South Dakota CPE Requirements for CPAs
Continuing Professional Education might not be at the forefront of a CPA’s priorities. But if they hope to keep their license with the AICPA, it’s a stringent requirement. Because if individuals want to be qualified to offer the best services possible, they must be aware of changes to their industry and practices. But because the state requirements differ heavily by location, it can be confusing to know which regulations apply and which don’t.
For CPAs who reside in or report to the South Dakota Board of Accountancy, there is a 120-hour requirement over a three-year period. During that timespan, CPAs must complete at least 20 hours per year. The table below details some of the other requirements for licensees in South Dakota.
|License Renewal Date||CPE Reporting Period||Total CPE Hours||Self-Study Credit Limitations|
|August 1, annually||July 1 – June 30 over a three-year rolling period||120 hours||None|
Credit Limitation and Calculation
In South Dakota, CPAs can complete up to 60 hours of continuing professional education credit per recertification cycle either by presenting in a formal learning setting or instructing a university course. It is also possible for the licensee to claim less than 60 hours for the course taught during one reporting year, then claim the remaining balance in a subsequent year as long as the course was taught at least partially within each year.
For instruction, CPAs may receive credit both for preparation and presentation times, where preparation time is limited to twice the available credit for class participants. Repeated presentations are valid only if it can be adequately demonstrated that the learning activity was further developed or changed in a way that required significant additional research or study on the part of the instructor.
Participation in college or university courses warrants CPE credit up to 15 hours per semester hour, 10 credit hours per quarter hour, or 1 credit hour per hour of classroom time for non-credit courses.
Up to 50% of the maximum hours required per recertification period can be earned for authorship and publication of instructional or educational materials. This includes articles, books or CPE programs. And research and writing time are both included in the calculation of total credit. Furthermore, the published material must be reviewed by an independent third party in order to qualify.
No more than 24 hours of behavioral or motivational courses are permitted during a reporting period for any licensees who are engaged in public accounting practices.
As a general rule, partial credit will be accepted in increments of 0.2 and 0.5 hours. Self-study credit is accepted in half-hour increments prior to the completion of the first full hour and may be earned in 0.2 increments afterward. Group program credit is accepted in 0.2 or 0.5 hour increments only following completion of a full hour of continuing professional education. Nano-learning credit is always accepted in 0.2 hour increments only.
Personal development credits are only considered a valid form of CPE if they maintain or improve a CPA’s professional competency.
Other Policies and Exemptions
Certificate holders are considered compliant with South Dakota’s CPE requirements if they meet the continuing professional education requirement for renewal in the state in which their principal place of business is located. The individual’s principal place of business is the location registered as their office on the Board records. If the licensee’s principal place of business has no CPE requirement for any renewal period, the non-resident must comply with all continuing professional education requirements for South Dakota.
CPAs who receive automatic exemption from the CPE requirements include:
- Those who are retired
- Members who are currently unemployed
- Those who have left the workforce temporarily
- Anyone whose organizational status is listed as “inactive”
In order to apply for exemption status, the individual must not offer their services to third parties. However, it is possible for practicing licensees to apply for a waiver on bases such as:
- Military service
- Natural disaster
- Other similar circumstances