Asked by: Eduar Makhnoasked in category: General Last Updated: 3rd January, 2020
Can a CPA accept a commission?
Also to know is, can a CPA pay a finder's fee?
Summary Answer 1: You cannot pay a referral fee or commission to obtain a client. However, this rule does not preclude payments for the purchase of an accounting practice. However, you are still prohibited from accepting any fee or commission solely for referral of a client to a third party.
Subsequently, question is, can a CPA sell insurance? When CPA firms sell insurance and investment products through a separate legal entity (broker), that entity contracts with agents or general agents (service providers) of insurance and investment companies to access products. As compensation for selling insurance products, brokers generally receive sales commissions.
Thereof, can a California CPA accept a commission?
Commissions. Pursuant to section 5061 of the California Accountancy Act, a licensee may accept commission-based compensation for defined services, as long as the fees are disclosed in writing and various prohibited services are not performed.
When can a CPA accept a contingent fee?
In addition to the prohibition described above, contingent fees cannot be accepted from a client if the CPA, or the CPA's firm performs any of the following professional services for that client: (1) an audit or review of a financial statement; (2) a compilation of a financial statement accompanied by a report; or (3)