A Member prepared Notice to Reader financial statements and corporate tax returns for a client from 2014-2018 without obtaining a public practice license from CPABC. The 2018 financial statements and corporate tax returns contained errors. During 2017 and 2018, the Member changed the share structure of two companies owned by the client without their consent. In addition, the Member erroneously issued a T5 information slip to a non-shareholder during 2018. The Member also maintained a website that advertises accounting services to the public.
The Investigation Committee determined the Member contravened the CPABC Code of Professional Conduct as follows:
CPABC Code of Professional Conduct
- 101.1(a) Compliance with governing legislation, bylaws, regulations and the Code
- 201.1 Maintenance of the good reputation of the profession
- 202.1 Integrity and due care
- 205 False or misleading documents and oral representations
CPABC Bylaws
- 700 (2) Public Practice by CPA members
The Committee recommended the Member:
- accept a reprimand;
- pay expenses of $2,363 plus GST;
- pay a fine of $4,500;
- comply with CPABC public practice licensing requirements, if they continue to offer or provide public accounting services or other regulated services to the public;
- attend in-person 8 hours of CPABC professional development ethics seminars at the next available dates; and
- agree to the publication of this Determination and Recommendation in the Vancouver Sun and on the CPABC website.