Section 513.11 - Qualifications for Non-CPA Owners of Firm License Holders(a) A firm which includes non-CPA owners may not qualify for a firm license unless every non-CPA individual who is an owner of the firm: (1) is actively providing personal services in the nature of management of some portion of the firm's business interests or performing services for clients of the firm or an affiliated entity;(2) lacks a history of dishonest or felonious acts or any criminal activity that might be relevant to the applicant's qualifications; and(3) is not a suspended or revoked licensee or certificate holder excluding those licensees that have been administratively suspended or revoked. (Administratively suspended or revoked are those actions against a licensee for Continuing Professional Education reporting deficiencies or failure to renew a license.)(b) Each of the non-CPA individual owners who are residents of the State of Texas must also: (1) pass an examination on the rules of professional conduct as determined by board rule;(2) comply with the rules of professional conduct;(3) maintain any professional designation held by the individual in good standing with the appropriate organization or regulatory body that is identified or used in an advertisement, letterhead, business card, or other firm-related communication; and(4) provide to the board fingerprinting required in § 515.1(d) of this title (relating to License) unless previously submitted to the board.(c) A "Non-CPA Owner" includes any individual or qualified corporation who has any financial interest in the firm or any voting rights in the firm.22 Tex. Admin. Code § 513.11
The provisions of this §513.11 adopted to be effective August 4, 2004, 29 TexReg 7307; amended to be effective August 17, 2008, 33 TexReg 6376; amended to be effective October 13, 2010, 35 TexReg 9102; Amended by Texas Register, Volume 41, Number 15, April 8, 2016, TexReg 2592, eff. 4/13/2016; Amended by Texas Register, Volume 44, Number 40, October 4, 2019, TexReg 5782, eff. 10/10/2019; Amended by Texas Register, Volume 45, Number 05, January 31, 2020, TexReg 761, eff. 2/5/2020