As a certified public accountant (CPA), facing disciplinary action against your certified public accounting license or your certified public accounting firm's license can be concerning. You worked tirelessly for years to obtain your license and are committed to helping your clients. It can be shocking to learn that a complaint has been filed against your or your firm's licenses.
Allegations against your license should not be taken lightly; losing your license means losing your livelihood and can have lasting impacts on all aspects of your life. Fortunately, the Lento Law Firm Professional License Defense Team has assisted countless Florida CPAs. Our Team is here to help. We will walk you through the disciplinary action process, skillfully prepare your defense, and negotiate with the relevant authorities to mitigate or eliminate the threats to your Florida CPA license. Call the Lento Law Firm at 888-535-3686 or contact us online to retain our Professional License Defense Team.
Florida Certified Public Accounting Regulatory Body
In Florida, CPAs are regulated by Florida's Department of Business and Professional Regulation, Division of Certified Public Accounting. The Division is responsible for all things related to the licensure of CPAs, the practice of certified public accounting, and the certification of accounting firms throughout the state. Over 36,000 CPAs and 5,000 certified public accounting firms are under the jurisdiction of the Division.
The Division's mission is to promote consumer protection by ensuring that CPAs and certified public accounting firms meet and adhere to the statutory requirements for licensure. The Division has numerous responsibilities, a few of which include processing applications for the CPA exams, original Florida CPA licensure applications, licensure by endorsement applications, reactivating delinquent or inactive Florida CPA licenses, temporary permit applications, accountancy firm licensure, and continuing education reporting forms.
Additionally, the Division provides administrative support to the Florida Board of Accountancy. The Board of Accountancy comprises nine members, seven licensed CPAs, and two consumers. The Board of Accountancy is responsible for developing rules and regulations and setting professional standards related to the practice of accountancy.
When it comes to disciplinary action, more parties are involved. The Board of Accountancy will work with the Department of Business and Professional Regulation's Enforcement Division and the Department's Office of the General Counsel.
Florida Certified Public Accounting Laws and Regulations
To offer CPA in Florida, one must be licensed in Florida and work in a licensed, certified public accounting firm within the state. Public accounting services that require a license include accounting, auditing, tax planning and filing, financial planning, and management consulting services. Florida's Public Accountancy Law, the primary law related to public accounting, details the licensure requirements, ethical standards, and disciplinary procedures for CPAs and public accounting firms. You should additionally be aware of the regulations in the Florida Administrative Code, which also outlines the intricacies of the Board of Accountancy disciplinary process.
Florida Certified Public Accountant Allegations and Disciplinary Actions
Disciplinary actions against your CPA license or your certified public accounting firm's license begin with allegations of wrongdoing. But remember that just because an allegation has been made against your CPA license or your firm does not mean you have been found guilty of wrongdoing. As soon as you learn of the charges against you, contact the Lento Law Firm Professional License Defense Team. We will review the complaint against you or your firm and explain the possible next steps to eliminate or mitigate the threat. The allegations must be proven true for disciplinary action to be brought against your CPA license or your firm's license.
Unfortunately, the disciplinary process can be long and painful. At the Lento Law Firm, we will do everything possible to minimize the stress and length of time you are entangled in this action. The process can look different for each person, but generally, disciplinary actions against a CPA or their firm will follow these steps:
Complaint
All disciplinary actions will start with a complaint, which can be submitted online or by mail. There are no restrictions on who can file a complaint; unfortunately, complaints can be made anonymously. Most often, complaints are made by clients or former clients, another CPA, or another certified public accounting firm. Under Florida law, you must self-report within 30 days if you have been convicted, found guilty, pled nolo contendere, or guilty to a crime in any jurisdiction. This includes retroactive reporting; you must report any convictions before October 1, 2009. Failure to self-report can result in disciplinary action.
The Department of Business and Professional Regulation, Division of Certified Public Accounting, accepts all complaints. All complaints must be accompanied by supporting documentation, or the complaint will not be processed. Supporting information includes:
- Correspondence with the CPA
- Signed audits, reviews, compilations, or financial statements
- Business cards or signs offering services or using the CPA designation with the CPA's name on them
- Copies of the website pages offering services or using the CPA designation
- IRS/tax documents
- Signed engagement letter
Immediately following receipt of a complaint, the Division will open a case and assign it to an investigator in the Enforcement Section.
Investigation
The Enforcement Section investigator will review the complaint, conduct interviews with witnesses, and establish the facts of the case. The Enforcement Section states that if the topic of the complaint is regarding the following, the Board has the authority to investigate the complaint:
- Incidence related to independence, integrity, and objectivity
- Competence and adherence to technical standards
- Confidentiality and records disposition
- Violation of public accountancy rules of fiduciary duty or trust
- Advertising and solicitation practices
- Form of practice and use of the CPA designation
- Ethical or moral violations
- Conviction of a felony or any crime related to the practice of account
- Any suspension or revocation of the right to practice accounting before the U.S. Securities and Exchange Commission, the IRS, or any other Federal Agency
- Any unlicensed individuals using the CPA designation or offering to perform services requiring a CPA license
There are types of complaints that are outside the scope of the Board's jurisdiction to investigate. Outside the scope of the Board's jurisdiction is the ability to regulate fees charged by its licensed CPAs or the ability to recover money for consumers or clients.
If the Board has jurisdiction, it will complete its investigation, and the assigned investigator will decide if the complaint has legal sufficiency. Legal sufficiency simply means the complaint and subsequent investigation contain ultimate facts that show a violation of the above mentioned laws and regulations.
Review by the Board's Probable Cause Panel
If the case has legal sufficiency, it will be sent to the Office of General Counsel, who will present it to the Board's Probable Cause Panel. The panel will determine if probable cause exists to pursue administrative action against the CPA. The review panel will issue either a finding of no probable cause, a letter of guidance, or a letter issuing a formal Administrative Complaint. The case will be closed if probable cause is not found, and all information collected will be kept confidential. A guidance letter is reserved for minor violations and will be discussed further below.
Reviews and Hearing
If probable cause is found, you will have two options: move forward with an informal review or pursue a formal review. When you choose an informal review, you decide not to dispute the charges against you or present any new evidence. The General Counsel will present the case to the full Board for an informal review. The Board will then issue a final order with their disciplinary action decision, further discussed in the sections below.
To fight the allegations against your license, you must pursue a formal review. A formal hearing occurs before the Florida Division of Administrative Hearings and is conducted by an Administrative Law Judge. An administrative hearing is similar to a court in that the General Counsel and your Lento Law Firm attorney will each present their sides of the case. Just as you would never go to court alone, you should never represent yourself or go into a hearing without your Lento Law Firm Professional License Defense Attorney. After each side has presented their case, the ALJ will make a decision and issue a final order.
Determinations
If you are found guilty of the allegation against you and your CPA license or your firm's license, there are many disciplinary actions the Board or the Administrative Law Judge may take. What disciplinary action the Board will impose will depend on whether the violation is considered minor or substantial. For a first-time minor violation, the Board may issue a notice of non-compliance, also called a letter of guidance, to the CPA, containing corrective action the CPA must immediately perform.
For substantial violations, the Board of Administrative Law Judge can take one or more of the following actions:
- License suspension
- License revocation
- Restriction of public accounting practice
- Imposition of an administrative fee of up to $5,000 for each count or separate offense
- Issuance of a reprimand
- Probation
- Corrective action
Appeals
If you are unhappy with the outcome of your hearing, you are legally entitled to an appeal. It is possible you were representing yourself up until this point, but an appeal is a formal court process. It isn't too late to retain a Lento Law Firm attorney to represent you. Our clients frequently receive better outcomes on appeal.
Grounds for Disciplinary Action Against Your Certified Public Accounting License
Many actions can threaten your personal Florida CPA license or the license of your certified public accounting firm. Under Florida law, any of the following actions can result in disciplinary action by the Board of Accountancy:
- Attempting to procure a license to practice public accounting by bribery or fraudulent misrepresentations
- Having a license to practice public accounting revoked, suspended, or otherwise acted against, including denial of licensure, by the licensing authority of another state, territory, or country
- Making misleading, deceptive, or fraudulent representations in or related to the practice of certified public accounting
- Intentionally violating a rule adopted by the Board of Accountancy, or the Department of Business and Professional Regulation, Division of Certified Public Accounting
- Being convicted or found guilty of, entering a guilty plea or nolo contendere for any crime in any jurisdiction which relates to the practice of accounting or the ability to practice accounting
- Making or filing a report or record which the CPA or their firm knows to be false
- Willfully failing to file a report or record as required by state or federal law
- Willfully impeding or obstructing the filings or reports required by state or federal law
- Falsely, fraudulently, deceptively, or misleadingly advertising goods or services
- Committing an act of fraud, deceit, negligence, incompetency, or misconduct during the practice of public accounting
- Practicing public accounting with a suspended, revoked, inactive, or delinquent license
- Suspension or revocation of the right to practice before any state or federal agency or the Public Company Accounting Oversight Board
- Failing to maintain good moral character while applying for licensure or while licensed in Florida
- Failing to provide required written disclosure to a client or the public
- Violation of any relevant public accountancy regulations
Areas We Serve in Florida
The Lento Law Firm has represented CPAs all over the state of Florida, from Jacksonville to Key West. While we can help you wherever you are in the state, most of our clients are located in the more urban areas, including Jacksonville, Miami, Tampa, Orlando, St. Petersburg, Port St. Lucie, Cape Coral, Hialeah, Tallahassee, and Fort Lauderdale.
Retain the Lento Law Firm Professional License Defense Team
Whether you are facing a minor or substantial violation, the Lento Law Firm Professional License Defense Team can help. We take preserving your license seriously and will do everything in our power to get you the best possible outcome. You should not be interacting with any authorities without legal representation, so if a complaint has been filed against you, call us at 888-535-3686 or contact us online today.
