Also known as: certified public accountant · certified public accountants · CPA · CPAs
Written by attorneys · grounded in primary & secondary sources — see below
A professional accounting designation awarded to individuals who satisfy state-mandated requirements of education, examination, and experience. The designation authorizes the holder to perform audits and attest services that unlicensed accountants may not provide.
Caitlin Crowley, an attorney licensed as a CPA, includes the designation on her law firm letterhead and in yellow-page advertisements. State regulators seek to sanction her for the listing. The truthful and verifiable nature of the credential prevents discipline because consumers face no actual or inherent risk of deception from the accurate professional designation.
Cody Callahan, a lawyer who holds both a CPA license and a private certification as a financial planner, places both designations on his professional stationery. Regulators attempt a blanket prohibition. The accurate listing of earned credentials receives protection because no evidence shows the statements mislead the public.
Select any source to read its text and confirm it supports the definition.
Connor Clark, a CPA practicing across state lines, faces conflicting state rules on audit procedures that differ from federal banking requirements. The state attempts to enforce its stricter standard. Federal law prevails because the conflicting state measure stands as an obstacle to the uniform federal scheme governing CPA work in federally regulated institutions.
Cassandra Cooper, a CPA employed by a federal agency, wishes to speak at professional conferences about accounting ethics. An agency policy prohibits all outside compensated speech. The blanket restriction fails because it burdens protected expression without a demonstrated connection to actual workplace interference.
Curtis Cannon, a CPA who also holds a law license, mails targeted letters to recent accident victims offering tax and financial planning services. The state bar seeks to enforce a thirty-day waiting period. The restriction is sustained because it directly advances the state's interest in protecting vulnerable recipients from intrusive professional contact.
Clifford Cox, a CPA retained by a welfare recipient, prepares financial records for an administrative hearing on benefit termination. The agency refuses to allow the CPA to testify without prior written submission. The recipient prevails because due process requires an opportunity to present relevant evidence, including expert accounting testimony, before benefits are cut off.
No. Truthful statements that a lawyer holds a CPA license constitute protected commercial speech. A state may not impose sanctions absent evidence that the designation is actually or inherently misleading.
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A gratuitous agent who is a CPA must exercise the care and skill of a reasonable person in similar unpaid undertakings, taking into account any special skills the CPA actually possesses. The CPA is not automatically held to the full professional standard that would apply in a paid engagement.
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A CPA trustee operates under an ascertainable standard when the trust instrument limits distributions by reference to the beneficiary's health, education, support, or maintenance. Objective criteria such as tuition or reasonable living expenses satisfy this requirement.
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…been aptly noted that [^maj-9]: See also Goldsmith v. United States Board of Tax Appeals , 270 U. S. 117 (1926) (right of a certified public accountant to practice before the Board of Tax Appeals); Hornsby v. Allen , 326 F. 2d 605 (C. A. 5th Cir. 1964) (right to obtain a retail liquor store license); Dixon v. Alabama State Board of…