA" or "CPA firm"; and
(C) Any firm that does not have an office in this state but performs any service described in subparagraph (A), (C), or (D) of paragraph (1) of Code Section 43-3-2 for a client having its home office in this state.
(2) A firm that does not have an office in this state may perform services described in subparagraph (B) of paragraph (1) or paragraph (3) of Code Section 43-3-2 for a client having its home office in this state, may practice public accountancy as authorized under this Code section, and may use the title "CPA" or "CPA firm" without registering as provided in this Code section only if:
(A) It meets the qualifications described in paragraph (1) of subsection (a) of this Code section and it complies with the board's rules and regulations regarding peer review; and
(B) It performs such services through an individual with practice privileges under subsection (b) of Code Section 43-3-24.
(3) A firm that does not have an office in this state and that is not subject to the requirements of subparagraph (C) of paragraph (1) of this subsection or paragraph (2) of this subsection may perform other professional services included in the practice of public accountancy while using the title "CPA" or "CPA firm" in this state without registering under this Code section only if:
(A) It performs such services through an individual with practice privileges under subsection (b) of Code Section 43-3-24; and
(B) It can lawfully perform such services in the state where said individuals with practice privileges have their principal place of business.
(c) Each firm required to register under paragraph (1) of subsection (b) of this Code section shall be registered biennially under this chapter with the board, provided that any firm for which such requirement becomes effective between biennial reporting periods shall register with the board within 60 days. Such a firm must show that all attest and compilation services rendered in this state are under the supervision of a person holding a live permit issued by this state or a person with practice privileges under subsection (b) of Code Section 43-3-24. The board, by regulation, shall prescribe the procedure to be followed in effecting such registration and the information which must be provided regarding the firm and its practice.
(d) A registered firm shall file written notice to the board, within 60 days after the occurrence of the opening of a new office or the closing or change of address of any of its offices in this state. Each such office shall be under the supervision of a resident manager who may be a partner, principal, shareholder, member, or a staff employee holding a live permit.
(e) Neither the denial of a firm registration under this Code section nor the denial of the renewal of a firm registration under Code Section 43-3-23 shall be considered to be a contested case within the meaning of Chapter 13 of Title 50, the "Georgia Administrative Procedure Act." Notice and hearing within the meaning of said Chapter 13 of Title 50 shall not be required, but the applicant shall be allowed to appear before the board if he or she requests.