California has introduced AB-1175, a bill creating an alternative pathway to CPA licensure. Effective July 1, 2026, candidates can qualify with a bachelor's degree and two years of work experience, together with passing the CPA exam.

Aside from this, the proposed law has provisions that help CPA mobility, making it easier for out-of-state CPAs to practice within the state. These provisions include authorizing the California Board of Accountancy to issue a CPA license to an applicant who holds a license from another state with comparable licensure requirements. 

Existing law authorizes the board to issue a CPA license to an applicant who is the holder of a CPA license issued under the laws of any state if the board determines the standards are substantially equivalent to the standards established in this state.  The proposal retains the existing 150 hour pathway plus one year of experience. 

California's proposal follows similar legislation in Ohio and Illinois, aiming to address CPA pipeline challenges and attract more candidates to the profession.

The state's proposed legislation also comes after the AICPA and National Association of State Boards of Accountancy advanced proposed changes to the Uniform Accountancy Act legislation. The associations on Feb. 14 introduced another alternative path to CPA licensure that allows candidates to qualify with a bachelor’s degree plus two years of experience.