Instructions for Completing Certification of Employer Form 4B
What is acceptable experience? An applicant must present evidence, satisfactory to the State Board for Public Accountancy, of full-time experience providing accounting services or advice involving the use of accounting, attest, compilation, management advisory, financial advisory, tax or consulting skills under the supervision of a certified public accountant licensed in one of the U.S. jurisdictions or a public accountant licensed in New York State. Acceptable experience may be earned in a public accounting firm, government, private industry or an educational institution.
Full-time employment is considered to be a 5-day, 35-40 hour week, excluding overtime. Acceptable part-time (no less than 20 hours per week) experience will be considered on the basis of one week of experience for every two weeks worked.
How much experience must be certified on Form(s) 4B?
- Applicants for licensure by endorsement of a CPA license issued in another state or an acceptable foreign credential - must document 4 years of full time experience (or the part-time equivalent as described above) since the out of state license was issued and within the last 10 years. Applicants who hold a license issued by another state or foreign jurisdiction that can not document 4 years of acceptable experience are not eligible for licensure by endorsement and will be processed as an initial applicant for licensure.
- Applicants for an initial license who meet NYS' 150 semester hour education requirements - must document at least 1 year of acceptable full-time experience (or the part-time equivalent as described above).
- Applicants for an initial license who are grandfathered under NYS' 120 semester hour education requirements - must document at least 2 years of acceptable full-time experience (or the part-time equivalent as described above) unless the applicant submits acceptable transcripts and is approved as meeting the 150 semester hour education requirements, thereby qualifying for a 1 year reduction in the experience requirement.
- Applicants for an initial license based on 15 years of experience in lieu of meeting the education requirements - must document at least 15 years of acceptable full time experience (or the part-time equivalent as described above).
Instructions for Self-Certification of Experience - Applicants Who Hold a CPA License Issued by Another State Only
An applicant for licensure in New York, who is licensed in another state, may certify his/her own experience on Form 4B if:
- he/she is working in private industry, government, or a not-for-profit and he/she does not have a US licensed CPA supervisor; or
- he/she is working as a sole proprietor of a CPA firm in a state other than New York.
To self-certify experience on Form 4B the applicant must:
- provide his/her personal information in Section I: Applicant Information; and
- provide his/her professional credentialing information in Section II, Item 1; and
- detail his/her experience in Section 2, Items 2 - 7; and
- sign the affidavit at the end of the form in front of a notary public.
Instructions for Completing Item 7A-K - All applicants
Indicate the approximate percentage of the applicant's time devoted to each category. The overall objective of assignments should generally determine the category.
- Independent Audit: Includes experience where the applicant was involved:
- in examining financial statements of clients where the application of generally accepted auditing standards has been employed for the purpose of expressing an opinion that the financial statements are presented in accordance with generally accepted accounting principles; or
- in examining financial statements of clients when certain auditing procedures have been applied but a disclaimer is expressed, including Reviews as defined by SSARS 1.
The preparation of a client's related income tax returns and management letters by the applicant who participated in the examination of the financial statements may also be included in this category. Involvement in the examination of the financial statement is mandatory for including these tax preparation and management letter activities in the audit category.
- Internal, Management, or Government Audit: Includes all audit activities that are not conducted independently or to determine that financial statements are presented in accordance with generally accepted accounting principles, such as:
- objective analysis of internal controls and evaluation of risk related to an organization's governance, operations and information systems;
- structured review of the efficiency/effectiveness of an organization's systems and procedures;
- review of corporate or individual tax returns on behalf of a governmental entity;
- any audit activities conducted by an employee of a governmental entity.
- Financial Statement Preparation (including SSARS 1 compilations): The independent preparation of financial statements from the books of account without audit, including compilations as defined by SSARS 1, and performing related services in which the applicant has demonstrated a knowledge of generally accepted accounting principles. A limited set of tax related activities (for example: preparation of accountings for estates and fiduciaries and related tax returns, etc.) may be included in this category.
- Forensic Accounting: The application of accounting skills at a level to determine issues such as: fraud; criminal investigations; estimates of losses, damages and assets related to potential legal cases.
- Bookkeeping Services: Preparing books of original entry, preparing payrolls, checks, and posting to subsidiary ledgers. Posting to the client's general ledger in connection with preparing financial statements should be classified as bookkeeping services.
- Tax Preparation or Tax Advice:
- Preparing corporation, fiduciary, partnership and individual tax returns from information compiled by others, or from unaudited data furnished by clients.
- Preparing payroll tax reports, sales and similar tax returns.
- Researching tax law; tax planning for clients; preparing protests, Tax Court petitions, and briefs; and representing clients before taxing authorities.
- Examining tax returns.
- Providing information and advice on tax issues to clients or an employer.
- Estate planning for clients.
- Management Advisory Services:
- Designing and installing accounting, cost or other systems for a client or employer, when not related to an extension of auditing assignments.
- Any other management advisory services provided for a client or employer.
- Financial Advisory Services: Includes a range of financial analysis and advice for either a client or employer including:
- financial management activities;
- pension management;
- securities analysis.
- Business valuation.
- Mergers and acquisitions.
- Client Training on accounting systems.
- Teaching College Accounting: Preparation and delivery of accounting courses for academic credit at a regionally accredited 4 year degree granting college or university. Teaching by a full-time faculty member is considered to be full-time during the semester of course delivery. Adjunct faculty must deliver 9 or more credits of course work per semester to be considered "full-time." Teaching assignments must be certified by an accounting department chair or Dean who is licensed as a CPA.
- Other: Any other services for a client or employer that does not fit in the categories above.