Minority Non-CPA Firm Ownership Now Law in Connecticut
On June 15, Governor Dannel P. Malloy signed HB 5025, “An Act Concerning the Ownership of Public Accounting Firms” into law as Public Act 12-194, “An Act Concerning the Ownership of Public Accounting Firms and the Use of the Title ‘Certified Public Accountant.’” The law shall take effect on July 1, 2012.
The law allows minority equity ownership of CPA firms by non-CPA individuals who are actively engaged in the servicing of clients or the administration of the firm, up to a maximum total of 49 percent. Connecticut became the 49th jurisdiction to provide for minority non-CPA ownership of firms.
HB 5025 was supported by both the Connecticut State Board of Accountancy and the Connecticut Society of CPAs, and was included in a package of legislature submitted to the General Assembly by the Office of the Secretary of the State.