The various aspects of becoming a state authorized accountant

by

bilrobinson

A state authorized accountant definitely has more credibility than an unauthorized one. Authorization essentially means that the accountant passed on all the aspects based on which the accountancy exams were held. They are the CPA or the Certified Public Accountant in the US. They play a very important role in helping the businesses prosper. Since they have a great deal of knowledge about various aspects of accountancy, their skills are useful in various aspects of business.

Taking the test

To become a CPA, a candidate should pass the Uniform CPA exam. The AICPA or the American Institute of Certified Public Accountants devises the question papers of this exam. The entire process is under the supervision of the NASBA or the National Association of State Boards of Accountancy. It is one of the oldest professional examinations, established by law in 1896. Only the candidates through with the four years of college education plus one additional year or a master s degree are eligible to appear for this exam, thereby setting the benchmark as a high profile exam to become a state authorized accountant.

The rules vary from state to state

Although the Uniform CPA exam is the same for all the states, the rules of becoming a licensed accountant vary from state to state. The exam can obtain you a certification, but you obtain the license only after certain years of experience. Only when you have the licensure, you can be a state authorized accountant. Some states follow a two-tier system, where the individual first receives the certification and then the license after gaining experience. Some other states follow a one-tier system, where the certification and the licensure are at the same time, after completing the required experience criteria. The work experience is generally of the public accounting nature.

The importance of authorization

Authorization is invariably a proof of a great accounting ability. A state authorized accountant would know the accountancy laws of the land like the back of their hand. They would also know the various aspects of accounting. In addition, they would know how to implement them to make complex calculations. Consulting with a state authorized accountant would provide you a critical insight into various aspects of your business operations. On evaluation of your numerical data, the accountant can actually point out the bottlenecks that need to be unblocked. Their keen sense of calculation can help you examine your business operations better. More importantly, they can actually analyze trends and predict future outcomes based on patterns in trends.

Requirement of work experience

Relevant work experience is important to become a state authorized accountant. As mentioned before, in the two-tier system, the CPA permit is irrespective of work experience. Some states like Massachusetts and Colorado waive the work experience clause if the academic qualification of the candidate is greater than the eligibility for CPA. Many states would require public accounting experience. However, many other states like Oregon, Virginia, etc. would allow general work experience. This means that the candidate who has gained experience by working as an accountant in a corporation would be eligible for consideration of licensure. The work experience requires verification from a certified CPA or a Chartered Accountant.

Becoming a state authorized accountant is tough and would require passing through a tough screening process. Therefore, those who receive authorization or licensure count among the topmost tire of accountants. The government and corporations often use the services of licensed accountants for covering various aspects of accountancy, to analyze and decide a definite operational strategy.

You can find more useful tips and information on how to find a good state authorized accountant (or as the Danes say

God statsautoriseret revisor

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