EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
Underlining indicates amendments to bill.
Strike out indicates matter stricken from the bill by amendment or deleted from the law by
amendment.
*hb0427*
HOUSE BILL 427
C3 5lr2095
CF SB 148
By: Delegate Queen
Introduced and read first time: January 16, 2025
Assigned to: Economic Matters
Committee Report: Favorable
House action: Adopted
Read second time: February 25, 2025
CHAPTER ______
AN ACT concerning 1
State Board of Public Accountancy – Emeritus Status 2
FOR the purpose of authorizing the State Board of Public Accountancy to place a licensee 3
on emeritus status under certain circumstances; requiring the Board to reinstate the 4
license of an individual who is on emeritus status under certain circumstances; and 5
generally relating to the State Board of Public Accountancy and emeritus status. 6
BY repealing and reenacting, with amendments, 7
Article – Business Occupations and Professions 8
Section 2–311(a), 2–314, 2–601, and 2–603 9
Annotated Code of Maryland 10
(2018 Replacement Volume and 2024 Supplement) 11
BY adding to 12
Article – Business Occupations and Professions 13
Section 2–313.1 14
Annotated Code of Maryland 15
(2018 Replacement Volume and 2024 Supplement) 16
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 17
That the Laws of Maryland read as follows: 18
Article – Business Occupations and Professions 19
2–311. 20 2 HOUSE BILL 427
(a) (1) THIS SUBSECTION DOES NOT APPLY TO A CERTI FIED PUBLIC 1
ACCOUNTANT WHO IS ON EMERITUS STATUS UNDE R § 2–313.1 OF THIS SUBTITLE. 2
(2) Unless a license is renewed for a 2–year term as provided in this 3
section, the license expires on the first December 31 that comes: 4
[(1)] (I) after the effective date of the license; and 5
[(2)] (II) in an even–numbered year. 6
2–313.1. 7
(A) THE BOARD MAY PLACE A LIC ENSEE ON EMERITUS ST ATUS, IF THE 8
LICENSEE SUBMITS TO THE BOARD AN APPLICATION FOR EMERITUS STATUS ON THE 9
FORM REQUIRED BY THE BOARD. 10
(B) THE BOARD SHALL PLACE A L ICENSEE ON EMERITUS STATUS IF THE 11
INDIVIDUAL: 12
(1) HAS AN ACTIVE OR INA CTIVE LICENSE TO PRA CTICE CERTIFIED 13
PUBLIC ACCOUNTANCY U NDER THIS SUBTITLE ; 14
(2) IS NOT UNDER INV ESTIGATION BY THE BOARD FOR A VIOLATION 15
OF THIS TITLE; 16
(3) IS NOT THE SUBJECT O F A PENDING DISCIPLI NARY ACTION 17
RELATED TO THE PRACT ICE OF CERTIFIED PUB LIC ACCOUNTANCY IN T HE STATE OR 18
ANOTHER STATE ; 19
(4) (I) 1. HAS PRACTICED PUBLIC ACCOUNTANCY IN THE 20
STATE FOR AT LEAST 20 YEARS; AND 21
2. IS AT LEAST 60 YEARS OLD; OR 22
(II) HAS AT LEAST 40 YEARS OF EXPERIENCE AS A CERTIFIED 23
PUBLIC ACCOUNTANT ; AND 24
(5) ATTESTS THAT: 25
(I) THE INDIVIDUAL IS RE TIRED AND IS NO LONG ER ACTIVELY 26
PRACTICING PUBLIC ACCOUNTANCY IN THE STATE; AND 27
HOUSE BILL 427 3
(II) THE INDIVIDUAL WILL NOT PROVIDE CERTIFIE D PUBLIC 1
ACCOUNTANCY SERVICES UNLESS REINSTATED IN ACCORDANCE WITH § 2–314 OF 2
THIS SUBTITLE. 3
(C) THE BOARD SHALL REVIEW AN APPLICATION SUBMITTE D UNDER THIS 4
SECTION WITHIN 60 DAYS OF RECEIPT OF TH E APPLICATION. 5
(D) IF THE BOARD APPROVES AN APP LICATION FOR EMERITU S STATUS 6
UNDER THIS SECTION , THE BOARD SHALL SEND THE LICENSEE: 7
(1) WRITTEN NOTICE OF TH E APPROVAL; AND 8
(2) A CERTIFICATE OF EME RITUS STATUS. 9
(E) A LICENSEE ON EMERITUS STATUS IS E XEMPT FROM : 10
(1) THE CONTINUING EDUCA TION REQUIREMENTS UN DER § 2–312 OF 11
THIS SUBTITLE; AND 12
(2) THE REINSTATEMENT FE E UNDER § 2–341 OF THIS SUBTITLE. 13
2–314. 14
In accordance with its regulations, the Board may reinstate the license of an 15
individual who has failed to renew the license for any reason OR IS ON EMERITUS ST ATUS 16
UNDER § 2–313.1 OF THIS SUBTITLE if the individual: 17
(1) otherwise is entitled to be licensed; 18
(2) EXCEPT AS PROVIDED U NDER § 2–313.1 OF THIS SUBTITLE , 19
complies with each continuing education requirement that the Board sets for this purpose; 20
and 21
(3) EXCEPT AS PROVIDED U NDER § 2–313.1 OF THIS SUBTITLE, pays to 22
the Board a reinstatement fee set by the Board. 23
2–601. 24
Except as otherwise provided in this title[,]: 25
(1) a person may not practice, attempt to practice, or offer to practice 26
certified public accountancy in the State unless licensed by the Board or qualified for a 27
practice privilege under § 2–321 of this title; AND 28
4 HOUSE BILL 427
(2) A LICENSEE ON EMERITUS STATUS UNDE R § 2–313.1 OF THIS 1
TITLE MAY NOT: 2
(I) PRACTICE, ATTEMPT TO PRACTICE , OR OFFER TO PRACTICE 3
CERTIFIED PUBLIC ACC OUNTANCY IN THE STATE; 4
(II) SIGN OR CERTIFY FINA NCIAL STATEMENTS , TAX RETURNS , 5
OR AUDIT REPORTS ; OR 6
(III) PROVIDE ATTESTATION SERVICES . 7
2–603. 8
(a) Subject to subsection (b) of this section and unless authorized under this title 9
to practice certified public accountancy, a person may not represent to the public, by use of 10
a title, including “licensed certified public accountant”, “certified public accountant”, “public 11
accountant”, or “auditor”, by use of the abbreviation “CPA”, by description of services, 12
methods, or procedures, or otherwise, that the person is authorized to practice certified 13
public accountancy in the State. 14
(b) Subsection (a) of this section does not prohibit: 15
(1) the description of a principal, officer, or employee of an organization by 16
the position, title, or office that the individual holds in the organization; [or] 17
(2) THE DESCRIPTION OF A LICENSEE WHO IS ON EMERITUS STATUS 18
UNDER § 2–313.1 OF THIS TITLE , PROVIDED THAT THE LI CENSEE DOES NOT 19
REPRESENT TO THE PUB LIC THAT THE LICENSE E IS AUTHORIZED TO P RACTICE 20
CERTIFIED PUBLIC ACC OUNTANCY IN THE STATE; OR 21
[(2)] (3) a partnership, limited liability company, or corporation that 22
holds a permit or is exempt from the permit requirement under § 2–401 of this title from 23
using, in connection with the name of the partnership, limited liability company, or 24
corporation, any of the terms or the abbreviation to which subsection (a) of this section 25
refers. 26
(c) (1) (I) [The] EXCEPT AS PROVIDED IN SUBPARAGRAPH (II) OF THIS 27
PARAGRAPH , THE display, distribution, or other use by a person of the person’s name, in 28
conjunction with any of the following list of titles or abbreviations in a card, sign, 29
advertisement, directory listing, or other instrument or device, is, in any proceeding under 30
this title, prima facie evidence that the person represents to the public that the person is 31
authorized to practice certified public accountancy: 32
[(i)] 1. “licensed certified public accountant”; 33
HOUSE BILL 427 5
[(ii)] 2. “certified public accountant”; 1
[(iii)] 3. “public accountant”; 2
[(iv)] 4. “auditor”; or 3
[(v)] 5. an abbreviation of any of these titles. 4
(II) A LICENSEE WHO IS ON EMERITU S STATUS UNDER § 2–313.1 5
OF THIS TITLE MAY US E THE WORDS “CERTIFIED PUBLIC ACC OUNTANT EMERITUS ” 6
OR THE ABBREVIATION “CPA EMERITUS” TO DESCRIBE THE OCCU PATION OF THE 7
INDIVIDUAL, PROVIDED THAT THE LI CENSEE DOES NOT REPR ESENT TO THE PUBLIC 8
THAT THE LICENSEE IS AUTHORIZED TO PRACTI CE CERTIFIED PUBLIC 9
ACCOUNTANCY IN THE STATE. 10
(2) In a proceeding under this title, evidence of a single representation 11
described in paragraph (1) of this subsection is, without evidence of a general course of 12
conduct, adequate to justify a finding that a person has represented to the public that the 13
person is authorized to practice certified public accountancy in the State. 14
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 15
1, 2025. 16
Approved:
________________________________________________________________________________
Governor.
________________________________________________________________________________
Speaker of the House of Delegates.
________________________________________________________________________________
President of the Senate.