The CPA Ethics Exam: Who Requires It and How It Works

8/19/2026

Candidates spend a year or more preparing for four sections of the Uniform CPA Examination, pass the last one, and then learn there is one more exam between them and the license. In many states that is an ethics exam, separate from the CPA exam, administered by a different organization, and completely absent from most review course schedules.

It is not a difficult hurdle, but it is an easy one to discover late, and in some states it cannot be completed until a particular point in the application. This post explains what the CPA ethics exam is, the forms it takes, who administers it, how the AICPA version works and how to fit it into the path to licensure.

What the CPA Ethics Exam Is

The ethics exam is a licensure requirement, not part of the Uniform CPA Examination. The CPA exam itself covers professional responsibilities in places, but boards that require an ethics exam want separate evidence that a new licensee knows the rules of professional conduct they will be held to.

There is no single national ethics exam. Each board decides whether to require one and which one. In practice, the requirement takes four broad forms:

1. The AICPA's professional ethics exam. A number of boards require candidates to pass the exam at the end of the AICPA's self-study course, Professional Ethics: The AICPA's Comprehensive Course (for Licensure).
2. A state-specific exam or course. Some boards require an exam or course on their own statute and board rules, sometimes in addition to the AICPA exam and sometimes instead of it.
3. College ethics coursework. Some boards build ethics into the education requirement, requiring a specific ethics course on the transcript before sitting or licensing. This is separate from any post-exam ethics exam.
4. No separate ethics exam. Some boards require none for initial licensure.

The model Uniform Accountancy Act does not set an ethics exam requirement in its licensure section; it leaves this to the boards. That is why the requirement varies so much, and why the only reliable answer is your own board's current rules.

The AICPA Professional Ethics Exam

The AICPA's course is the most widely used version, so it is worth understanding in some detail.

Format

It is an online, self-study course that ends with an exam. The course covers the ethical principles and independence requirements a CPA works under, including the AICPA Code of Professional Conduct and independence rules from the AICPA, the SEC, the PCAOB and government auditing standards, along with ethics in tax services and in other regulated settings.

Unlike the CPA exam, it is not taken at a testing center. Candidates purchase it, work through the material online and take the exam on their own schedule. Boards and state CPA society resellers describe it as an open-book test.

Passing score

For licensure, the AICPA states that a candidate must score 90 percent or higher. That is far above the CPA exam's passing score of 75, and it is the detail that most often catches candidates who approach it casually. Open book does not mean easy: the questions test whether you can find and apply specific rules, especially independence rules, and a 90 percent threshold leaves little room for guessing.

Where to buy it

The course is sold through the AICPA's store and through many state CPA societies, which often bundle it with their own materials. Some boards accept only a specific version or require the score to be reported in a particular way, so buy the version your board specifies. Pricing, access periods and the number of attempts are set by the seller and can change, so confirm them at purchase rather than relying on figures published elsewhere.

The licensure version, specifically

The AICPA sells versions of its ethics material for different audiences, and the licensure exam has its own passing standard. If your board requires the AICPA exam for initial licensure, make sure you buy the licensure version and pass at the licensure standard. A score earned on a different version may not be accepted.

State-Specific Ethics Requirements: Three Examples

Because the variation is the point, three examples show the range. Each is current as published by the relevant board or state society; check for changes before relying on them.

Illinois: the AICPA exam before the certificate. The Illinois CPA Society explains that candidates must pass a separate ethics exam on the rules of professional conduct before they are issued an Illinois CPA certificate, that the exam is the AICPA's comprehensive course with an open-book online test, that a score of at least 90 percent is required, and that candidates can take it at any time, even before they are approved to sit for the CPA exam.

Texas: a college course and a board rules exam. The Texas State Board of Public Accountancy requires a three-semester-hour, board-approved ethics course as part of the education requirement. It also requires applicants to pass an exam on the Board's Rules of Professional Conduct, which is sent after the applicant submits the application for issuance of the certificate, with a passing score of 85 percent.

California: no ethics exam for issuance. California's board discontinued its Professional Ethics for CPAs (PETH) exam as a requirement for license issuance effective July 1, 2024. In its place, new licensees complete a board-approved regulatory review course on the California Accountancy Act and board regulations as part of their first license renewal.

Those three boards handle the same goal in three different ways: a national exam before licensure, a state exam during the application, and a state course after licensure. Other boards use their own combinations, and some add a separate exam on state law.

How It Fits Into the Path to Licensure

The ethics requirement usually sits near the end of the process, but where it can be completed varies.

Before or during the exam. Where the board allows it, as in the Illinois example, a candidate can complete the AICPA exam at any point. Some candidates do it during a slow period between exam sections, while their study habits are still sharp.

After passing the CPA exam. Many candidates take it once all four sections are passed, alongside gathering experience verification. This is the most common pattern and works well as long as you know the requirement is coming. It also keeps the ethics work from competing with exam study: candidates working through a full review program such as the CPA Exam Prep All Parts Bundle usually find it easier to finish the four sections first and then clear the ethics step in a short, separate block.

As part of the license application. Some state exams are released only after an application has been filed, as in the Texas example, so they cannot be completed early.

After licensure. Where a board has moved its state-rules requirement to the first renewal, the ethics step comes after the credential is issued.

Our post on what to do after passing the CPA exam covers the full post-exam checklist, including the ethics requirement, experience verification and the application itself.

How to Prepare

The ethics exam does not need months of preparation, but it rewards a deliberate approach.

Read the independence material carefully. Independence rules are the most technical part of the content and the most heavily tested. Learn the framework (threats, safeguards and the specific prohibitions) rather than memorizing isolated rules.

Use the open book strategically. Build a short index of where key topics are covered in the course material before you start the exam, so you can find a rule quickly instead of skimming the whole text.

Read each question for the exact facts. Ethics questions often turn on a single detail: a family relationship, a fee arrangement, the type of engagement or the period covered. Underline the details that trigger a rule before choosing an answer.

Do not rely on CPA exam memory. The Core sections touch on ethics and professional responsibilities, but the ethics exam goes deeper into the Code and into specific scenarios. Candidates who skip the course material because "it was on AUD" are the ones who fall short of 90.

Give it a protected block of time. Many candidates finish the course and exam in a few focused sessions. Treat it like a short project rather than something to fit around a busy-season week.

Common Mistakes

• Discovering the requirement after passing all four sections. Check your board's rules at the start of the process.
• Buying the wrong version. Some boards require a specific course or a particular reporting method. Confirm before you pay.
• Assuming one state's rule applies everywhere. A friend's experience in another state tells you nothing about yours.
• Treating 90 percent like 75. The licensure threshold is much higher than the CPA exam's passing score.
• Missing a state law exam. Some boards require a state-specific exam in addition to, or instead of, the AICPA exam.
• Letting the score lapse. Some boards set no expiration on an ethics score and others may require it within a set period of the application. If you take it early, confirm your score will still be accepted when you apply.

The Ethics Exam and the Rest of the Path

The ethics exam is a short step on a long path. The bigger work is the CPA exam itself, which is uniform across states and is where most of a candidate's time goes. The CPA Exam Prep All Parts Bundle covers every section of the exam in one package. For the full process, from education to the application, see our guides on how long it takes to become a CPA and the CPA exam requirements, and the licensing questions on our accounting licensing FAQs page.

Frequently Asked Questions

What is the AICPA ethics exam?

It is the exam at the end of the AICPA's self-study course, Professional Ethics: The AICPA's Comprehensive Course (for Licensure). The course covers the AICPA Code of Professional Conduct, independence rules from the AICPA, SEC, PCAOB and government auditing standards, and ethics in tax and other regulated work. It is taken online rather than at a test center and is described by boards as open book. Many state boards accept or require it for initial CPA licensure, but not all do, so check your board's rule before buying it.

What score do you need to pass the CPA ethics exam?

For the AICPA exam taken for licensure, the AICPA requires a score of 90 percent or higher. That is much higher than the 75 needed to pass a section of the Uniform CPA Examination, and it is the detail candidates most often underestimate. State-specific exams set their own standards; for example, the Texas board's Rules of Professional Conduct exam requires 85 percent. Always confirm the passing score your board applies to the exam it requires.

Do all states require a CPA ethics exam?

No. Each board decides. Some require the AICPA's professional ethics exam, some require their own exam or course on state law and board rules, some require both, and some require no separate ethics exam for initial licensure. A few build ethics into the education requirement as a college course instead. The model Uniform Accountancy Act leaves ethics exams to the boards, which is why the requirement varies. Your board's current rules are the only reliable source.

Is the CPA ethics exam open book?

The AICPA's licensure exam is taken online as part of a self-study course and is described by boards and state CPA societies as an open-book test. That does not make it easy, because the licensure passing score is 90 percent and many questions turn on specific independence and conduct rules. State-specific exams have their own formats, so check how your board's exam is delivered if it requires one. Prepare an index of the course material before you start.

When should I take the CPA ethics exam?

It depends on your board. Some boards let you take the AICPA exam at any time, even before you are approved to sit for the CPA exam, so it can be done between sections. Others send their state exam only after you apply for licensure. Many candidates take it right after passing all four sections, while gathering experience verification. If you take it early, confirm your board will still accept the score when you submit your application.

Is the ethics exam part of the Uniform CPA Examination?

No. The Uniform CPA Examination has four sections, three Core and one Discipline, delivered at test centers. The ethics exam is a separate licensure requirement set by your board and administered by the AICPA, the board or a state society, depending on the jurisdiction. Passing all four CPA exam sections does not satisfy it. The Core sections touch on professional responsibilities, but the ethics exam goes further into the Code of Professional Conduct and independence rules.