In order to harmonize the CPD process nationally, changes have been implemented to the CPD exemptions effective for the 2022 calendar reporting year. To determine if you would be eligible to declare an exemption from the full CPD requirements, you will need to consider the following:
At any time during the reporting period:
1) Did you provide regulated service(1) to a client?
a. If yes, you have a full CPD requirement.
b. If no, please proceed to question 2).
2) Were you engaged in work, self-employed or providing services related to technical competencies as a CPA?
a. If yes, proceed to question 3).
b. If no, proceed to question 4). Please note that members who may answer no to this question often work in a completely unrelated field to their CPA career (e.g. Attendant at a golf course or greeter at a grocery store).
3) During the calendar year, did your gross active revenues(2) from all types of employment exceed $30,000?
a. If yes, you have a full CPD requirement.
b. If no, proceed to question 4).
4) Were you serving on a Board or similar governing body, or an audit, finance or similar governance committee of a public company, a reporting issuer or a large or prominent organization(3)
a. If yes, you have a full CPD requirement.
b. If no, you are exempt from the full CPD requirements.
Reminder: A member who is eligible for an exemption from the full CPD requirements is reminded that they must still comply with Rule 203:
A member shall sustain professional competence by keeping informed of, and complying with, development in professional standards in all function in which the member provides professional services or is relied upon because of the member’s calling.
In other words, even though you may be exempt from the full CPD requirements, you must still ensure that you engage in professional development to ensure professional competence for the functions in which your CPA competencies are being relied on during the year, if any.
Extenuating Circumstances: Outside of the above criteria, members who have a valid reason for an exemption from the full CPD requirements may submit a written request to the Registration Committee to consider their circumstances. The Committee will review each individual request and a determination will be made and forwarded to the member.
(1)Regulated services include the following:
(i) an assurance engagement
(ii) a specified auditing procedures engagement
(iii) a compilation engagement
(iv) accounting services
(v) forensic accounting, financial investigation or financial litigation support services
(vi) advice about or interpretation of taxation matters
(vii) preparation of a tax return or other statutory information filing, if prepared in conjunction with any service referred to in sub clauses (i) to (vi),
(vii) business valuation
(ix) insolvency services.
(2)Gross Active Revenues is defined as the aggregate of accounting and non-accounting revenues from employment, business, professional corporations, and director’s fees. It does not include employment insurance benefits, long-term disability benefits, investment and pension income. Please note that this is different from the definition of Active Earnings as defined for the Member Fee Waiver.
(3)Large or prominent organization is defined as an organization which is of significant public interest due to the nature of their operations, their size or their corporate status, such that they have a wide range of stakeholders. A large or prominent organization may include, but is not limited to, credit institutions, pension funds, charities, foundations, hospitals, health authorities, publicly funded educational institutions, and social service agencies.