Printed Page 1840, Mar. 28
| Printed Page 1860, Mar. 28
|
Printed Page 1840, Mar. 28
| Printed Page 1860, Mar. 28
| Section 40-2-520. (A) No professional association, person, or partnership, other than a person or partnership holding a permit to practice issued pursuant to this article, may engage in the practice defined in Section 40-2-510 unless he or it plainly indicates on all signs, cards, letterheads, advertisements, and directories used to disclose his or its practice or business that he or it does not hold a license to practice under this article.
(B) No professional association, person, or partnership, other than a person or partnership holding a permit to practice issued pursuant to this article, may assume or use the title or designation `Accounting Practitioner' or any other title, designation, words, letters, abbreviation, sign, card, or device tending to indicate that the person is an accounting practitioner or that the partnership is composed of accounting practitioners or that the person, partnership, or professional association is authorized under this article to engage in the practice defined under Section 40-2-510.
Section 40-2-530. Nothing contained in this article:
(1) applies to a certified public accountant or public accountant who holds a license to practice issued under the law of South Carolina and no provision of this article applies to a partnership of certified public accountants or public accountants which holds a permit to practice issued under South Carolina authority;
(2) applies to a person, firm, or professional association which plainly indicates on all signs, cards, letterheads, advertisements, and directories used to disclose his or its practice or business that he or it does not hold a license to practice under this article;
(3) prohibits a person from serving as an employee of a person, partnership, or professional association if the employee does not engage in the practice defined in Section 40-2-510 on his own account;
(4) prohibits a person, partnership, or professional association from offering to prepare or from preparing a tax return with respect to taxes imposed by a governmental authority, whether federal, state, or local, and this article does not prevent a person from advising clients in connection with tax matters;
(5) prohibits a person, partnership, or professional association holding a license or permit issued by another state, territory, or the District of Columbia, which authorizes the person, partnership, or professional association to engage in the other jurisdiction in the type of practice described in Section 40-2-510, from temporarily practicing in this
(6) applies to the affixing of the signature or name of an officer, employee, partner, or principal of an organization to a statement or report in reference to the financial affairs of the organization with wording designating the position, title, or office which he holds in the organization, and the provisions of this article do not apply to an act of a public official or public employee in the performance of his duties;
(7) applies to the offering or rendering of data processing services by mechanical or electronic means or to the offering or rendering of services in connection with the operation, sale, lease, rental, or installation of mechanical or electronic bookkeeping or data processing equipment or to the sale, lease, rental, or installation of this equipment.
Section 40-2-540. The South Carolina Board of Accountancy shall examine, license, and discipline accounting practitioners. The board may charge a reasonable fee for examinations, not exceeding the fee charged for certified public accountants' examinations.
Section 40-2-550. In order to be eligible for licensing under this article as an accounting practitioner, an applicant may not hold another license granted under this chapter and must:
(1) not have any history of dishonest or felonious acts;
(2) be a resident of this State or have a place of business in this State, or, as an employee, be regularly employed in this State;
(3) be at least eighteen years of age; and
(4) meet one or more of these requirements:
(a) pass a written examination approved by the board, which is designed to test the applicant's basic knowledge of the subjects described in Section 40-2-510(1) and which may consist of two parts of the examination administered to certified public accountant applicants or another examination as the board may prescribe.
(b) have a bachelor's degree with a major in accounting as determined by the board from a four-year college or university accredited by the Southern Association of Colleges and Schools or from a college or university having equivalent standards as determined by the board.
(c) be licensed and hold a current annual permit to practice in this State as a certified public accountant or public accountant if the person surrenders his license and permit to practice as a certified public accountant or public accountant upon being licensed as an accounting practitioner.
(B) Permits to engage in the practice defined in Section 40-2-510 must be issued by the board for annual periods expiring on the last day of June to persons and partnerships as follows:
(1) A person holding a license issued pursuant to Section 40-2-510(1)(a), upon payment of a permit fee in an amount to be determined by the board. The board may reduce or waive the fee in case of illness, mental or physical incapacity, retirement from practice, or for similar situations. Failure of a licensee to pay the fee for a permit to practice within three years from the expiration date of the permit to practice last obtained or used or within three years from the date upon which the licensee was granted the license if no permit was ever issued to the person, deprives the person of the right to the permit unless the board determines the failure to have been caused by excusable neglect. The decision of the board is final. A renewal fee for the issuance of the original license must be in an amount the board determines.
(2) Partnerships, without payment of a permit fee, which meet the following standards:
(a) At least one general partner must be an accounting practitioner of this State in good standing;
(b) Each partner personally engaged within this State in the practice defined in Section 40-2-510 must be an accounting practitioner of this State in good standing;
(c) Each partner must be lawfully engaged in the practice, as defined in Section 40-2-510, in some state of the United States;
(d) Each resident manager in charge of an office must be an accounting practitioner of this State in good standing.
(3) File with the secretary of the board on a form prescribed by the board for this purpose a certificate of compliance with the continuing education requirements necessary for license renewal as required by Section 40-2-380. In case of default in the payment of the license fee by a person, Section 40-2-280 applicable to certified public accountants and public accountants applies in all respects to accounting practitioners.
Section 40-2-570. (A) After notice and hearing pursuant to Section 40-2-310 the board may revoke a license or permit as accounting practitioner issued under this article; suspend a license or permit for a period of not more than five years; reprimand, censure, or limit the scope of practice of a license or permit holder; impose an administrative fine not exceeding one thousand dollars; or place a license or permit holder on
(1) fraud or deceit in obtaining a license or permit;
(2) cancellation, revocation, or suspension of, or refusal to renew authority to engage in the practice of public accountancy in another state, territory of the United States, or the District of Columbia for any cause;
(3) revocation or suspension of the right to practice before a state or federal agency;
(4) dishonesty, fraud, or gross negligence in the practice of public accounting or in filing or failure to file the license or permit holder's own income tax return;
(5) violation of a provision of this article or Article 1 or a regulation promulgated by the board under the authority granted by this chapter;
(6) violation of a rule of professional conduct promulgated by the board under the authority granted by this chapter;
(7) conviction of a felony, or any crime an element of which is dishonesty or fraud, under the laws of the United States, of this State, or another state if the acts involved would have constituted a crime under the laws of this State. The record of conviction or a copy of the record, certified by the clerk of court or the judge in whose court the conviction is had, is conclusive evidence of the conviction and `conviction' shall include a plea of guilty or a plea of nolo contendere;
(8) performance of a fraudulent act while holding a license or permit under this article; or
(9) conduct reflecting adversely upon the license or permit holder's fitness to engage in the practice of public accountancy.
(B) In lieu of or in addition to a remedy specifically provided in subsection (A), the board may require one or more of the these requirements of a license or permit holder:
(1) a quality review conducted in a fashion as the board may require; or
(2) satisfactory completion of continuing professional education programs as the board may specify.
A `quality review' means a study, appraisal, or review of one or more aspects of the professional work of a person or firm in the practice of public accountancy by a person or persons who hold certificates or licenses and who are not affiliated with the person or firm being reviewed.
(C) In a proceeding in which a remedy imposed by subsections (A) and (B) is imposed, the board also may require the respondent license or permit holder to pay the costs of the proceeding.
Section 40-2-590. A person who violates a provision of this article is guilty of a misdemeanor and, upon conviction, must be fined not less than fifty dollars or more than two hundred dollars or imprisoned not less than twenty days or more than sixty days. Each violation constitutes a separate offense and each day's violation constitutes a separate offense.
Section 40-2-600. Nothing contained in this article may be construed to prohibit the formation of partnerships by and between public accountants and accounting practitioners if all members of the partnerships and all resident managers of offices of the partnerships are licensed under this chapter as public accountants or accounting practitioners and if the partnerships apply for an annual permit in the manner prescribed in this article for other partnerships."/
Amend further, SECTION 2, page 43, beginning with line 31, by striking Chapter 1, and inserting:
Section 40-1-10. (A) The right of a person to engage in a lawful profession, trade, or occupation of choice is clearly protected by both the Constitution of the United States and the Constitution of the State of South Carolina. The State cannot abridge this right except as a reasonable exercise of its police powers when it is clearly found that abridgement is necessary for the preservation of the health, safety, and welfare of the public.
(B) No statute or regulation may be imposed under this article upon a profession or occupation except for the exclusive purpose of protecting the public interest when the:
(1) unregulated practice of the profession or occupation can harm or endanger the health, safety, or welfare of the public and the potential for harm is recognizable and not remote or dependent upon tenuous argument;
(2) practice of the profession or occupation has inherent qualities peculiar to it that distinguish it from ordinary work or labor;
(4) public is not effectively protected by other means.
(C) If the General Assembly determines that a particular profession or occupation should be regulated or that a different degree of regulation should be imposed on the regulated profession or occupation, it shall consider the following degrees of regulation in the order provided and only shall regulate the profession or occupation to the degree necessary to fulfill the need for regulation:
(1) If existing common law and statutory causes of civil action or criminal prohibitions are not sufficient to eradicate existing harm or prevent potential harm, the General Assembly first may consider making statutory changes to provide stricter causes for civil action and criminal prosecution.
(2) If it is necessary to determine the impact of the operation of a profession or occupation on the public, the General Assembly may consider implementing a system of registration.
(3) If the public requires a substantial basis for relying on the professional services of the practitioner, the General Assembly may consider implementing a system of certification.
(4) If adequate regulation cannot be achieved by means less than licensing, the General Assembly may establish licensing procedures.
(D) In determining the proper degree of regulation, if any, the General Assembly shall determine:
(1) whether the practitioner, if unregulated, performs a service to individuals involving a hazard to the public health, safety, or welfare;
(2) what the opinion of a substantial portion of the people who do not practice the particular profession, trade, or occupation is on the need for regulation;
(3) the number of states which have regulatory provisions similar to those proposed;
(4) whether there is sufficient demand for the service for which there is no regulated substitute, and this service is required by a substantial portion of the population;
(5) whether the profession or occupation requires high standards of public responsibility, character, and performance of each individual engaged in the profession or occupation, as evidenced by established and published codes of ethics;
(7) whether the professional or occupational associations do not adequately protect the public from incompetent, unscrupulous, or irresponsible members of the profession or occupation;
(8) whether current laws which pertain to public health, safety, and welfare generally are ineffective or inadequate;
(9) whether the characteristics of the profession or occupation make it impractical or impossible to prohibit those practices of the profession or occupation which are detrimental to the public health, safety, and welfare;
(10) whether the practitioner performs a service for others which may have a detrimental effect on third parties relying on the expert knowledge of the practitioner.
Section 40-1-20. As used in this title unless the context requires a different meaning:
(1) `Administrator' means the individual to whom the director has delegated authority to administer the programs of a specific board or of a professional or occupational group for which the department has regulatory authority or has delegated authority to administer the programs of a specific board;
(2) `Authorization to practice' or `Practice authorization' means the approval to practice the specified profession, engage in the specified occupation, or use a title protected under this article, which has been granted by the applicable board. This authorization is granted in the form of a license, permit, certification, or registration;
(3) `Board' or `Commission' means the group of individuals charged by law with the responsibility of licensing or otherwise regulating an occupation or profession within the State. Except as otherwise indicated, `board' is used in this article to refer to both boards and commissions;
(4) `Department' means the Department of Labor, Licensing and Regulation;
(5) `Director' means the Director of the Department of Labor, Licensing and Regulation or the director's official designee;
(6) `Licensee' means a person granted an authorization to practice pursuant to this article and refers to a person holding a license, permit, certification, or registration granted pursuant to this article;
(7) `Licensing act' means the individual statute or regulations, or both, of each regulated profession or occupation which include, but are not limited to, board governance, the qualifications and requirements for authorization to practice, prohibitions, and disciplinary procedures;
(9) `Profession' or `occupation' means a profession or occupation regulated or administered, or both, by the department pursuant to this article.
Section 40-1-30. It is unlawful for a person to engage in a profession or occupation regulated by a board or commission administered by the Department of Labor, Licensing and Regulation without holding a valid authorization to practice as required by statute or regulation.
An authorization to practice issued pursuant to this title is valid for up to two years and is renewable on renewal dates as established by the Director of Labor, Licensing and Regulation with the consent of each applicable regulatory board.
Section 40-1-40. (A) The purpose of the Division of Professional and Occupational Licensing, South Carolina Department of Labor, Licensing and Regulation, is to protect the public through the regulation of professional and occupational licensees and the administration of boards charged with the regulation of professional and occupational practitioners.
(B) The following boards and the professions and occupations they license or otherwise regulate must be administered by the Department of Labor, Licensing and Regulation pursuant to this article:
Board of Accountancy
Board of Architectural Examiners
Athletic Commission
Auctioneers Commission
Board of Barber Examiners
Board for Barrier-Free Design
Building Code Council
Board of Chiropractic Examiners
Contractors' Licensing Board
Board of Cosmetology
Board of Dentistry
Engineers and Land Surveyors Board
Environmental Certification Board
Board of Registration for Foresters
Board of Funeral Service
Board of Registration for Geologists
Manufactured Housing Board
Board of Medical Examiners
Modular Buildings Board of Appeals
Board of Nursing
Long Term Health Care Administrators Board
Board of Examiners in Opticianary
Board of Examiners in Optometry
Board of Pharmacy
Board of Physical Therapy Examiners
Pilotage Commission
Board of Podiatry Examiners
Board of Examiners for Licensure of Professional Counselors and Marital and Family Therapists
Board of Examiners in Psychology
Board of Pyrotechnic Safety
Real Estate Appraisers Board
Real Estate Commission
Residential Builders Commission
Board of Social Work Examiners
Board of Examiners in Speech-Language Pathology and Audiology
Board of Veterinary Medical Examiners
(C) Each regulatory board within the department is a separate board.
(D) The Department of Labor, Licensing and Regulation is a member of the Governor's executive cabinet and must be headed by a director who must be appointed by the Governor with the advice and consent of the Senate, subject to removal from office by the Governor pursuant to Section 1-3-240(B). The director shall supervise the department under the direction and control of the Governor and shall exercise other powers and perform other duties as the Governor requires.
Section 40-1-45. The department, in consultation with currently serving board members, the Office of the Governor, members of professional and industry associations, and the general public shall encourage public and consumer membership and participation on all boards and panels associated with the department. Public and consumer membership may not include current or former, active or inactive members of the profession or occupation being regulated. Public and consumer members have the same rights and responsibilities as professionally or occupationally-related board members and shall participate fully in all discussions, deliberations, decisions, and votes of the board or panel on which they serve unless otherwise prohibited by statute or regulation.
Section 40-1-50. (A) The department is responsible for all administrative, fiscal, investigative, inspectional, clerical, secretarial, and license renewal operations and activities of the boards and commissions enumerated in Section 40-1-40.
The director shall establish compensation for personnel assigned to the boards as the director considers necessary and appropriate for the administration of this article. Compensation and necessary expenses incurred in the performance of duties by personnel assigned to the board must be paid as an expense of the board in the administration of this article.
The director shall enter into contracts and agreements the director considers necessary or incidental to carry out the provisions of this article to provide for all services required by each board.
Board members must be compensated for their services at the usual rate for mileage, subsistence, and per diem as provided by law for members of state boards, committees, and commissions and may be reimbursed for actual and necessary expenses incurred in connection with and as a result of their work as members of the board. The director, within the limits set by the Comptroller General, shall establish reimbursement standards for travel and other expenses incurred by a board member in the performance of the board member's official duties. Compensation and reimbursements paid to board members under this subsection must be paid as an expense of the board in the administration of this article and the board's chapter and must be paid from the fees received by the board pursuant to the provisions of this article or in a manner prescribed by the Department of Labor, Licensing and Regulation.
The director shall maintain a separate account for funds collected on behalf of a board and shall indicate the expenses allotted to the board. The director shall adjust fees for revenue-funded boards in accordance with Section 40-1-50 (D).
The director annually shall prepare a report to the Governor and the General Assembly indicating those regulated trades, occupations, and professions that do not meet the spirit and intent of Section 40-1-10.
The director may perform any additional administrative functions requested by the boards.
Printed Page 1840, Mar. 28
| Printed Page 1860, Mar. 28
|