The Regulation (REG) CPA exam section is more than just “the taxation” section of the Uniform CPA Examination. Yes, the REG section wants you to understand individual tax, taxation for entities, and property tax law, areas like the ethics section and business law are the CPA exam sections’ content areas that CPA exam candidates tend to neglect.
To pass the REG CPA exam, you must not only understand the robust tax calculations, but you must also understand conceptually why the Internal Revenue Service (IRS) would intuitively apply that specific tax law. Universal CPA Review’s Regulation CPA exam study material not only covers all of the necessary information that is covered in the AICPA exam blueprints, but it also gives goes the extra mile and breaks down each of these five content areas with a storytelling approach so that you can think like a tax practitioner.
Understanding the structure of the REG CPA Exam is key for being prepared on exam day. Let’s walk through everything you should be aware of leading up to the day that you walk into the Prometric center and knock your exam out.
You will have approximately 4 hours to finish each of the five testlets on your REG CPA exam. The AICPA provides candidates with a 15-minute break upon wrapping up their 3rd testlet. Keep in mind, that this break is not going to count towards your 4-hour exam. So, take your time, enjoy a quick snack and sip on some water to stay hydrated. Upon returning to your exam computer, you will be prompted with the question of whether you’d like to continue with your REG exam. Even if you are on a roll, we always recommend utilizing the breaks offered within the exam. It is totally normal to feel fatigued and you don’t want to miss silly points due to error. Once the 4 hours of exam time expire, your exam will automatically be closed and submitted for grading. Keep in mind, that any questions that are still in progress will be submitted, even if they are unanswered. You will likely be wrapping up your final task-based simulation, which you can potentially receive partial credit for. If you are interested to learn more about how the CPA exam is graded, we have a great article outlining this information.
The REG CPA Exam consists of a total of 76 multiple-choice questions, 12 of which are pretest questions, meaning they will not be graded. The REG exam will also have 8 task-based simulations broken out over 3 testlets. The simulation portion of the REG exam will contain one pretest question, meaning one of the simulations will not be graded.
Multiple choice questions – Can either be mathematical or conceptual, depending on the concept that is being tested. Unlike the other three sections, the question type on the Regulation (REG) exam is rather predictable. After all, there is only so many ways that you can calculate the basis of a corporation. With that being said, if you can identify the rules for the most common calculations, you should be able to do quite well on the multiple choice portion of this exam.
Task-based simulations – Will test your ability to think critically about the topics. There is no black-and-white way to study for task-based simulations, regardless of the CPA exam section. If you can read the sim description, and you can take a step back and remember the 2-3 types of questions that they like to ask related to that topic, it becomes a lot easier to navigate your way through the sim exhibits because now you know what it is you’re looking for. The exhibits provided on a simulation are there for a reason. So, read through them carefully and ask yourself, how does this apply to the REG CPA Exam topics?
The REG CPA exam consists of 5 total testlets. The first two testlets on your exam will be exclusively multiple-choice questions, with 76 total q