Research On The Professional Ethics Issues Of CPA In China

With the development of economy, the industry of CPA as an economic services part,plays an important role in the development of world economy. In recent years, more andmore financial frauds and auditing collusion cases damaged the image of CPA. On thesurface, the number of Accounting Firms that involved in litigation cases is less thanoverseas, the CPAs don’t feel the pressure from Professional Ethics, this cause that theCPAs ignore professional ethics and ethics compliance in auditing, reducing the integritydegree of CPA, undermining the construction of a harmonious socialist society, so theproblem should be carefully studied and solved.This paper researched the professional ethics issues of CPA. Firstly, this paperexplained the connotation of the professional ethics of CPA, analyzed the present situationand affect of professional ethics of CPA from the problem in the performing of professionalethics of CPA and professional ethics dilemmas encountered by CPA. In China, however,the professional ethics awareness of CPA is relatively weak, and CPA follow the code ofethics form more than substance, they pay more attention to reducing the cost and ignore theperformance of professional ethics, in addition their professional competence is low andthey lack active concern for social responsibility, these resulted in the decline of auditquality and the low industry integrity. Secondly，for solving these problems, this paperanalyzed the practice environment and industry access management system of CPA deeplywhich affect the professional ethics of CPA. Analyzed the impact of the practiceenvironment to professional ethics from both external and within environment of CPAprofession, and analyzed the impact of the industry access management system by theprovisions on the CPA profession qualification and regulatory penalties. Finally, the paperproposed the countermeasures to enhance the standards of professional ethics of CPA frommacro to micro. Such as improve the external practice environment, increase the thresholdof the CPA profession and strengthen the building of professional ethics of each CPA toimprove the standards of professional ethics of CPA profession in China.