What is the U.S. CPA Reciprocity Exam/IQEX?

The U.S. CPA Reciprocity Exam is sometimes referred to as the IQEX, an acronym for the International Uniform Certified Public Accountant Qualification Examination. This exam is one of the requirements used to assess the professional competence of Australian and Canadian Chartered Accountants who wish to obtain the U.S. CPA designation.

In the USA, CPA designations are awarded by 54 separate jurisdictions. Each of these jurisdictions determines its own qualification requirements for granting a CPA designation. In general, a CPA candidate must pass a qualifying exam, as well as meet certain qualification requirements with regard to education and work experience. Most Australian and Canadian Chartered Accountants already meet the education and work experience requirements of most jurisdictions. Many, but not all of the 54 jurisdictions, recognize passing the IQEX as satisfying the exam qualification requirement. See jurisdictions that recognize Canadian Chartered Accountants that pass the IQEX. See jurisdictions that recognize Australian Chartered Accountants that pass the IQEX.

Who can write the U.S. CPA Reciprocity Exam?

Canadian Chartered Accountants

The IQEX may be written by any Canadian Chartered Accountant who passed the UFE and is currently a member in good standing with their provincial institute.

Australian Chartered Accountants

The IQEX may be written by any Australian Chartered Accountant who qualified for his CA before 1992 and is currently a member in good standing of the Institute of Chartered Accountants in Australia. Australian CAs that qualified in 1992 or later have the additional requirement of passing an auditing examination. The auditing examination may be written either before or concurrently with the IQEX.

What is the deadline for applying for the 2000 IQEX?

The application deadline for the IQEX has been tentatively set for September 1, 2000. Completed applications must be received by NASBA by the deadline. All participants in our 3 & 5-Day Programs are supplied with complimentary exam application materials and instructions.

What is the fee for writing the 2000 IQEX?

The fee for writing the 2000 IQEX has been set at US$750 by the exam's governing body. This fee must accompany the completed exam application form.

What is the structure of the U.S. CPA Reciprocity Exam?

The exam is given through a computer and consists of 150 four-part multiple-choice questions. Unlike other multiple-choice examinations, like the GMAT, there is no penalty for an incorrect response. The exam is graded out of 100 with a passing score set at 75.

Candidates are allowed 4.5 hours to complete the exam. Most candidates who complete our 3 & 5-Day Programs find that they can easily answer the questions within the allotted time. The exam is only offered in English.

When and where is the U.S. CPA Reciprocity Exam offered?

The exam is offered once a year each November. The exam is written by appointment over a period lasting approximately three weeks. Exam candidates must select a date during this three week period in which to write the exam.

The IQEX will be held at several test centres across Canada. Each test centre will be open for the entire three week period. The test centres will not be officially announced by the AICPA and NASBA until September 2000. However, they have advised us that the 2000 IQEX will be offered in every major Canadian city (outside of Quebec) as well as in several locations throughout the United States.

What is the breakdown of the content of the IQEX?

Can copies of previous exams be purchased?

No. Since its inception, the U.S. CPA Reciprocity Exam has been a closed exam. Therefore, neither the questions nor solutions are published.

What are the questions like?

The exam consists of 150 four-part multiple-choice questions. To try some sample IQEX questions, try your hand at our mini-exams.

What is the focus of the questions on the U.S. CPA Reciprocity Exam?

The intent of the U.S. CPA Reciprocity Exam is to test the differences between the accounting and auditing practices of the United States and the relevant accounting and auditing practices of Canada and Australia. The syllabus of this exam is very different from that of the U.S. Uniform CPA Exam. The underlying assumption for the U.S. CPA Reciprocity Exam is that Chartered Accountants from Canada and Australia have already demonstrated competence in all of the areas that are identical in both the candidate's home country and the United States.

What makes your 3 & 5-Day Programs different from other prep courses?

1) Our Instructor: Jim Knafo was one of the first Canadian CAs to qualify for a U.S. CPA designation through reciprocity. Since that time, and even before the establishment of the IQEX, Mr. Knafo has been active in promoting the recognition and popularity of reciprocity on both sides of the border. In 1998, in recognition of his unique expertise and qualifications, Olivia F. Kirtley, Chair of the American Institute of Certified Public Accountants (AICPA) Board of Directors, appointed Mr. Knafo to the AICPA's International Qualifications Appraisal Board (IQAB). Mr. Knafo is the only Canadian on the IQAB. The Board works cooperatively with NASBA, the governing body which administers the IQEX exam, to identify the differences between the qualification requirements of professional accountants in the United States and those of other countries, including Canada. The intent of the IQEX is to examine on the differences between the accounting and auditing practices of Canada and those of the United States.

2. Our Service Guarantee: Our programs provide the comprehensive service that busy professionals have come to expect from IAS. Our programs are more than just a prep course. We help our participants through every stage of the exam process: before, during and after the course. We're with you every step of the way!

3. Our Course Materials: There are several other organizations which offer preparatory courses for this exam. Often times, these organizations simply repackage their prep courses for the Uniform CPA Exam and market them for the Reciprocity Exam. However, these two exams are very different and this type of "repackaging" fails to consider the distinct educational background of Canadian and American accountants. Our courses, on the other hand, have been specifically designed for the IQEX by Mr. Knafo who, as both a Canadian CA and U.S. CPA, is clearly aware of those areas in which Canadian CAs should concentrate their efforts.

In fact, prior course participants tell us that not only did our IAS Study Binders help them to study effectively and efficiently, but that they also significantly reduced the time they would have otherwise spent preparing for the exam.

4. Our Pass Rates Speak for Themselves: Our 3 & 5-Day Programs have the highest pass rates of any IQEX prep course in Canada!