P R A C T I C E A N D
R E G U L AT I O N O F
A C C O U N T A N C Y
P R O F E S S I O N
Regulation of the Accountancy Profession
• RA 9298 was approved on May 13, 2004 which regulated the act of
practice of accountancy in the Philippines. It supersedes Presidential
Decree no. 692, otherwise known the revised accountancy law.
• Objectives Of RA 9298
1. Standardization and regulation of accounting education
2. Examination for registration of CPAs
3. The supervision, control, and regulation of the practice of
accountancy in the Philippines
Organization
• Professional Regulation Commission (PRC) and Professional
Regulatory Board of Accountancy
It is the primary duty of PRC and BOA to enforce the provisions of
the RA 9298.
BOA shall assist the PRC in filling the appropriate charges for cases
of illegal practice or violations of RA 9298 through the concerned
prosecution office in accordance with law and rules of court
Accountancy
Public
Practice
Private Practice
Practice of Public Practice in Commerce Practice in Education/ Practice in the
Accountancy and Industry Academe Government
Public Practice Practice in Commerce and Practice in Government Practice in
Practice of Industry Education/Academe
Accounting and as A person holds a
a qualified person Person shall constitute position in an Constitute a person
to render 1. Involved in decision making accounting professional in educational
professional requiring professional group in government or institution which
services as a CPA knowledge in the science of any Government owned involves teaching of
to more than one accounting and/or controlled accounting, auditing,
client on a fee 2. When he/she represents corporation where management
basis. his/her employer before professional knowledge services, finance,
government agencies on in the science of regulatory
Existence of client- tax and other matters accounting or where framework for
service provider related to accounting civil service eligibility as transactions,
relationship. Entity 3. When such employment CPA is requisite taxation and other
(client) and CPA requires that the holder related subjects
(service provider) thereof must be CPA Difference between
who renders practice in government
services requiring and in commerce and
accounting and CPAs engaged in commerce industry is the employer
auditing skills and and industry should have a of the latter is a private
knowledge employer and employee entity where in
relationship. government is a GOCC
Professional Regulatory Board of
Accountancy
• BOA is composed of a chairman and six members.
• Vice Chairman shall be elected for a term of one year
• Moreover, the four 4 sectors in the practice of accountancy shall as
much as possible be equitably represented in BOA
Appointment Process
Accredited National
Professional Organization
(APO) / Philippine Institute PRC
of CPAs President
3 Nominees 1 Appointee
5 Nominees
Accreditation to Practice Public
Accountancy
• A certificate of Accreditation is issued by PRC upon the
recommendation by BOA pursuant to the revised rules and
regulations.
• CPAs must show evidence that they had acquired a minimum of
three years meaningful experience in any of the areas of public
practice including taxation
Meaningful Experience
• For commerce and Industry shall include significant involvement
in general accounting, budgeting, tax administration, internal
auditing, liaison with external auditors, representing his/her
employer before government agencies on tax and matters related to
accounting or any other related functions;
• Academe/Education shall include teaching for at least three
trimester or two semesters subjects. Provided, the accumulated
teaching experience on these subjects shall not be less than three
school years
Meaningful Experience
• Government shall include significant involvement in general
accounting, tax administration, internal auditing, liaison with PRC
on Audit or any other related functions
• Public Practice shall include at least one year as audit assistant
and at least two years as auditor in charge of audit engagement
covering full audit functions
Organizations Affecting Accountancy
Profession
Financial and Sustainability Reporting Standard Council (FRSC)
- A chairman and 15 members
BOA 1
COA 1
SEC 1
BSP 1
BIR 1
IC 1
FINEX 1
PICPA 8
TRUE OR FALSE
1. The accountancy act governs the accountancy education,
examination, registration and practice of accountancy in the
Philippines. - T
2. It is the primary duty of PRC, with support of BOA, to effectively
enforce or implement the provision of the accountancy act. - T
3. An employee in an accounting or auditing firm is considered to be
in the practice of public accountancy. - F
4. A dean of college that offers business and management programs,
including BSA program, must be a CPA - F
5. The certificate of registration of CPAs is renewable every three
years on the month and day of his birthday. - T
6. The FSRSC is composed of 14 members. - F
7. Three years of work in public practice are considered a meaning
experience by RA 9298. - T
8. The practice in commerce and industry should have a client-service
provider relationship. - F
9.FSRSC was established by Board of Accountancy - F
10. The Board of Accountancy has the power to remove one of its
member - F
