Rule 475. (1) As used in section 731 of the code, MCL 339.731, "commission" means
any consideration paid to an individual licensee, a firm licensee, an individual with
practice privileges, or an out-of-state firm by a third-party in connection with a
recommendation or referral of a person to the third-party.
(2) As provided in section 731(3) of the code, MCL 339.731, a referral fee is not a
commission when received or paid by an individual licensee, a firm licensee, an
individual with practice privileges, or an out-of-state firm for recommending or referring
a client to another individual licensee, firm licensee, individual with practice privileges,
or out-of-state firm for a service involving the practice of public accounting.
(3) An individual licensee, a firm licensee, an individual with practice privileges, or an
out-of-state firm who is paid or expects to be paid a commission or a referral fee shall
disclose that fact to the client.
History: 1979 AC; 1986 AACS; 1998-2000 AACS; 2013 AACS; 2022 MR 22, Eff. Nov. 21, 2022.
R 338.5480 Rescinded.
History: 1979 AC; 1986 AACS; 1998-2000 AACS; 2013 AACS.
R 338.5501 Peer review.
Rule 501. (1) Each firm or sole practitioner required to take part in a peer review
program under section 729(2) of the code, MCL 339.729, shall enroll in the program of a
qualified sponsoring organization within 1 year of the earlier of the following:
(a) The firm or solo practitioner’s initial licensing date.
(b) The performance of services that require a peer review.
(2) Proof verifying a peer review shall not have to be provided to the department until
the second renewal following initial licensure or the performance of services requiring a
(3) The department shall accept, as proof verifying compliance with section 729(2) of
the code, MCL 339.729, the electronic submission of information from the facilitated
state board access (FSBA) website.
(4) Qualified sponsoring organizations include the AICPA peer review program, and
other entities that adhere to the peer review standards defined in R 338.5102(1)(a) as
decided by the board. With respect to an out-of-state firm required to obtain a license
under section 728 of the code, MCL 339.728, a peer review sponsoring organization
approved by another state in which that firm is licensed is presumed to be qualified in this
state, with respect to that firm.
(5) A licensee subject to peer review shall not be required to become a member of any
(6) Out-of-state firms required to obtain a peer review under section 728(5) of the code,
MCL 339.728, may, instead of enrolling in a program sponsored by an organization
described in subrule (3) of this rule, satisfy the peer review requirement applicable in the
state where that firm is licensed, verified proof of which shall be given to the department
upon the department’s request.