Maryland CPA Exam & License Requirements: How to Become a CPA in MD

In today’s rapidly evolving financial landscape, the demand for Certified Public Accountants (CPAs) is reaching unprecedented heights. According to the American Institute of CPAs (AICPA), there’s a growing CPA crisis, with a significant shortage of qualified professionals in the field. This shortage is especially pronounced in Maryland, where the need for skilled CPAs is more critical than ever. But here’s the interesting part: this crisis presents a golden opportunity for aspiring accountants.

Why, you might ask?

Well, consider this: the Maryland Department of Labor, recognizing the urgent need for more CPAs, has recently awarded a substantial grant to the AICPA’s apprenticeship program. This initiative is a game-changer, making the path to becoming a CPA in Maryland more accessible and appealing than ever before.

Now, let’s dive deeper into why this is the perfect time to embark on the CPA journey in Maryland. With the current demand for CPAs skyrocketing, those who obtain their license are stepping into a world brimming with opportunities. Imagine a career where your skills are not just in demand, but critically needed. Where every financial decision, every audit, and every compliance check could have your name on it. This isn’t just a job; it’s a chance to be at the forefront of financial expertise in a state that is actively seeking talent.

But wait, there’s more to it.

The support from the Maryland Department of Labor doesn’t just highlight the demand; it also underscores the state’s commitment to nurturing new talent in the accounting field. This means resources, guidance, and a community ready to welcome and assist you on your journey to becoming a CPA. So, why not seize this moment to advance your career in a field that is not only rewarding but also in dire need of your expertise?

Steps to CPA Licensure in Maryland

• Fulfill the educational requirements, including specific accounting and business courses.
• Gain the necessary work experience under a licensed CPA.
• Successfully pass all four sections of the CPA exam the first time if you use a CPA review course.
• Complete the AICPA Ethics Exam, an essential step in understanding professional responsibilities.
• Submit the CPA license application along with all required documentation.
• Pay the applicable CPA license application fee.

CPA Licensure Requirements in Maryland

The path to becoming a Certified Public Accountant (CPA) in Maryland involves meeting specific criteria set by the Maryland Board of Public Accountancy. These requirements are designed to ensure that CPAs possess the necessary knowledge, skills, and ethical understanding to serve the public effectively. Below is a detailed breakdown of the general, education, and work experience requirements for CPA licensure in Maryland.

General Requirements

• Age and Residency: Candidates must be at least 18 years old. There is no residency requirement for taking the CPA exam in Maryland.
• Social Security Number: Applicants must have a Social Security Number.
• Ethics Exam: Passing the AICPA Ethics Exam is required for licensure.
• Pass the CPA Exam: Get my expert tips on how to pass the CPA exam the first time.

Education Requirements

Candidates must meet specific educational criteria to be eligible for the CPA exam in Maryland. There are two options for fulfilling these requirements: Group I and Group II.

Group I: Accounting and Ethics Education

This option focuses on accounting and ethics courses:

• Auditing: 3 semester hours in auditing.
• Cost or Managerial Accounting: 3 semester hours in either cost accounting or managerial accounting.
• U.S. Federal Income Tax: 3 semester hours in this subject.
• Ethics: 3 semester hours in an ethics course.
• Financial Accounting Courses: A minimum of 9 semester hours.
• Elective Accounting Courses: At least 9 hours in elective accounting courses.

Group II: Business-Related Education

This option is centered around business-related courses:

• Quantitative Methods and Computer Information: These courses can fulfill the requirements for business-related courses.
• Undergraduate Semester Hours: 21 hours in at least 5 of the following 9 areas: statistics, economics, corporation/business finance, management, marketing, U.S. business law, business communication, quantitative methods, and computer science/information systems.

Candidates must also complete a bachelor’s degree with 150 semester hours of education.

Work Experience Requirements

Candidates must also fulfill work experience requirements:

• Supervised Experience: One year (2,000 hours) of work experience under a licensed CPA is required, involving accounting, attest, compilation, management advisory, financial advisory, tax, or consulting skills.
• Duration: The experience can be accumulated over a minimum of one year and a maximum of three years.
• Verification: The experience must be verified by a licensed CPA who has supervised the candidate.

“Meeting the work experience requirements for CPA licensure is more than just a checkbox on your professional journey; it’s a crucial phase where theory meets practice. This period is where aspiring CPAs transform their academic knowledge into practical, real-world accounting skills. My advice? Embrace this phase as an opportunity to learn from seasoned professionals, to understand the nuances of the profession, and to start building the foundation of your career. Remember, the experiences you gain here are not just stepping stones to licensure, but the bedrock of your future as a trusted financial expert.”

– Bryce Welker, CPA

Ethics Course and Exam Requirements

The Ethics Course and Exam are pivotal components of the CPA licensure process in Maryland, emphasizing the importance of integrity and professionalism in the accounting field. Here’s a detailed overview of the ethics exam requirements, including the course content, pricing, study resources, and preparation tips.

• Requirement: Passing the AICPA Ethics Exam is mandatory for CPA licensure in Maryland.
• Pricing: The AICPA Ethics Exam course, including the exam, is priced at $299. AICPA members can get a discounted rate of $245.
• Purpose: The exam ensures that all CPAs adhere to the highest standards of ethical conduct.

Topics Covered

• Focus: The exam centers around the AICPA Code of Professional Conduct, which details the ethical principles CPAs must follow.
• Key Topics: These include independence, integrity, objectivity, general standards, acts discreditable, and other ethical conduct aspects in accounting.
• Application: The exam includes scenarios requiring candidates to apply ethical principles to specific situations, emphasizing real-world applicability.

CPA Evolution: Changes to the CPA Exam in 2024

The CPA profession is undergoing a significant transformation with the CPA Evolution, a joint initiative by the American Institute of CPAs (AICPA) and the National Association of State Boards of Accountancy (NASBA). This initiative is set to reshape the CPA licensure model to better align with the rapidly changing skills and competencies the accounting profession requires. Here’s a detailed look at what will change with the CPA exam in 2024, both in Maryland and across the United States.

Core and Discipline Model

The most notable change in the CPA exam is the shift to a “Core + Discipline” model. This model is designed to test candidates on a combination of core accounting competencies and specialized skills in one of three disciplines.

• Core Competencies: All candidates will be tested on three core areas – Accounting, Auditing, and Taxation. These areas represent the foundational knowledge required for all CPAs.
• Disciplines: Candidates will choose one of three disciplines to demonstrate deeper skills and knowledge. The three disciplines are:
  1. Business Analysis and Reporting (BAR): Focuses on financial reporting, business processes, and data analysis.
  2. Information Systems and Controls (ISC): Concentrates on IT governance, data management, and cybersecurity.
  3. Tax Compliance and Planning (TCP): Centers on tax strategy, planning, and compliance.

Updated Exam Structure

The CPA exam will still consist of four sections, but with the new model, it will include a combination of the core areas and the chosen discipline. This means that every CPA candidate will take the same core sections but will have a different fourth section based on their chosen discipline.

Enhanced Focus on Technology

Reflecting the increasing role of technology in accounting, the new exam will place a greater emphasis on technology skills across all sections. This includes understanding data analytics, information technology, and cybersecurity, which are becoming increasingly important in the accounting profession.

Maryland CPA Exam Fees

The cost to take all four sections of the CPA exam in Maryland is $895 plus the initial $60 application fee.

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Local CPA Organizations and Networking Groups in Maryland

1. Maryland Association of Certified Public Accountants (MACPA): A prominent organization for CPAs in Maryland, offering resources such as continuing professional education, networking events, and advocacy.
2. Greater Washington Society of CPAs (GWSCPA): Serving CPAs in the Washington D.C. area and surrounding Maryland region, this society provides educational programs, networking opportunities, and industry updates.
3. Maryland Government Finance Officers Association (MDGFOA): Ideal for CPAs interested in government finance, offering training, resources, and networking opportunities.
4. Maryland Society of Accounting & Tax Professionals (MSATP): Catering to accounting and tax professionals in Maryland, this society provides education, resources, and networking events.

Maryland Exam Information and Resources

1. Maryland Board of Public Accountancy
2. NASBA CPA Exam Candidates
3. Common Maryland CPA Application Mistakes
4. Maryland CPA Exam Application
5. MD CPA License Applications

For more details, please contact:

500 N. Calvert Street, Room 308
Baltimore, MD 21202-3651
Email: [email protected]
Phone: 410-230-6258
Fax: 410-333-6314

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