Frequently Asked Questions for Converting from Inactive to Active Status
•
What is an active CPA license?
•
What is an inactive CPA license?
•
How do I transition from an inactive to an active license?
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Are there specific requirements for the 80 hours of continuing education necessary to maintain an active license?
•
I am limited on my days I have available outside of the office. Is there a way to take CE on my own time via self-study or webcast?
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If I activate my license before my renewal date, do I need to take more CPE by my renewal date?
Q. What is an active CPA license?
A.
Active renewal means that you completed the required hours of Continuing Education, submitted the required renewal information and paid the license renewal fee and any applicable delinquency fee. As a condition of renewal in active status, you must
complete at least 80 hours of required CE in the two-year period immediately preceding license expiration
.
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Q. What is an inactive CPA license?
A.
If you are not practicing public accountancy, you may renew your license in inactive status without completing CE or Professional Conduct and Ethics courses. However, you must pay the renewal fee and submit a renewal form to maintain a current license and
effective Jan. 1, 2010 you must
disclose your license status whenever you use the CPA designation by placing “inactive” immediately after “CPA” on your business cards, stationery, résumé, websites or other business communications.
Note
that California Board of Accountancy regulations state that you may not practice public accounting while your license is in inactive status.
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Q. How do I transition from an inactive to an active license?
A.
An inactive license may be converted to active status prior to the next expiration date by applying for license conversion on the License Status Conversion Form from Inactive to Active License Status. The license will not become active until it has been processed and approved by the Board.
You may convert an inactive license to active status before the next expiration date by:
• Completing 80 hours of qualifying CE, including a CBA-approved professional conduct and ethics course, within 24 months prior to converting to active status.
• If you are in public practice and performing audits, reviews or compilations you are required to focus complete continuing education on accounting and auditing—24 hours of CE (as part of the 80 hours) in accounting and auditing or government CE, if you are subject to the requirement.
If you convert to active status prior to your normal renewal date, you must complete 20 hours of CE for each full six-month period from the date of license status conversion to the license expiration date. If you are required to complete the governmental or A&A CE, you need to complete six hours of CE in the appropriate subject matter as part of each 20 hours of CE. This is the method to calculate the total CE hours required for active renewal. You do not have to complete 20 hours of CE during each six-month period.
If fewer than 80 hours of CE are needed for license renewal, the eight-hour fraud CE requirement does not apply.
Download the
Status Conversion Form.
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Q. Are there specific requirements for the 80 hours of continuing education necessary to maintain an active license?
A.
Yes. Licensees who renew with an active license must meet a 50/50 requirement. You must complete the 80 hours in the two-year period immediately preceding your license expiration date.
You cannot carry over CE hours from one renewal period to another. If you renew early and complete additional CE before your license expiration date in the current renewal period, you cannot count it toward the 80 hours of CE required for your next renewal period.
You must complete a minimum of 50% of the total CE hours in the following technical subjects.
• Accounting & Auditing
• Computer & Information Technology (excluding word processing)
• Consulting
• Fraud
• Financial Planning
• Professional Conduct & Ethics
• Taxation
• Specialized industry or government practices to maintain or enhance public accounting skills and knowledge.
You may claim a maximum of 50% of the total CE in the following non-technical subjects:
• Communication skills, negotiation skills, and motivational techniques
• Marketing & sales
• Office management, practice management & personal management
• Word processing
The CalCPA Education Foundation offers more than 750 live courses and conferences throughout California, in addition to self-study and online courses.
Visit the
Foundation
website to view and register for any of these offerings.
You can find out how to save the most on your CPE with
CPA Activate Pass
.
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Q. I am limited on my days I have available outside of the office. Is there a way to take CE on my own time via self-study or webcast?
A.
Yes! As long as the format is interactive. You can earn your CPE via
live courses, conferences
,
in-house training
,
webcasts
and
self-study
.
Everyone's situation is different, so please feel free to submit a question and we will help you find the information related to your unique circumstances.
While these answers provide general guidance, keep in mind that the California Board of Accountancy is the governing body in these matters and will make the final decisions regarding your qualifications for the California CPA license.
You can visit the CBA website
here
or download the
CPA License Handbook
.
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Q. If I activate my license before my renewal date, do I need to take more CPE by my renewal date?
A.
Yes, for each full six-month period between when you activate and when you renew, you must take 20 hourse of CPE, at least half of which is technical subject areas.
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