As of May 2025, several U.S. states have enacted or proposed changes to their Certified Public Accountant (CPA) licensure requirements. These modifications aim to address the growing shortage of accountants by providing more flexible pathways to licensure. Here’s a summary of the states that have implemented or are considering changes:
States with Enacted CPA Licensure Changes
Ohio
- Effective Date: January 1, 2026
- New Pathways:
- Bachelor’s degree + 2 years of relevant experience + CPA Exam
- Master’s degree + 1 year of experience + CPA Exam
- Additional Changes: Allows CPAs from other states to practice in Ohio without additional certification, enhancing interstate mobility.
Virginia
- Effective Date: January 1, 2026
- New Pathways:
- Bachelor’s degree + 2 years of relevant experience + CPA Exam
- Bachelor’s degree + 30 additional credit hours + 1 year of experience + CPA Exam
- Master’s degree + 1 year of experience + CPA Exam
- Note: All candidates must complete 24 upper-level accounting credits and 24 business credits.
Utah
- Effective Date: July 1, 2026
- New Pathway:
- Bachelor’s degree + 2 years of professional experience + CPA Exam
- Change: Removes the 150-credit-hour education requirement, offering an alternative route to licensure.
Colorado
- Effective Date: December 15, 2024
- Key Updates:
- Internship hours can now count toward both educational credit and the 1,800-hour work experience requirement.
- Audit coursework requirement reduced from 6 to 3 credit hours focusing on U.S. GAAS.
- Elimination of the mandatory 3-credit ethics course, though ethics remains integrated into curricula.
Illinois
- Effective Date: January 1, 2027
- Two New pathways:
- Bachelor’s degree with 120 credit hours + 2 years of relevant experience + CPA Exam
- Master’s degree + 1 year of experience + CPA Exam
Georgia
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Effective Date: January 1, 2026
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New Pathways:
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Bachelor’s degree in accounting + 2 years of relevant experience + CPA Exam
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Master’s degree in accounting or taxation + 1 year of relevant experience + CPA Exam
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Additional Changes: Broadens practice privilege mobility, allowing out-of-state CPAs with licenses in good standing to practice in Georgia without obtaining a separate state license, provided they meet Georgia’s education requirements and have passed the national CPA Exam.
Connecticut
- Aim Effective Date: October 1, 2025
- New Pathways:
- Master’s degree + 1 year of experience + CPA Exam
- Bachelor’s degree + 30 additional credit hours + 1 year of experience + CPA Exam
- Bachelor’s degree + 2 years of experience + CPA Exam
States with Proposed or Pending CPA Licensure Changes
Texas
- Proposed Pathway:
- Bachelor’s degree + 2 years of work experience + CPA Exam
- Status: Awaiting legislative approval; proposed effective date is January 1, 2027.
Pennsylvania
- Proposal: New pathway allowing licensure with a bachelor’s degree (120 credits) + 2 years of relevant experience + CPA Exam
- Status: Legislation introduced with bipartisan support; pending approval.
Tennessee
- Proposed Pathways:
- Bachelor’s or master’s degree with 150 credit hours + 1 year of experience + CPA Exam
- Bachelor’s degree with 120 credit hours + 2 years of experience + CPA Exam
- Status: Under legislative consideration.
Minnesota
- Proposal: Adds a second pathway allowing licensure after 120 credit hours and 2 years of experience, alongside the existing 150-hour requirement.
- Status: Pending legislation; supported by the Minnesota Society of CPAs.
Arkansas
- Proposal: Introduces a second pathway with 120 credit hours and 2 years of experience, in addition to the existing 150-hour requirement.
- Status: Pursuing rule changes; supported by the Arkansas State Board of Public Accountancy.
California
- Proposal: Considering two new pathways:
- Master’s degree in accounting, tax, or laws in taxation + 1 year of experience
- Bachelor’s degree with accounting concentration or non-accounting degree with accounting courses + CPA Exam
- Status: Recommendations to be presented to the California Board of Accountancy.
New Hampshire
- Proposal: Considering a rule to create a second pathway to licensure.
- Status: Language not yet released; under consideration.
South Carolina
- Proposal: Legislation specifying alternatives to the 150-hour requirement and allowing CPAs from other states to practice without 150 hours of education.
- Status: Proposed; details pending.
Florida
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Proposed Pathways:
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Master’s degree in accounting/finance + 1 year of experience + CPA Exam
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Bachelor’s degree in accounting/finance + 2 years of experience + CPA Exam
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Bachelor’s degree in any field with accounting/finance coursework + 2 years of experience + CPA Exam
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Status: Senate Bill 160 passed unanimously in the Senate but was indefinitely postponed in the House. The Florida Institute of CPAs (FICPA) continues to advocate for these changes.
Iowa
- Proposed Pathway:
- Bachelor’s degree + 2 years of work experience + CPA Exam
- Status:
- Pending legislative action; the Iowa Society of CPAs (ISCPA) has formed a task force to explore alternative licensure pathways, including reducing the 150-credit-hour requirement. The task force’s recommendations are under review, and discussions with legislators are ongoing.
Connecticut
- Proposed Pathways:
- Master’s degree + 1 year of experience + CPA Exam
- Bachelor’s degree + 30 additional credit hours + 1 year of experience + CPA Exam
- Bachelor’s degree + 2 years of experience + CPA Exam
- Status:
- The Connecticut Society of CPAs (CTCPA) has proposed multiple licensure pathways to provide flexibility while maintaining rigorous standards. These proposals aim to ease entry into the profession without compromising quality. CTCPA is also advocating for reduced licensing fees and improved CPA mobility across states. Discussions with state lawmakers are ongoing, and formal legislative action is anticipated.
New York
- Proposed Pathways:
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Bachelor’s degree + 2 years of relevant experience + CPA Exam
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Master’s degree + 1 year of experience + CPA Exam
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- Additional Changes:
- The New York State Board for Public Accountancy is reviewing alternative pathways to licensure to address workforce shortages and improve accessibility. Discussions include recognizing supervised experience in non-traditional settings and increasing flexibility in educational requirements. No formal rule changes have been enacted yet.
Multi-front Efforts Address CPA and Accountant Shortage
The evolving landscape of CPA licensure across the United States reflects a strategic response to the profession’s growing talent shortage and the need for greater flexibility. These changes reflect a nationwide effort to make the CPA profession more accessible while maintaining high standards. AICPA, state CPA societies, CPA firms and the Controllers Council have initiatives to reverse the talent shortage, including building awareness about CPA and accounting career opportunities, and funding scholarships for CPA students.
Additional Resources
Controllers for a Cause™ CPA Scholarship Program
