QuestionsQuestions (PRC BOARD OF ACCOUNTANCY Resolution NO. 19, S. OF 2000)
It amends Sections 10 and 20 of the 1978 Code of Ethics for Certified Public Accountants (CPAs), specifically updating the rules on advertising and solicitation—particularly to address the development and maintenance of CPA websites on the Internet and related publication practices.
It keeps the general prohibition against CPAs advertising their professional attainments or services, but clarifies that certain activities (e.g., publication of authorship, technical reports, lectures/papers in conferences/seminars) are not considered advertising, and it expressly states that development and maintenance of a web site in the Internet is not considered advertising.
Publication of authorship of books, technical reports and studies, lectures or papers delivered in conferences and seminars, and similar activities beneficial to the profession as a whole are not treated as advertising.
No. While a website is not considered advertising, it must still comply with the solicitation/advertising principles—i.e., it must not contain self-laudatory statements designed to solicit clients, and other advertising/sanctions rules still apply (except where Resolution No. 96-432 provides allowances for print/broadcast media).
A CPA in public accounting shall not seek to obtain clients by solicitation.
It states that advertising is a form of solicitation; therefore, anything treated as advertising is generally prohibited if it has the purpose/effect of seeking clients by solicitation, except for specific permitted announcements and factual publications.
Publication of an announcement is permitted only for: opening of a new office, change in partners, change in office location or telephone numbers, or reorganization of the firm/practice; it must contain basic essential information and be of reasonable size.
They may be made to clients and to individuals other than clients with whom professional contacts are maintained.
Yes, it is permissible solely to enable interested parties to locate an office, but it must be in good taste and of modest size.
The stationery should be in keeping with the dignity of the profession and should not mention any specialty. It may include the firm name, address, telephone number, tax account number, names of partners, and membership in professional societies.
The listing may appear in alphabetic and/or business (yellow pages) sections under the CPA classification, but it shall not be in bold type or in a box or other display form.
Yes. Firm publication or brochures may be distributed to clients and to individuals other than clients with whom professional contacts are maintained.
It allows certain press and media releases, announcements, newspaper supplements, commemorative media, or media-covered events undertaken to commemorate anniversaries in public practice—so long as the content contains only factual matters without detailed listing of services, and the undertaking is done only every five years of celebration.
A CPA may develop and maintain a website of suitable length and style, which may include announcements/press releases/publications and factual information such as firm name, partners/principal names and brief educational attainment, brief listing of services, postal address, telephone, fax, and email addresses.
The website must not contain self-laudatory statements designed to solicit clients.
It requires CPAs in public accounting to display in conspicuous space (in the main office, all branches, and in the website) the relevant certificates and registrations—e.g., SEC registration of the Articles of Partnership, DTI registration of the partnership/firm name, Board of Accountancy and PRC accrediting certificates, and other required licenses/permits/certificates as required by law and regulations.
It takes effect after fifteen (15) days following its publication in the Official Gazette or in a newspaper of general circulation in the Philippines, whichever comes earlier.