Senate committee eases inactive status rules for CPAs with passage of SB 290

The Senate Insurance & Commerce Committee voted to advance Senate Bill 290 after staff from the State Board of Accountancy described the measure as a way to expand inactive-license options for certified public accountants.

Jimmy Corley, executive director of the State Board of Accountancy, told the committee SB 290 "creates more opportunities for their licensees to qualify for inactive status with the board." He said inactive status is intended for CPAs working in private industry, government or other positions that do not require use of the CPA title or providing accounting or tax services to the public. Corley also noted that inactive licensees are exempt from the board’s 40-hour annual continuing-education requirement and that the bill reduces the annual licensing fee for inactive status (the transcript lists the fee as $55 versus $110 for active status).

Committee members sought detail on how a CPA would return to active status. Senator English asked how continuing-education hours missed while inactive would be handled; Corley said "there's an upgrade process" and explained, "Basically, if you ever decide you wanna go back to active status, you have to catch up ... It's 40 hours per year with a cap of a hundred and 20 hours." Senator Johnson asked whether that catch-up would cover multiple years of changes to the tax code; Corley said continuing-education providers compete to keep course material current so returning licensees can complete required coursework and cautioned that the bill targets those not providing public accounting services while inactive.

The committee took a voice vote to give SB 290 a "do pass" recommendation and the bill passed in committee. The transcript does not record a roll-call tally or any amendments.