Ethics and Regulation Q & A

By Ann E. Spaulding

Q. Since the recent communication from the NYSSCPA and the State Education Department regarding the relationship between American Express and Goldstein, Golub, Kessler LLP, I would like clarification as to what forms of practice I can engage in.

A. If your firm is performing the attest function, (compilations, reviews, or audits) you may practice in the form of a sole proprietor, partnership, professional corporation, limited liability partnership or professional limited liability company. All owners of your CPA firm must be CPAs.

If you wish to practice in a form other than those listed above and your firm does not perform the attest function and does not call itself a CPA firm, you may practice in any other legal form you wish. The owners of your firm do not have to be CPAs. CPAs working in your firm may call themselves CPAs but cannot perform the attest function.

The Society offers assistance for members' questions on ethics and regulation issues. Contact Ann E. Spaulding at (212) 719-8348, (800) 633-6320, or aspaulding@nysscpa.org. For a written response, direct correspondence to the Professional Ethics Committee, NYSSCPA, 530 Fifth Avenue, New York, NY 10036-5101. *