Practicing as a "Public Accounting Firm" vs a "CPA Firm"

AS STATED BY THE BOARD OF ACCOUNTANCY

ROBERT C. OLIVIERI, JR., P.C., license
no. AF-000218-L, of Bensalem, Bucks
County, had its license suspended for failing
to pay a $1,000 civil penalty imposed by the
Board on February 11, 2004, for practicing
as a public accounting firm without a current
license. Termination of the suspension
is conditioned on the firm’s payment of the
civil penalty (4/14/04)(O).

That information was taken from the Summer of 2005
Pennsylvania State Board of Accountancy newsletter.

APPARENT INACCURACIES, ERRORS OR OMISSIONS

It is my understanding, based on research and
business experience, that any group of
individuals, all with accounting degrees,
may form a "Public Accounting Firm" for the
purpose of servicing the general public.

However, this "Public Accounting Firm" may not
hold itself out as a "CPA Firm", where the
majority of shareholders, of the firm, are
all current licensed CPA's.

A "CPA Firm", and not a "Public Accounting Firm",
may represent the general public before the
Internal Revenue Service.

The firm of Robert C Olivieri, JR PC is only
allowed to perform accounting services. And,
they are not considered a "CPA Firm" unless the
majority of its shareholders are current
licensed CPA's.

As such, it appears, there should not have
been an assessed civil penalty.
.