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US CPA Exam Now Offered in the Philippines | What Does this Mean for U.S. Firms?

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The accounting world now has 7000+ more reasons to celebrate and be optimistic. In a move that has been eagerly anticipated (at least here at TOA), the National Association of State Boards of Accountancy (NASBA) announced that the US CPA exam is now available in the Philippines starting July 1, 2024.

World-class Filipino accounting talent across the 7000+ islands in the Philippine archipelago now has a direct path to a US CPA license. This development opens up a world of opportunities for Filipino accounting professionals and US accounting firms alike.

Let’s dive into the details of this game-changing move, how it impacts both the U.S. and Philippine accounting landscape, and the pathway for Filipino accountants to become licensed US CPAs.

Implications for US Accounting Firms

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The availability of the US CPA exam in the Philippines is a strategic move that can significantly benefit US accounting firms. Here’s why:

Addressing the Talent Shortage

Enhancing Diversity and Inclusion

Expanding Global Reach

Cost Efficiency

A New Pathway for Filipino Accountants

US CPA Filipina

For many aspiring Filipino accountants, the dream of becoming a US CPA just became significantly more accessible. Here’s a step-by-step guide on how to become a CPA in the U.S. through the CPA exam international administration:

1. Academic Requirements

2. Choose the Right State

Each state in the U.S. has its own set of requirements for the CPA board exam. Filipino candidates must decide which state’s requirements they can meet. Some states may require candidates to have a Social Security Number (SSN) or be a U.S. citizen. However, these requirements don’t apply in Wisconsin, New York, Montana, Illinois, and South Dakota.

It’s also important to know which jurisdictions (states) allow international candidates to take the US CPA Exam. Here’s the list of popular participating jurisdictions international candidates often choose:

Colorado Michigan Montana
Delaware New Hampshire California
Virgina Alaska Illinois
Guam Washington
Meanwhile, here are the four jurisdictions that do not currently participate in the international administration of the US CPA exam.
Alabama Idaho North Carolina Virgin Islands

3. Evaluation of Credentials

Candidates will need to have their academic credentials evaluated by an approved foreign credential evaluation service. This process ensures that their education meets the standards set by the chosen state board.

4. Application to Sit for the Exam

After selecting the State and completing the credential evaluation, candidates must apply to sit for the US CPA exam. This involves submitting the application materials, paying the necessary fees, and providing the required documentation requirements.

5. Taking the US CPA Exam

Once you’ve qualified, you will receive a Notice to Schedule (NTS) letter which will contain all the necessary information for your exam schedule, including the location, date, time, and other important details.

The US CPA exam consists of four sections: Auditing and Attestation (AUD), Business Environment and Concepts (BEC), Financial Accounting and Reporting (FAR), and Regulation (REG).

Click the button below for the complete US CPA exam candidate guide 👇

A Bright Future Ahead

The decision by NASBA to offer the US CPA exam in the Philippines is a win-win for both Filipino accountants and U.S. accounting firms. For Filipino professionals, it opens doors to global career opportunities and the chance to work with some of the most prestigious firms in the industry. For U.S. firms, it offers a solution to the talent shortage, promotes diversity, and provides cost-effective ways to expand their global operations.

As this new pathway unfolds, we can expect to see a surge of Filipino accountants taking the exam and earning their U.S. CPA licenses. This trend will undoubtedly strengthen the ties between the US and the Philippines in the field of accounting and set the stage for a more interconnected and collaborative global accounting community.

So, to all the aspiring CPAs in the Philippines, the time to act is now. The world of opportunities that come with a U.S. CPA license is within your reach. And to U.S. accounting firms, get ready to welcome a wave of talented, dedicated, and US-trained Filipino CPAs into your ranks. The future of accounting looks brighter than ever!

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