HB 6196 Summary

• Reduces certification experience requirement for certified public accountants from multiple years to 1 year of qualifying experience verified by another CPA.

• Expands definition of "practice of public accounting" to explicitly include management advisory services, business valuation, forensic accounting, fraud examination services, tax return preparation, and tax advice.

• Allows firms without a Michigan office to practice public accounting in the state if they perform specific audit, examination, or attestation engagements for clients with home offices in Michigan, provided services are supervised by individuals with practice privileges under section 727a.

• Permits unlicensed firms to perform reviews and compilations for Michigan clients without obtaining a state license if they meet ownership and officer requirements and work through CPAs with practice privileges.

• Increases maximum administrative penalty for violations from current law to $25,000 per violation and requires licensees to report adverse determinations from federal or state agencies within 30 days.