Key Takeaways

  • Maryland lawmakers last week passed accounting licensure reform legislation, creating an alternative path to becoming a certified public accountant that does not require 150 college credits, typically equivalent to five years of higher education, according to the Maryland Association of CPAs.
  • Similar to some other states, Maryland retains its existing CPA licensure path, which requires 150 college credits, one year of relevant professional experience, and passing the CPA exam. However, the new law allows candidates to substitute more experience for additional education, with the new path requiring a bachelor's degree, two years of professional experience, and passing the exam. House Bill 643 still needs Governor Wes Moore's signature and is expected to take effect on October 1.
  • MACPA CEO Rebekah Olson said in a statement: "This is a huge win for the CPA profession in Maryland. The new path will open doors for more CPA candidates while helping employers address critical talent needs. It strengthens the talent pipeline without compromising the rigor and trust that the CPA credential represents."

Dive Insight

According to observations by Robert J. Pawlewicz, assistant professor of accounting at the Robins School of Business at the University of Richmond in Virginia, since early last year, about 39 states and Puerto Rico have passed laws or enacted new licensure rules easing educational requirements for obtaining CPA certification. Pawlewicz has been tracking licensure reform nationwide.

"We are steadily moving forward, and we expect more action in other states before the summer legislative recess," Pawlewicz said in an email to CFO Dive.

According to information on the Minnesota Society of CPAs website, Maryland joins New Hampshire and Colorado, which have passed legislation but whose bills are still awaiting signatures from their respective governors. Typically, after a state legislature passes a bill, CPA legislation receives gubernatorial approval, but sometimes it takes months, as was the case in New York.

Despite strong national momentum, licensure reform has been slow in a few states. For example, in Florida last month, a licensure reform bill became entangled with an anti-regulation proposal that sought to eliminate the Florida Board of Accountancy. According to a March 13 blog post on the Florida Institute of CPAs website, the bill was stalled.

FICPA posted a notice on its website to current students and future CPA candidates, planning to reintroduce the bill in 2027.

The website statement reads: "Rest assured, FICPA will continue to support the alternative path and licensure efficiency improvements, and we look forward to reintroducing the bill in 2027. We know this year's outcome was not what everyone hoped for, but we will achieve our goal."

To track CPA licensure changes, you can visit CFO Dive's related tracker page.