AICPA, NASBA outline 2024 CPA exam transition policy

The National Association of State Boards of Accountancy and the American Institute of CPAs have released a notice updating candidates on the transition policy that will impact the 2024 Uniform CPA Examination.

The 2024 changes are a result of the new CPA Evolution model, which aims to better prepare CPAs with the ever-changing skills and competencies required from modern professionals by updating the testing curriculum on the CPA exam. NASBA and the AICPA were quick to note that these upcoming changes do not affect candidates who have passed all four CPA exam sections by Dec. 31, 2023 — only to those pursuing licensure past January 2024.

The new CPA exam will reflect a "Core + Discipline" model, starting with core testing in accounting, auditing and tax (which all candidates must complete) before candidates select one of three Discipline sections in which to demonstrate knowledge. CPA licensure will be awarded regardless of a candidate’s chosen discipline; the section is not reflective of a lone area where the CPA will be able to practice. Within the Discipline section are three options that aim to address core elements of the CPA profession: business analysis and reporting (BAR), information systems and controls (ISC), and tax compliance and planning (TCP).

CPA candidates who have credit for AUD, FAR or REG on the current CPA exam will not need to take the corresponding new core section of AUD, FAR or REG on the 2024 CPA exam. Further, candidates who have credit for BEC on the current CPA exam will not need to take any of the three discipline sections.

AICPA/NASBA

However, if a candidate loses credit for AUD, FAR or REG after Dec. 31, 2023, they are required to take the corresponding new Core section of AUD, FAR or REG (see above). A candidate who loses credit for BEC after Dec. 31, 2023, must also select one of the three Discipline sections to be tested. NASBA and the ACPA note that none of the sections of the current CPA exam will be available for testing after Dec. 31, 2023.

"Because of the significant differences in the current and 2024 CPA exams and the overall CPA licensure model, a perfect transition is not possible," NASBA wrote. "The Boards of Accountancy have agreed this transition policy best serves the candidates, the state boards and the public interest."

To best prepare for the 2024 CPA exam launch, an exposure draft of the 2024 CPA exam will be made available by the AICPA on July 1, 2022, and will outline the content and skills proposed for each section of the 2024 CPA exam. The 2024 CPA Exam Final Report, which will reflect the final exam blueprints, is scheduled to be released in January 2023.

For more information on the CPA exam transition policy, NASBA has set up a FAQ page on its site here.