Society Blog
In This Section

Status Report: Indiana's 120-Credit Hours to Sit Rule — Where It's At In The Process


Jan 4, 2023

Students taking the CPA Exam

Quick Background:

This proposed rule incorporates changes to the CPA Exam and makes way for CPA Evolution. The rule removes Exam section names and windows, allows continuous testing and retaking of a failed section, and moves Indiana into the group of 47 jurisdictions that allows candidates to sit for the Exam at 120-credit hours.

"Most states — and all the ones adjacent to Indiana — have already adopted this rule, so there's a competitive barrier there," said INCPAS Government Relations Advisory Council member Tom Bayer, CPA, CExP. "In addition, colleges and universities are starting to plan curriculums so that in their fifth year, students can start focusing on the CPA Exam. This would enable more students to come out of college with the CPA Exam partially or fully completed, which would be huge for our profession."

As the Society works with the Board of Accountancy and required agencies, we will keep members updated on the progress and when students are finally allowed to sit for the CPA Exam at 120-credit hours.

Check for the most current status updates below.

###

January 4, 2023

The Indiana Board of Accountancy recently approved a policy to clarify how many minimum hours of accounting and business administration coursework will be accepted in order for a candidate to sit for the CPA Exam. What this means: Candidates must have at least 120 credit hours, including at least one credit in accounting or business administration to sit for the Exam. 

###

November 2, 2022

Effective today, Indiana students are now eligible to sit for the CPA Exam at 120-credit hours (although 150 hours is still required for licensure).

Students/candidates can learn more about the eligibility requirements to sit for the CPA Exam here(Please note, it may take a day or so for NASBA to update this page to reflect this change).

###

October 6, 2022

The INCPAS Advocacy team is excited to report Gov. Holcomb signed the 120-to-sit rule. The last step in the process was for the Indiana Register to publish the rule. The rule will become effective 30 days from publication, which puts the expected rule change effective date as Nov. 2. Look for additional information in the coming days as we near the effective date. If you have questions, please reach out to Ali Paul or Sherrill Rude.

###

July 29, 2022

Today the Indiana Board of Accountancy held a public hearing for the 120-to-sit and CPA Exam changes rule. The Indiana CPA Society, the AICPA and NASBA submitted letters in support of these rule changes. There were no comments in opposition of this rule change. The Indiana Board of Accountancy unanimously approved the rule. 

While students and candidates are anxious to begin sitting for the CPA Exam at 120 hours, there are still a few more steps in the process. Next, the rule will be sent to the Indiana Attorney General's office. The AG has up to 45 days to approve the rule. If no action is taken within the 45 days, it is assumed approved and moves to the Governor’s Office who has 15 days – plus an extra 15, if requested – to approve. 

Finally, the Indiana Register will publish the rule and it will become effective 30 days after publish date. While the final date is not set in stone, we estimate the rule will be finalized in a maximum of 105–115 days, around November 11–16, 2022. 

As a reminder, once students and candidates can sit at 120 credit hours, they will still need to obtain 150 hours for licensure. We will keep members update on the status of this rule. 


###

April 28, 2022

On March 26, we shared a letter addressed to the Indiana Board of Accountancy and Indiana Professional Licensing Agency. In it, we expressed our support of the “120 To Sit” draft rule that would be printed in the Indiana Register that same afternoon. We were able to draft our comments of support, because the language that was to be printed should have been the same language that was approved by the Indiana Board of Accountancy at their April 18 meeting. Unfortunately, it was not.

Upon review of LSA document # 22-93, we discovered critical language had erroneously been omitted. Namely, the draft section which would allow students to begin sitting at 120 hours was missing. Other changes — important changes — were included, and while we still offer support for that language, it is simply incomplete.

This is a bump in the road. It means a slight delay. We don’t have to begin the process anew; but, we do have to take a few steps back. The Society and our advocacy team is working closely with the Board and Professional Licensing Agency to manage this setback. What does that mean?

  • The proposed rule uploaded to the Indiana Register will be recalled.
  • The document will be removed from the Register on May 4.
  • Public notice in the Indianapolis Star will also be revised.
  • The public hearing originally scheduled for May 20 is cancelled, as it will no longer satisfy requirements of a 21-day notice.
  • Board of Accountancy members and PLA staff are working to reschedule the public hearing as soon as possible, while fulfilling notice requirements.

As we have updates, we will share them. We share in your frustration and ask for your continued trust in our advocacy team to get this across the goal line.

###

April 27, 2022


INCPAS submitted this letter to the Board of Accountancy and Indiana Professional Licensing Agency in support of the current "120 To Sit" draft rule, which includes comments in advance of the Public Hearing on May 20 at 9:30 a.m. ET. 

The Public Hearing is our next step in the regulatory process of implementing a bill we successfully introduced and got passed in the 2021 Legislative Session to help address pipeline issues. Members from the INCPAS Government Relations Advisory Council and INCPAS President & CEO, Courtney Kincaid, CAE, will represent the profession at the hearing.

###

February 25, 2022

The Indiana Board of Accountancy officially approved the draft rule as written.

We will work with the Office of Management & Budget (OMB) and Indiana Professional Licensing Agency (IPLA) counsels to finalize 872 IAC 1-1-9.5 pg 8 lines 12-24. 

Additionally, we will work with IPLA and NASBA to implement the rule as soon as it is published.  At that point Indiana candidates will be able to sit at 120.

Additional next steps include:

  • Indiana Professional Licensing Agency (IPLA) to send the draft rule, request for exception to the rule moratorium, economic impact statement, fiscal impact statement and cost benefit analysis to Office of Management & Budget (OMB).
  • Once exception is approved by OMB, IPLA issues a Notice of Intent to Indiana Register. Must wait 28 days.
  • Indiana Register sends rule to Legislative Services Agency (LSA), where a document LSA number is assigned
  • A public hearing date is set and notice of the hearing is published. 21-day process.
  • Board of Accountancy makes any amendments necessary for their approval.
  • Final proposed rule goes to Attorney General’s Office (AG). 45 days to approve or deny.
  • If AG approves, it goes to Governor’s office. Has 15 days to approve; can request extension of 15 days.
  • If approved, it is published in Indiana Register and effective 30 days after the publish date.
###

December 28, 2021

The INCPAS advocacy team is excited to announce the Board of Accountancy reviewed and approved the proposed 120-Credit Hours to Sit for the CPA Exam and Exam changes draft rule.

A request now goes to the Office of Management & Budget and then the Governor's office for their additional review of the rule. We will keep you posted as the rule goes through "promulgation" — the process of putting a regulation into effect — which can range from 12–18 months.

Once the rule is finalized, it will be a crucial win for removing barriers of time and expense for students who wish to pursue the CPA license. Review the four reasons behind the change to 120-Credit Hours.




Leave a comment