JULY 2025
What You Might Not Know About Public Accounting Rules in the Philippines
A professional insight from Balagot & Emperado CPA’s Co.
In today’s competitive landscape, accounting services are everywhere—but not all providers operate within the bounds of what the law allows. Many are unaware that in the Philippines, Certified Public Accountants (CPAs) are legally required to adhere to strict rules when offering public services, and that includes the structure of their firms.
At Balagot & Emperado CPA’s Co., we follow these rules closely. As a licensed CPA firm, we want to share a few things every client or business owner should know, because small details can have a big impact later on.
Only CPAs Can Own and Operate a Public Practice
Under Republic Act No. 9298 (Philippine Accountancy Act of 2004), CPAs:
• Cannot form corporations to offer audit or assurance services
• Cannot partner with non-CPAs in public practice
• Must ensure all ownership and leadership roles are held by licensed professionals
Why? These rules protect your business by ensuring independent, ethical, and accountable service.
The Hidden Risk of Unlicensed Setups
Some clients may unknowingly hire agencies that aren’t structured the right way, where non-CPAs have control or decision-making power. This may result in:
• Conflicts of interest
• Invalid audit reports
• Legal concerns or penalties
• Unethical decision-making driven by profit, not public service
Even if their rates seem attractive, these arrangements may bring long-term consequences.
Why This Matters to Us at Balagot & Emperado CPA’s Co.
We’re proud to be a fully licensed, CPA-owned firm that values ethics, professionalism, and legal compliance. We don’t cut corners—and we don’t take risks with your trust.
All our staff are either licensed professionals or are supervised directly by licensed CPAs. We work hard to ensure that every report we sign and every client we serve is handled with full transparency and integrity.
A Gentle Reminder & What You Can Do
If you’re unsure whether a service provider is authorized to offer CPA services, take time to verify their credentials. It’s your right as a client to know.
❄ Check if they are PRC-licensed CPAs
❄ Ask about the firm’s registration with BOA or PRC
❄ Consult with a trusted, registered CPA firm
Need help?
Contact us at Balagot & Emperado CPA’s Co. for a quick consultation or credential check. We're here to guide you through legal, compliant, and ethical accounting solutions tailored to your needs.
