§73. Definitions

           When used in this Part, the following terms have the following meanings ascribed to them:

           (1)(a) "Attest" means providing the following services, subject to the exceptions provided for in R.S. 37:83:

           (i) Any audit or other engagement to be performed in accordance with the Statements on Auditing Standards (SAS) or Government Auditing Standards.

           (ii) Any review or compilation to be performed in accordance with the Statements on Standards for Accounting and Review Services (SSARS).

           (iii) Any examination, review, or agreed upon procedures engagement to be performed in accordance with the Statements on Standards for Attestation Engagements (SSAE).

           (iv) Any engagement to be performed in accordance with the Standards of the Public Company Accounting Oversight Board (PCAOB).

           (b) Such statements on standards shall be adopted by reference by the board in accordance with the Administrative Procedure Act and shall be those developed for general application by recognized national accountancy organizations such as the American Institute of Certified Public Accountants (AICPA) and the Public Company Accounting Oversight Board (PCAOB).

           (2) "Board" means the State Board of Certified Public Accountants of Louisiana.

           (3) "Certificate" means a certificate as a certified public accountant issued pursuant to the provisions of this Part, as follows:

           (a) An "active certificate" is granted to or renewed by an individual who has met all requirements pursuant to the provisions of this Part, including the experience requirement. A holder of a valid active certificate is licensed to use the certified public accountant or CPA title in Louisiana. Such a person is referenced in this Part as a licensee.

           (b) An "inactive certificate" is one held by an individual who registers with the board in inactive status. This applies to (i) persons grandfathered by R.S. 37:75(I) who held an unlicensed certificate under the prior accountancy act or (ii) persons granted an exemption from continuing education pursuant to R.S. 37:76(D)(2). Such a person may use the designation "CPA-Inactive" or "CPA-Retired" in accordance with the provisions of this Part.

           (3.1) "Civil proceeding" means any civil judicial action, arbitration, administrative proceeding, review panel pursuant to this Chapter, or proceeding before the State Board of Certified Public Accountants of Louisiana.

           (4) "Client" means a person or entity that agrees with a licensee to receive any professional service.

           (5) "CPA firm" means any sole proprietorship, corporation, partnership, registered limited liability partnership, limited liability company, or other form of organization issued a permit to practice in accordance with the provisions of this Part.

           (6)(a) "CPA-Retired" means either of the following:

           (i) A licensee holding an active certificate for a minimum of twenty consecutive years, who has reached the age of fifty-five years, and is no longer an owner, partner, shareholder, member, contractor, contractee, or employee of a CPA firm.

           (ii) A licensee holding an active certificate for which the board has granted CPA-Retired status based on a medical disability.

           (b) A CPA-Retired may not perform any services set forth in the Louisiana Accountancy Act, but this status does not preclude uncompensated volunteer services as long as the individual does not sign any documents related to such services as a CPA. If a CPA-Retired wishes to return to active or CPA-Inactive status, he or she shall comply with provisions prescribed by board rule.

           (7) "Good moral character" means the propensity to provide professional services in a fair, honest, and open manner and the lack of history of any dishonest or felonious acts.

           (8) "License" means an active certificate of certified public accountant, pursuant to Subparagraph(3)(a) of this Section, or a CPA firm's permit to practice issued in accordance with the provisions of this Part.

           (9) "Licensee" means the holder of a license.

           (10) "Manager" means a manager of a limited liability company or a limited liability partnership.

           (11) "Member" means a member of a limited liability company or a limited liability partnership.

           (12) "Peer review" means a study, appraisal, or review of one or more aspects of the professional work of a CPA firm that performs attest services by a person or persons who hold licenses and who are not affiliated with the CPA firm being reviewed.

           (13) "Permit" means a permit to practice as a CPA firm issued pursuant to the provisions of this Part or pursuant to corresponding provisions of law of another state.

           (14) "Preparation of financial statement" means an engagement by a licensee to prepare financial statements for an entity but not to perform a compilation, review, or audit with respect to those financial statements and as provided in the American Institute of Certified Public Accountants' Statement on Standards for Accounting and Review Services. 

           (15) "Professional" means arising out of or related to the specialized knowledge or skills associated with CPAs.

           (16) "Report" means, when used with reference to any attest services, an opinion, report, or other form of language that states or implies an assurance as to the reliability of any financial statement or assertion. "Report" also means any statement or implication that the person or firm issuing it has special knowledge or competence in accounting or auditing and that the service reported upon was performed under standards for such services established by the American Institute of Certified Public Accountants. Such a statement or implication of special knowledge or competence may arise from use by the issuer of the report of names or titles indicating that the person or firm is an accountant or auditor, or from the language of the report itself. "Report" also means any form of language which disclaims an opinion when such form of language is conventionally understood to imply any positive assurance as to the reliability of the financial statements referred to or special competence on the part of the person or firm issuing such language. "Report" also means any other form of language that is conventionally understood to imply such assurance or such special knowledge or competence.

           (17) "Rule" means any rule, regulation, or other written directive of general application adopted by the board in accordance with the Administrative Procedure Act.

           (18) "State" means any state of the United States, the District of Columbia, Puerto Rico, the United States Virgin Islands, Guam, and the Commonwealth of the Northern Mariana Islands. "This state" or "the state" means the state of Louisiana.

           (19) "Substantial equivalency" or "substantially equivalent" means a determination by the board, or its designee, that the education, examination, and experience requirements contained in the statutes and administrative rules of another state or jurisdiction are comparable to or exceed the education, examination, and experience requirements of this state or that an individual CPA's education, examination, and experience qualifications are comparable to or exceed the education, examination, and experience requirements of this state.

           Acts 1979, No. 510, §1. Acts 1984, No. 747, §1, eff. July 13, 1984; Acts 1992, No. 460, §1, eff. Jan. 14, 1993; Acts 1999, No. 473, §1; Acts 2006, No. 214, §1; Acts 2007, No. 102, §1, eff. August 15, 2007; Acts 2008, No. 203, §1; Acts 2016, No. 553, §1, eff. August 1, 2016.