Texas CPA Requirements

Known for its energy sector and major corporations like AT&T, American Airlines, and Oracle, Texas is a major power player in the national economy. Texas accountants can manage complex accounting needs for more than 50 Fortune 500 companies in the state.

Before accountants can become certified public accountants (CPAs), they must meet specific Texas CPA requirements: passing the four-part Uniform CPA Examination, completing at least 150 credits of college-level classes, and meeting work experience requirements.

In the Lone Star State, the Texas State Board of Public Accountancy (TSBPA) manages the licensure process for CPAs. Prospective and current CPAs also benefit from the advocacy and resources of the Texas Society of Certified Public Accountants. Our guide walks through everything you need to know to become a CPA in Texas.

Education Requirements for Becoming a CPA in Texas

Candidates for CPA licensure need more than a bachelor's degree. In Texas, CPAs need a 120-credit bachelor's degree plus additional credits for a total of 150 credits. Many prospective CPAs earn master's degrees or graduate certificates to meet this requirement. Some colleges offer accelerated bachelor's-to-master's programs in accounting to help candidates fulfill the education requirements in less time.

While a CPA does not specifically need a master's degree in the state, the credits beyond a bachelor's program must come from upper-division or graduate classes. Texas also sets requirements for the types of classes CPAs must take.

Concentrations, Credits, and Course Acceptance

In Texas, CPAs need to take specific courses. Earning an accounting degree helps candidates meet the credit requirements to become a CPA in Texas, but because the board only accepts certain classes, it's important to review the requirements before submitting an application of intent.

Each applicant for a CPA license in Texas needs a bachelor's degree or higher with at least 27 credits of upper-division accounting classes.

The TSBPA requires at least 12 credits in the following content areas:

• Financial accounting or intermediate accounting
• Financial statement auditing
• Taxation
• Accounting information systems or accounting data analytics

Applicants also need at least nine credits from these areas:

• Advanced accounting
• Accounting theory
• Managerial or cost accounting
• Auditing and attestation services
• Internal accounting control and risk assessment
• Financial statement analysis
• Accounting research and analysis
• Governmental or nonprofit financial accounting
• Fraud examination

Texas also accepts additional credits in financial accounting, intermediate accounting, accounting information systems, accounting data analytics, and taxation. Introductory courses do qualify for the 27-credit requirement. In addition, each applicant needs 24 credits of business-related courses.

Finally, candidates must take a board-approved, three-credit ethics course at a recognized educational institution. The course must cover ethical reasoning, professional values, and core accounting values.

Texas Experience Requirements

Like other states, Texas only licenses CPAs with accounting experience. Texas requires each CPA to hold a minimum of one year of full-time accounting work experience or the equivalent.

The work experience must be completed under the direct supervision of a licensed CPA. Part-time work of at least 2,000 hours within a consecutive two-year period also qualifies, as long as the candidate worked 20 hours per week.

This work experience must go beyond routine accounting to demonstrate their independent judgment when providing professional accounting services. In addition to industry practice, a candidate can meet work experience requirements by teaching upper-division courses on a full-time basis, so long as they are supervised by a licensed CPA. Approved accounting internship programs may also qualify.

Candidates must document their work experience, provide details on their job responsibilities, and include their licensed CPA supervisor. After passing the CPA exam, applicants submit their work experience forms.

CPA Exam Requirements

CPAs across the country need to pass the Uniform CPA Examination. While the exam is the same in every state, the exam process varies. This section walks through Texas' eligibility requirements, how to schedule the exam, and what to do after passing the test. Check out our CPA exam guide for information about the test.

Eligibility to Take the Exam

Texas's exam eligibility requirements are different from the overall Texas CPA requirements, allowing prospective CPAs to complete the remaining requirements while passing the four-part exam.

Before scheduling the first part of the CPA exam, each applicant needs a minimum of 120 credits, with 21 hours of upper-level accounting courses. The board specifies accounting coursework in financial accounting, taxation, financial statement auditing, and other core topics. Exam candidates also need at least 24 credits of upper-level business courses, including two credits in accounting or business communications.

Applicants need to submit official transcripts showing that they meet the credit requirements. Test-takers do not need to meet the experience requirement before starting the CPA exam.

Texas also requires a background check to begin the CPA exam. After meeting these requirements, candidates can begin scheduling the CPA exam.

Applying for and Scheduling the Exam

Before scheduling the exam, each candidate must submit an Application of Intent. The board then verifies that a candidate has earned 120 credits and meets the 21-credit accounting and 24-credit business course requirements.

Applicants will receive notification that they qualify to take the exam or information about the credit or coursework deficiencies. The board charges $20 for an evaluation of academic credit.

Once the board approves the application of intent, applicants have two years to take at least one section of the CPA exam. If they do not take the exam in this period, they must submit a new application.

Next, approved test-takers need to schedule their exam through the National Association of State Boards of Accountancy (NASBA). After approving the application of intent, the board sends a payment coupon to the test-taker. Applicants pay the fees through NASBA, with costs varying depending on the part of the exam.

Once test-takers pay the fee, they receive a Notice to Schedule (NTS), which lists the section they can take and allows them to schedule their exam at a Prometric Test Center. Applicants must schedule and take the exam within 180 days of receiving the NTS.

Candidates for CPA licensure must pass all four parts of the CPA exam within 30 months to qualify for licensure.

After Passing the Exam

After passing all sections of the CPA exam, candidates apply for issuance of the CPA certificate to the TSBPA. In addition to the application, candidates submit their work experience documents and an oath of office. The board may also require official transcripts during this final step of the licensure process.

The board's qualifications team evaluates the application and issues a unique CPA number for each applicant who qualifies. Licensed CPAs will receive a license notice and must pay their license fee of $112. Texas also holds a swearing-in ceremony for newly licensed CPAs.

Maintaining Licensure

Texas CPAs must renew their licenses and pay annual fees. The license period begins on the last day of the licensee's birth month, with no additional requirements for CPAs who have been licensed for fewer than 12 months.

CPAs can complete the renewal process online. Individuals can begin submitting renewal information up to six weeks before the annual renewal deadline.

As part of the renewal requirements, a Texas CPA must complete 120 continuing professional education credits (CPEs) every three years, with a minimum of 20 CPE credits annually. Qualifying CPEs include:

• Technical courses related to the profession of accounting
• Non-technical courses that improve competency
• Sponsored learning programs, including live programs, workshops, and webinars
• College classes at a rate of 15 CPEs per semester credit hour

Outside of college classes, CPAs receive a CPE credit for 50 minutes of participation in a qualifying activity. Texans can use the CPE sponsor look-up feature on the TSBPA website to find approved CPEs.

Questions About CPAs in Texas