Table Of Contents
Alabama CPA Exam
Alabama CPA (Certified Public Accountant) License is a professional practice certificate for CPAs in the Cotton State. The Alabama economy is expected to rebound after last year’s slump due to the COVID pandemic, generating numerous new job opportunities for CPAs. So, aspirants must pass the CPA exam and fulfill other license requirements at the earliest to ride on this wave of the economic revival to secure their career in the promising state of Alabama.
Alabama is a two-tier state. Therefore, candidates must obtain a CPA certificate after successfully passing the CPA Exam and meeting the 150-semester hour requisite. However, they must report the required experience to attain the license. Note that only the CPA license grants all rights and privileges to practice the profession legally.
CPAs in Alabama are certified through the Alabama State Board of Public Accountancy (ASBPA). The board puts in place the professional licensing requirements and regulations to be observed by the license seekers and holders. The jurisdiction does not allow applicants to take the exam at international locations.
Let’s dive deeper into the Alabama CPA exam and license requirements.
| Particulars | CPA Exam | CPA License |
| General Requirements | U.S citizenship/residency | U.S citizenship/residency |
| Minimum 19 years old | Minimum 19 years old | |
| Social Security Number (SSN) | Social Security Number (SSN) | |
| Education Requirements | 120 semester hours | 150 semester hours |
| Experience Requirements | - | 1 year in public accounting or 2 years in the industry, business, government, or academia |
| Ethics Exam Requirement | Not required | Not required |
Contents
Alabama CPA License Requirements
Alabama CPA Exam Requirements
The Uniform CPA Exam is a digital licensure examination comprising of four parts that can be taken in any order. Each one is four-hour long with a passing grade of 75 points on a scale of 0-99. It examines your general accounting knowledge and prowess to ensure your eligibility for the certification.
The American Institute of Certified Public Accountants (AICPA) develops and scores the licensure test in cooperation with the National Association of State Boards of Accountancy (NASBA) and the state boards of accountancy.
You must clear all the sections of the examination within the rolling 18-month term. It begins from the date when you sit for the first qualified section.
- Regulation (REG CPA Exam)
- Business Environment & Concepts (BEC CPA Exam)
- Financial Accounting & Reporting (FAR CPA Exam)
- Auditing & Attestation (AUD CPA Exam)
| CPA Exam Section | Testlets | Question Types & Weightage | ||
| Multiple-choice Questions | Task-based Simulations | Written Communication Tasks | ||
| AUD | 5 | Yes | Yes | No |
| 50% | 50% | |||
| BEC | 5 | Yes | Yes | Yes |
| 50% | 35% | 15% | ||
| FAR | 5 | Yes | Yes | No |
| 50% | 50% | |||
| REG | 5 | Yes | Yes | No |
| 50% | 50% |
Eligibility Requirements
Here is the prerequisite checklist for the CPA Exam.
| Particulars | Requirements |
| General Pre-requisites | |
| U.S. citizenship (or prove legal presence) | Required |
| Minimum age | 19 years |
| Good moral character | Required |
| Educational Pre-requisites | |
| A baccalaureate degree with an accounting major from a regionally-authorized institute (like Southern Association of Colleges & Universities) | |
| Total required semester hours | 120 semester hours of post-secondary education (180 quarter hours) |
| Pathway 1 | Pathway 2 |
| Minimum 24 semester hours in non-introductory accounting courses at the upper-division (at least 300 level) undergraduate or graduate level | Graduate degree in accounting from a program authorized by the American Assembly of Collegiate Schools of Business (AACSB) or a comparable board-recognized organization |
Minimum 24 semester hours in undergraduate or graduate-level business courses (except accounting courses) in:
| - |
Submit the application, related fees, and documents to ASBPA. Kindly visit the official website for the complete process.
Fees
Let’s view the fee structure for first-time and re-exam candidates.
| Particulars | Examination Fees | First-time Applicant Fees | Re-exam Applicant Fees |
| Application Fee | - | - | - |
| Registration Fee | - | - | - |
| Exam sections | - | - | - |
| AUD | $238.15 | - | - |
| BEC | $238.15 | - | - |
| FAR | $238.15 | - | - |
| REG | $238.15 | $952.6 | $952.6 |
| Total Fees | $952.6 | $952.6 | $952.6 |
Candidates must pay the examination fee by money order, cashier’s check, or personal check in U.S. dollars payable to the Alabama State Board. Moreover, they can’t withdraw from the CPA exam.
All fees are non-refundable. So, only apply for the section(s) you aim to take in the next six months. Your Notice-to-Schedule (NTS) will expire afterward, leading to examination fee forfeiture.
Required Documents
Kindly submit the following documents at the time of application.
Applicants may send the official transcripts electronically.
Alabama CPA License Requirements
Alabama CPA Licensure applicants must meet the following conditions:
- Minimum 19 years of age
- U.S. citizenship/residency
- Good moral character
- SSN
- 150 semester hours of education (with a bachelor’s degree)
- Pass all exam sections with 75 points in each
- 1 or 2 years of work experience
Alabama candidates must apply for the CPA certificate after passing the exam and fulfilling other requirements except for the experience condition. After acquiring the certificate, they must submit the licensure application through ASBPA along with the associated fees ($100) and documents. For more details on the application process, please refer to the ASBPA portal.
Education Requirements
You must earn 150 semester hours accompanied by at least a bachelor’s degree with:
- Minimum 33 semester hours in upper-division accounting (minimum 300 level)
- Minimum 27 semester hours in business-related courses.
Ensure to complete the pre-requisite within 36 months after passing the last exam section. Also, you may earn the additional semester hours through any authorized institute (not necessarily a degree program).
Exam Requirements
Alabama CPA aspirants must pass all four exam sections with a minimum of 75 points in each. They have a rolling 18-month window to complete the examination. Further details are specified in the Alabama Exam Requirements section.
Experience Requirements
Candidates must complete one year of work experience in public accounting or two years of employment in the accounting domain in government, industry, business, or academia. The experience must be supervised by an active CPA or PA holding a valid license.
Qualifying services include:
- Attestation
- Accounting
- Consultation
- Compilation
- Management Advisory
- Financial Advisory
- Taxation
Continuing Professional Education (CPE)
Alabama CPA titleholders must renew their accounting license annually with 40 CPE credit hours. Ensure to obtain the required credits from programs provided by board-approved CPE sponsors.
Here lie all the details.
| Particulars | Details | ||
| Renewal Date for License | September 30 (Annually) | ||
| Reporting Period for CPE | October 1-September 30 (Annually) | ||
| Required CPE hours | 40 hours annually | ||
| Ethics Requirement | 2 hours | ||
| Other Requirements | 8 hours in accounting and auditing | ||
| Credit Limitations | Behavioral/Personal Development Courses | Maximum 12 hours | |
| Nano Learning | Maximum 25% of total hours | ||
| Published Materials | Maximum 50% of total hours | ||
| Credit Calculation | Instruction | CPE credit =2x presentation | |
| Partial Credit | Half credits are accepted after the first hour | ||
| University/College | 1 semester hour = 15 CPE hours | ||
| 1 quarter hour = 10 CPE hours | |||
| 1 classroom hour = 1 qualifying hour (non-credit courses) | |||
| Other State Policies | Exemption | The principal office of the licensee is located in the state with CPE requirements | Meet state-specific CPE requirements |
| The principal office of the licensee is located in the state without CPE requirements | Meet Alabama CPE requirements |
Alabama CPA aspirants must ensure to acquire U.S. citizenship or residency before applying for licensure. It will help them keep the focus on the preparation and avoid any last-minute hassle.
With an annual mean wage of $71,940 for accountants and a robust economy, Alabama opens several windows of opportunity for the CPAs. So, take a leap of faith and start prepping for this incredible journey as an Alabama candidate. However, don’t forget to keep a tab on the AICPA, NASBA, and Alabama state board websites for changes in the CPA exam and license requirements.
You may also subscribe to the ASBPA newsletter for instant updates. Also, check out important dates for the fiscal year 2021-22 on the ASBPA website. You may also learn more about CPEs for CPA
Alabama Exam Information & Resources
1. Alabama State Board of Public Accountancy (https://www.asbpa.alabama.gov/)
770 Washington Ave, Ste 226
Montgomery, AL 36104-3807
OFFICE MAILING ADDRESS:
Alabama State Board of Public Accountancy
PO Box 300375
Montgomery, AL 36130-0375
Ph(office): 334-242-5700
Fax: 334-242-2711
2. Alabama Society of CPAs (https://www.ascpa.org/)
1041 Longfield Court
Montgomery, AL 36117
PO Box 242987
Montgomery, AL 36124-2987
Ph: (800) 227-1711
(334) 834-7650
Fax: (334) 834-7603
3. Alabama Secretary of State (https://www.sos.alabama.gov/)
P.O. Box 5616 Montgomery, AL 36103-5616
Ph: (334) 242-7200
Fax: (334) 242-4993
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