North Carolina CPA Exam and License Requirements

Publication Date :

14 May, 2023

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North Carolina CPA Exam

North Carolina CPA (Certified Public Accountant) License officially sanctions eligible accountants to discharge duties as a CPA. North Carolina has a distinct set of requirements to obtain the license, including 150 semester hours of education, one year of work experience, and passing the ethics and the CPA exams.

The North Carolina State Board of CPA Examiners is the official body that grants the CPA License to qualified professionals in the state. Note that the U.S. jurisdiction adheres to the one-tier licensing method. It implies that the state board doesn’t issue the CPA certificate on passing the CPA Exam. Rather, it grants the license only after all the licensing prerequisites are met.

North Carolina (NC) is not involved in the international administration of the CPA Exam program. So now, let’s explore the North Carolina CPA exam and license requirements in detail.

Contents

North Carolina CPA Exam Requirements

Eligibility Requirements
Fees
Required Documents

North Carolina CPA License Requirements

Education Requirements
Exam Requirements
Experience Requirements

Continuing Professional Education (CPE)

North Carolina Exam Information & Resources

North Carolina CPA Exam Requirements

Here lies everything about the NC CPA Exam:

Particulars	Details
CPA Exam Sections	Auditing & Attestation (AUD)
Business Environment & Concepts (BEC)
Financial Accounting & Reporting (FAR)
Regulation (REG)
Question Types	Multiple-choice questions (MCQs)
Task-based simulations (TBSs)
Written communication tasks (WCTs)
Exam Time Frame	18-month period (beginning from the testing date of the first passed section)
Exam Mode	Online
Testing Model	Continuous testing
Regulatory Body	The American Institute of Certified Public Accountants (AICPA)
The National Association of State Boards of Accountancy (NASBA)
Prometric
Passing Score	75 points in each section on a scale of 0-99
Testlets	Five
Exam Duration (per section)	Four hours
Prometric Testing Centers	Six

Eligibility Requirements

General Requisites

Candidates must:

Be minimum of 18 years of age with good moral character
Be a U.S. citizen (or have declared the intent to become one)
Be a resident alien or a citizen of any foreign jurisdiction that provides North Carolina citizens similar privileges to be examined

Educational Requisites

A bachelor’s degree (120 semester hours) with a concentration in accounting from a regionally authorized college or university, including one of the following:

Minimum 30 semester hours of undergraduate-level courses with
- Maximum 6 semester hours in Accounting Principles
- Maximum 3 semester hours in Business Law
Minimum 20 semester hours of graduate-level accounting courses open exclusively to graduate students
A combination of undergraduate and graduate courses equivalent to the requirements mentioned above

Accounting courses must include:

Principles courses at the elementary, intermediate & advanced levels
Business Law
Fund Accounting
Auditing
Managerial Accounting
Taxation
Cost Accounting

North Carolina CPA Exam Education Requirements

Candidates currently enrolled in college can take the exam on fulfilling the minimum accounting requirements. However, they must receive the bachelor’s degree within 120 days after the board gets their application.

Submit the CPA exam application, associated fees, and required documents to the North Carolina State Board of CPA Examiners.

Fees

Here lies the fee structure for both first-time and re-exam candidates.

Particulars	Examination Fees	Initial Exam Applicant Fees	Re-examination Candidate Fees
Administration Fees	-	$230	$75
Exam sections	-	-	-
AUD	$195.35	-	-
BEC	$176.25	-	-
FAR	$195.35	-	-
REG	$176.25	$743.2	$743.2
Total Fees	$743.2	$973.2	$818.2

You must attempt the applied CPA exam section(s) within six months of the Notice-To-Schedule (NTS) issuance date. Or else, the NTS will expire, and all fees will stand forfeited.

Required Documents

Candidates must submit the following documents:

Documents	Submission
General Requirements	-
Two 2x2 inches identical photographs (with the full name written on the back)	Candidate
Certificate of Moral Character	Candidate
Official transcript(s)/E-transcripts (originals, not photocopies)	Institute
Special Cases	-
International Evaluation Summary (candidates with non-U.S.-based education)	NASBA International Evaluation Services (NIES)
Testing Accommodations Request Form	Candidate
Citizenship proof (non-U.S. citizens)	Candidate
Proof of resident alien status (non-U.S. citizens)	Candidate

NC exam applicants must get direct approval from the state board to apply for the NIES Evaluation Report.

North Carolina CPA License Requirements

Let’s view the checklist for North Carolina CPA License:

Apply for the CPA License through the North Carolina State Board of CPA Examiners after passing the CPA Exam and meeting all other requirements. Please check the state board website for the complete process. Also, know that the NC state board conducts a criminal background check of applicants.

Ensure to attach the following documents with the application form:

Three certificates of good moral character
Appropriate experience affidavit(s)
Educational transcript(s)
A photograph meeting U.S. passport standard
Licensure fees ($100)

Education Requirements

You must hold a bachelor’s degree with a concentration in accounting and 150 semester hours from a board-approved institution. In addition, you must earn the initial 120 semester hours to attempt the CPA Exam. The remaining 30 hours are required for licensure.

The 150 semester hours include:

24 semester hours of coursework with one 3-hour course in at least 8 of the following fields of study:
- Computer Technology
- Communications
- Ethics
- Economics
- Humanities/Social Science
- Finance
- Law
- International Environment
- Management
- Law
- Statistics

Applicants with at least a master’s degree in accounting, tax, law, finance, economics, business administration, or a law degree from an authorized institution must meet the 24-semester hour requisite.

Exam Requirements

Candidates must complete the CPA Exam with a minimum of 75 points in each of the four exam sections. They have a rolling 18-month period to pass the licensure test. Further information is specified in the North Carolina CPA Exam Requirements section.

Experience Requirements

NC CPA licensure applicants must meet one of the following work experience pre-requisites:

One year of accounting under the direct supervision of an active CPA
Four years of teaching accounting in a four-year authorized institute
Four years of accounting experience
Four years of teaching college transfer accounting courses at an authorized community college or technical institute
Any combination of such experience as deemed sufficient by the state board

Note that applicants must acquire the necessary work experience before they apply for licensure. One year of work experience consists of 52 weeks of full-time employment, i.e., a minimum of 30 hours per week for at least one year.

Submit the experience affidavit to the state board along with the licensure application. The part-time work experience affidavits with less than 30 hours per week must include a record of the actual hours you performed accounting services.

Ethics Exam Requirements

NC CPA aspirants must complete an eight-hour course on the NC Accountancy Statutes and Rules, including the Rules of Professional Ethics and Conduct, within one year before applying for the license.

The NC Association of CPAs provides two qualifying courses:

One-day group study seminar - Ethics Principles & Professional Responsibilities
Online self-study course - North Carolina Law Course: Ethics, Principles, & Professional Responsibility for North Carolina License Applicants

Continuing Professional Education (CPE)

North Carolina CPA titleholders must earn 2000 minutes annually to meet the CPE requirements. In addition, the state accepts the required credits for programs offered by NASBA National Registry Sponsors.

Check out all the details here.

Particulars	Details
Renewal Date	June 30 (annually)
CPE Credit Reporting Period	January 1-December 31 (annually)
Total CPE Hours Required	2000 minutes every year
Ethics Requirement	50 minutes from a sponsor registered with NASBA
Credit Limitations	Instruction	Maximum 50% of total minutes
Published Materials	Maximum 25% of total minutes
Self-Study	Credit based on the number of minutes required for course completion
Credit Calculation	Instruction	Credit = Presentation plus Preparation
Partial Credit	Acceptable
University/College	1 semester hour = 750 CPE minutes
1 quarter hour = 500 CPE minutes
Other State Policies	Carryover	Maximum 1000 minutes (cannot be used for meeting ethics requirements)
Exemption	Non-resident licensees must satisfy the CPE requirements of their place of residence
Non-resident licensees must satisfy NC CPE requirements (if no annual CPE requirements of the place of jurisdiction)
Non-resident licensees with primary office in NC	Meet NC Ethics Requirements
All other non-resident licensees	Complete the ethics requirements of their state
If no ethics requirement in their state, comply with the NC Ethics Requirement

Being one of the most business-friendly states in the U.S., North Carolina offers greener pastures for accounting professionals. So, accountants with CPA licenses have excellent prospects with regard to pay and career growth in this state. The average annual base pay for CPAs in North Carolina is $70,632.

Moreover, ensure to attain or apply for the state residency as soon as you plan to get licensed in NC. Also, keep a check on the AICPA, NASBA, and the North Carolina State Board website for changes to the state's CPA exam and license requirements. You may learn more about CPEs for CPAs here.