54-221. ISSUANCE OF A REPORT. (1) Only licensees shall issue a report on the financial statements of any other person, firm, organization or governmental unit or offer to render or render any attest or compilation service, as defined herein. This prohibition does not apply to any officer, partner, employee or member of any organization affixing their signature to any statement or report in reference to the financial affairs of such firm or organization with any wording designating the position, title or office that they hold therein; nor prohibit any act of a public official or employee in the performance of their duties as such; nor prohibit the performance by any person of other services involving the use of accounting skills, including the preparation of tax returns, management, financial advisory or consulting services, and the preparation of financial statements without the issuance of reports, as defined in section 54-206, Idaho Code.

(2) The prohibition contained in subsection (1) of this section is applicable to issuance, by a person or firm not holding a valid license, of a report using any form of language conventionally used by licensees respecting a review of financial statements or respecting a compilation of financial statements.

(3) No licensee or individual granted privileges under section 54-227, Idaho Code, shall perform attest services through any form of business that is not registered under the provisions of section 54-214, Idaho Code, or an equivalent provision of the laws of another state.

(4) No licensee shall issue a compilation report through any form of business that is not registered under the provisions of section 54-214, Idaho Code, unless the report discloses the name of the business through which the individual is issuing the report, and the individual:

(a) Signs the compilation report identifying the individual as a CPA or LPA;

(b) Meets the competency requirements provided in this chapter and by board rule; and

(c) Undergoes no less frequently than once every three (3) years, a peer review conducted in such manner as the board shall by rule specify, and such review shall include verification that such individual has met the competency requirements set out in professional standards for such services.

(5) A licensee or firm that does not issue reports may issue financial statements without reports only if the financial statements include the disclaimer language of section 54-226(3), Idaho Code.

History:

[54-221, added 1993, ch. 239, sec. 26, p. 842; am. 2002, ch. 92, sec. 18, p. 253.]