Chapter 4701-15 Continuing Education

4701-15-01 Continuing education standards.

(A) The "Statement on Standards for Continuing Professional Education Programs," jointly issued by the "National Association of State Boards of Accountancy" and the "American Institute of Certified Public Accountants," is considered by the board to be an acceptable set of guidelines related to continuing education.

(B) An Ohio permit holder who does not follow the standards defined in paragraph (A) of this rule must justify any departure from those standards.

Replaces: 4701-15-01

Effective: 07/16/2009
R.C. 119.032 review dates: 07/16/2014
Promulgated Under: 119.03
Statutory Authority: 4701.11
Rule Amplifies: 4701.11
Prior Effective Dates: 1/17/75, 4/26/96, 9/20/96, 8/5/99, 12/1/02

4701-15-02 Continuing education requirement.

(A) The continuing education requirement for certified public accountants and public accountants holding the Ohio permit is one hundred twenty credits for each triennial reporting period. The triennial reporting period begins on January first and ends on December thirty-first three years later.

(B) All Ohio permit holders must complete the continuing education requirement defined in paragraph (A) of this rule by December thirty-first of the year in which the Ohio permit expires. Credit earned after that date may not be claimed toward fulfillment of the requirement unless the board grants an extension of time in accordance with rule 4701-15-07 of the Administrative Code.

(C) The continuing education requirement for new certified public accountants holding the Ohio permit is forty credits. The two-year reporting period begins on January first of the year in which the new certified public accountant obtains the CPA certificate, and ends on December thirty-first of the year following the year in which the new certified public accountant obtains the CPA certificate.

Replaces: 4701-15-02

Effective: 07/16/2009
R.C. 119.032 review dates: 07/16/2014
Promulgated Under: 119.03
Statutory Authority: 4701.11
Rule Amplifies: 4701.11
Prior Effective Dates: 1/17/75, 7/5/84, 1/17/85, 4/27/93, 9/22/93, 4/26/96, 9/20/96, 8/5/99, 9/15/03, 6/1/04, 8/25/05

4701-15-03 Continuing education reporting.

(A) All Ohio permit holders who report continuing education must provide a statement to the board under penalty of perjury setting forth the continuing education completed as of the date the Ohio permit is renewed. The Ohio permit holder must execute the statement in such a manner and within the time limits prescribed by the board.

(B) An Ohio permit holder must report continuing education under the provisions of rule 4701-15-02 of the Administrative Code.

(C) An Ohio permit holder who is granted an extension of time by the board to complete a continuing education deficiency in accordance with rule 4701-15-07 of the Administrative Code must report continuing education under the provisions of rule 4701-15-08 of the Administrative Code.

(D) An Ohio registration holder who applies for an Ohio permit must report continuing education under the provisions of rule 4701-15-09 of the Administrative Code. All other Ohio registration holders are exempt from the continuing education requirements.

(E) A nonresident Ohio permit holder may fulfill the Ohio continuing education requirements by meeting the continuing education requirements of the state in which the Ohio permit holder's principal office is located. If that state does not have a continuing education requirement, then the nonresident Ohio permit holder must comply with the Ohio continuing education reporting requirements.

Effective: 07/16/2009
R.C. 119.032 review dates: 04/29/2009 and 07/16/2014
Promulgated Under: 119.03
Statutory Authority: 4701.11
Rule Amplifies: 4701.11
Prior Effective Dates: 1/17/75, 6/1/77, 4/26/96, 9/20/96, 8/3/98, 1/1/99, 8/5/99, 10/3/03

4701-15-04 Measurement of continuing education credit; types of programs.

(A) Measurement of continuing education is in terms of credits. The overriding consideration in determining whether a specific program qualifies for continuing education credit is that it should be a formal program of learning that contributes directly to the professional competence of an Ohio permit holder.

(B) For classroom programs, a fifty-minute period equals one credit. Beyond the first credit, each twenty-five minute period equals one-half credit. The minimum acceptable length of a classroom program is one credit. Eight credits may be given to a classroom program offered during one day provided the actual session is at least three hundred minutes in length, excluding breaks.

(C) College courses earn ten credits per quarter hour, or fifteen credits per semester hour, unless an Ohio permit holder earns additional credit in accordance with the provisions of paragraph (G) of this rule.

(D) Time devoted to reading, computer tutorials, or other self-study does not earn continuing education credit. A qualifying self-study program must include one or more examinations that require successful completion. The self-study program will earn credit based on the program's average completion time as determined by pilot testing.

(E) An instructor or discussion leader of a continuing education program may be awarded continuing education credit up to three times the credit a program participant would receive. Time devoted to preparation for a classroom program does not earn separate credit. Credit for teaching a particular classroom program may be claimed only once each year.

(F) The board must evaluate continuing education credit claimed for publications or other special learning activities, and may require that the Ohio permit holder submit appropriate documentation to support the credit claimed. Credit awarded for passing major professional examinations that have been approved by the board is normally ten credits per hour if the total examination session is at least three continuous hours in length, up to a maximum of forty credits per session.

(G) The board may increase the continuing education credit awarded to a classroom program as defined in paragraph (B) or (C) of this rule, and award such additional credit to any Ohio permit holder successfully passing the program. Such a program must include one or more examinations to qualify for additional credit. The board may specify the amount of such additional credit awarded, as well as passing scores or grades required to earn such additional credit.

Effective: 04/28/2011
R.C. 119.032 review dates: 02/10/2011 and 04/28/2016
Promulgated Under: 119.03
Statutory Authority: 4701.11
Rule Amplifies: 4701.11
Prior Effective Dates: 1/17/75, 5/1/81, 6/1/87, 4/26/96, 8/5/99, 9/15/03, 10/22/04

4701-15-05 Requirements for continuing education program acceptance.

(A) The board will accept a continuing education program if the program meets the requirements of rule 4701-15-04 of the Administrative Code and the Ohio permit holder retains appropriate supporting documentation.

(B) Formal programs requiring attendance should qualify if:

(1) An outline is prepared and preserved by the program sponsor.

(2) The program is at least fifty minutes in length.

(3) The program is conducted by a qualified instructor, discussion leader or lecturer.

(4) A record of registration or attendance is maintained by the program sponsor.

(C) The following are deemed to qualify provided the requirements in paragraphs (A) and (B) of this rule are met:

(1) Professional development education provided by the "American Institute of Certified Public Accountants," the "National Society of Accountants," and state accounting societies and their chapters.

(2) Technical education provided by the "American Institute of Certified Public Accountants," the "National Society of Accountants," and state accounting societies and their chapters.

(3) University or college courses.

(4) Formal organized public accounting firm educational programs.

(5) Continuing education providers that are approved by an accountancy board of another state, territory, or political subdivision of the United States.

(6) Continuing education providers that are approved by the "National Association of State Boards of Accountancy."

(7) Continuing education providers registered under the provisions of rule 4701-15-10 of the Administrative Code.

(8) Continuing education programs taken from other providers for which the Ohio permit holder has supporting documentation.

(D) The board may require either sponsors of continuing education programs or Ohio permit holders to furnish proof of attendance or completion of a continuing education program, course material, or any other information the board deems essential for verification purposes.

(E) Valid continuing education credit earned under the laws of another state, territory, or political subdivision of the United States may be used toward fulfillment of the Ohio continuing education requirements.

(F) The right is specifically reserved to the board to disapprove credit claimed for any continuing education program that does not meet the requirements of this rule.

Effective: 01/15/2010
R.C. 119.032 review dates: 10/22/2009 and 01/15/2015
Promulgated Under: 119.03
Statutory Authority: 4701.11
Rule Amplifies: 4701.11
Prior Effective Dates: 1/17/75, 5/1/81, 6/1/87, 4/26/96, 9/20/96, 8/3/98, 8/5/99, 10/3/03, 7/16/09

4701-15-06 Reduction of continuing education requirement.

(A) The board may grant a reduction of the continuing education requirement to an Ohio permit holder who presents appropriate documentation for health reasons, active military duty in the armed forces of the United States, or other just cause.

(B) Any reduction granted is valid for one reporting period.

Effective: 07/16/2009
R.C. 119.032 review dates: 04/29/2009 and 07/16/2014
Promulgated Under: 119.03
Statutory Authority: 4701.11
Rule Amplifies: 4701.11
Prior Effective Dates: 1/17/75, 5/1/81, 4/26/96, 8/5/99, 10/3/03

4701-15-07 Continuing education deficiency; late filing fee.

(A) The board may grant an Ohio permit holder who is deficient in the required continuing education at the renewal date an extension of time, not to exceed one year, to correct the deficiency. The Ohio permit holder must submit appropriate documentation to the board that describes the circumstances supporting the extension request.

(B) An Ohio permit holder who is deficient in the required continuing education at the renewal date and does not receive an extension of time must pay the late filing fee described in division (D) of section 4701.10 of the Revised Code as of the date the Ohio permit holder completes the continuing education requirement.

Effective: 07/16/2009
R.C. 119.032 review dates: 04/29/2009 and 07/16/2014
Promulgated Under: 119.03
Statutory Authority: 4701.11
Rule Amplifies: 4701.11
Prior Effective Dates: 1/17/75, 6/4/92, 4/26/96, 9/20/96, 3/19/98, 8/5/99, 10/3/03

4701-15-08 Deficiency status.

(A) An Ohio permit holder who is granted an extension of time to correct a continuing education deficiency in accordance with rule 4701-15-07 of the Administrative Code will be placed in deficiency status for the extension period. If the Ohio permit holder fulfills the continuing education requirement specified by the board at the end of the extension period, the Ohio permit holder will be removed from deficiency status. The Ohio permit holder must then report one hundred twenty credits of continuing education for the period beginning after the extension period and extending through the Ohio permit holder's reporting date.

(B) An Ohio permit holder who is still deficient in continuing education at the end of the extension period must obtain an Ohio registration, unless the board grants the Ohio permit holder a reduction in continuing education in accordance with rule 4701-15-06 of the Administrative Code and the Ohio permit holder fulfills the reduced continuing education requirement as a result.

(C) If the Ohio permit holder obtains an Ohio registration in accordance with paragraph (B) of this rule, any application for a subsequent Ohio permit shall be in accordance with the provisions of rule 4701-15-09 of the Administrative Code.

Effective: 07/16/2009
R.C. 119.032 review dates: 04/29/2009 and 07/16/2014
Promulgated Under: 119.03
Statutory Authority: 4701.11
Rule Amplifies: 4701.11
Prior Effective Dates: /17/75, 4/26/96, 9/20/96, 1/1/99, 8/5/99, 10/3/03

4701-15-09 Converting to Ohio permit status.

(A) A holder of a CPA certificate or PA registration who holds an Ohio registration defined in division (B) of section 4701.10 of the Revised Code, and who wishes to obtain the Ohio permit defined in division (A) of section 4701.10 of the Revised Code must first complete one hundred twenty credits of continuing education that must be earned in the three-year period preceding application for the Ohio permit, unless the Ohio registration holder is a CPAcertified public accountant and has not held an Ohio certificate for three years. The continuing education must be taken in subjects approved by the board.

(B) An Ohio permit holder who is deficient in continuing education at the time of obtaining an Ohio registration must report the amount of the deficiency plus the continuing education requirement specified in paragraph (A) of this rule before an Ohio permit can be issued, unless the board waives or reduces this requirement in accordance with rule 4701-15-06 of the Administrative Code.

Effective: 07/16/2009
R.C. 119.032 review dates: 04/29/2009 and 07/16/2014
Promulgated Under: 119.03
Statutory Authority: 4701.11
Rule Amplifies: 4701.11
Prior Effective Dates: 1/17/75, 5/1/81, 6/4/92, 9/20/96, 3/19/98, 8/3/98, 8/5/99, 5/7/03, 8/25/05

4701-15-10 Continuing education sponsor registration.

(A) A provider of continuing education programs not specifically listed in paragraphs (C)(1) to (C)(6) of rule 4701-15-05 of the Administrative Code may apply for registration with the board. Sponsor registration shall be on a form provided by the board, and shall include the following information:

(1) The name and address of the sponsor;

(2) The name, address, and telephone number of the person who will be in charge of the continuing education programs offered by the sponsor;

(3) A general description of the method by which the program content is delivered and the subject areas offered for credit;

(4) The qualifications of the continuing education program instructors or course developers;

(5) Specific information concerning the continuing education programs to be offered including the following items:

(a) Outlines of the continuing education programs to be offered;

(b) A description of course materials or electronic files to be used in the programs. The board may require that a registered sponsor provide the actual course materials or electronic files separately.

(6) A statement that the sponsor agrees to comply with both the continuing education standards applicable to sponsors defined in rule 4701-15-01 of the Administrative Code and the board's continuing education verification process defined in rule 4701-15-12 of the Administrative Code. In exchange for this agreement, the sponsor will be permitted to state this fact, as well as the fact of its registration with the board, on its promotional material.

(B) A provider of continuing education not specifically listed in paragraphs (C)(1) to (C)(6) of rule 4701-15-05 of the Administrative Code that offers courses for home study or Internet delivery and wishes to register in Ohio as a continuing education sponsor must register with the"National Association of State Boards of Accountancy."

(C) The board will maintain a list of registered sponsors. A registered sponsor may renew its registration with the board every year. A registered sponsor approved to offer continuing education programs covering the board's professional standards and responsibilities requirement described in paragraph (E) of rule 4701-15-11 of the Administrative Code must renew its registration with the board every year. A sponsor that fails to renew its registration in a timely manner or that fails to comply with either the continuing education standards applicable to sponsors defined in rule 4701-15-01 of the Administrative Code or the board's continuing education verification process defined in rule 4701-15-12 of the Administrative Code will be deleted from the board's list of registered sponsors.

Effective: 04/28/2011
R.C. 119.032 review dates: 02/10/2011 and 04/28/2016
Promulgated Under: 119.03
Statutory Authority: 4701.11
Rule Amplifies: 4701.11
Prior Effective Dates: 9/1/78, 9/20/96, 8/3/98, 8/5/99, 12/1/02, 10/3/03, 7/16/09, 1/15/10

4701-15-11 Required continuing education programs.

(A) An Ohio permit holder who assumes responsibility by performing accounting, auditing, or attestation work on any engagement, preparing any financial report, or signing any financial report in accordance with the professional standards defined in rule 4701-9-03 , 4701-9-04 , 4701-9-05 , or 4701-9-06 of the Administrative Code shall complete at least twenty-four continuing education credits in the fields of accounting, auditing, or attestation standards during the three-year reporting period specific to the types of services provided by the Ohio permit holder.

(B) An Ohio permit holder who performs regulated services in financial reporting or internal controls reporting defined in paragraph (C)(3) of rule 4701-7-04 of the Administrative Code shall complete at least twenty-four continuing education credits in the fields of accounting or auditing during the three-year reporting period specific to the types of services provided by the Ohio permit holder.

(C) An Ohio permit holder who assumes responsibility by performing tax work on any engagement, preparing any tax return, or signing any tax return as a certified public accountant or public accountant in accordance with the professional standards defined in rule 4701-9-09 of the Administrative Code shall complete at least twenty-four continuing education credits in the field of taxation during the three-year reporting period specific to the types of services provided by the Ohio permit holder.

(D) An Ohio permit holder who practices public accounting or performs regulated services other than those defined in paragraph (A), (B), or (C) of this rule, or who holds out to the public as a certified public accountant or public accountant, shall complete at least seventy-five per cent of the continuing education requirement in subjects directly related to the professional services provided by the Ohio permit holder.

(E) All Ohio permit holders must complete three continuing education credits each three-year reporting period covering the applications of professional standards and responsibilities. The following guidelines are applicable:

(1) The board may require that any certified public accountant, public accountant, or staff member of a public accounting firm that is the subject of a disciplinary action by the board complete a program approved by the board that emphasizes the accountancy law, defined in Chapter 4701. of the Revised Code, and the board rules, defined in agency 4701 of the Administrative Code.

(2) An Ohio permit holder may claim credit in professional standards and responsibilities for courses that are approved by the board. Such courses may cover the subjects of the Ohio accountancy law and board rules, professional ethics, ethical philosophy, or the accountancy laws and rules promulgated by another state accountancy board.

(3) The board may approve a program in professional standards and responsibilities of fewer than three credits.

Effective: 07/16/2009
R.C. 119.032 review dates: 04/29/2009 and 07/16/2014
Promulgated Under: 119.03
Statutory Authority: 4701.11
Rule Amplifies: 4701.11
Prior Effective Dates: 6/1/87, 6/4/92, 4/26/96, 9/20/96, 8/3/98, 1/1/99, 8/5/99, 12/1/02, 6/1/04, 8/25/05, 7/27/06, 1/3/07, 9/14/07

4701-15-12 Continuing education verification.

(A) The board annually conducts a verification of continuing education programs claimed for continuing education credit by selected Ohio permit holders. Consequently, an Ohio permit holder must retain evidence to support fulfillment of the continuing education requirement for a period of two years subsequent to the end of the holder's most recent continuing education reporting period.

(B) An Ohio permit holder who fails to verify or document the continuing education required must make up the unverified continuing education deficiency and pay the late filing fee described in division (D) of section 4701.10 of the Revised Code as of the date the Ohio permit holder completes the verified or documented continuing education.

(C) An Ohio permit holder who completes a continuing education program taken from an unregistered sponsor may be required to submit the following documentation to the board:

(1) Qualifications of course instructors or course developers;

(2) Continuing education program course materials;

(3) Official lists of persons attending or completing the continuing education program.

(D) During the board's annual verification of reported continuing education, programs taken from registered sponsors may be verified by contact with either the sponsor or the Ohio permit holder. Programs taken from unregistered sponsors may be verified by contact with the Ohio permit holder.

(E) A licensee required to obtain the Ohio permit who fails to renew the permit by the board's posted renewal deadline must verify completion of the continuing education requirement with the board by submitting appropriate supporting documentation.

Effective: 08/22/2010
R.C. 119.032 review dates: 06/07/2010 and 08/22/2015
Promulgated Under: 119.03
Statutory Authority: 4701.11
Rule Amplifies: 4701.11
Prior Effective Dates: 9/20/96, 8/5/99, 10/3/03, 7/16/09

4701-15-13 Continuing education requirements of non-CPA owners.

(A) Pursuant to division (D)(6) of section 4701.04 of the Revised Code, an individual who owns an equity interest in a public accounting firm and does not hold an Ohio permit or a foreign certificate shall maintain certain minimum continuing education requirements as described in paragraphs (B) and (C) of this rule.

(B) An individual who does not hold a professional license issued by the state of Ohio or any other state must comply with the continuing education requirements established by section 4701.11 of the Revised Code and this chapter.

(C) An individual who holds a professional license issued by the state of Ohio or any other state must comply with the continuing education requirements established by law to maintain that professional license.

Effective: 07/16/2009
R.C. 119.032 review dates: 04/29/2009 and 07/16/2014
Promulgated Under: 119.03
Statutory Authority: 4701.11
Rule Amplifies: 4701.11
Prior Effective Dates: 8/5/99, 10/3/03