Chartered Accountancy

With the rapid growth in economy, careers in finance and accounts have gained tremendous popularity and the most prestigious career option in this filed is that of Chartered Accountant. Chartered Accountancy is a dynamic, challenging and rewarding profession. All the countries have their own Accountancy Association which regulates the quality and quantity of the professionals in this field. Chartered Accountancy Course is a professional course in Accounting introduced in our country in 1949, with the enactment of the Chartered Accountants Act. The Institute of Chartered Accountants of India (ICAI) was formed the same year . This Institute is both an examining and a licensing body. It is the responsibility of the institute to conduct the Chartered accountancy (CA) Course. The course involves a blend of theoretical education and practical training which run concurrently for a period of three years and equips a student with knowledge, ability, skills and other qualities required of a professional accountant.

A Chartered accountant is one who is specialised in accounting, auditing and taxation. He also serves as a management and corporate caretaker. In recent times, accountancy has become popular as a profession. The services of a CA is required in money matters even in a small business . Moreover according to the Company Act only CA's in professional practice are allowed to be appointed as auditors of companies in India. A chartered accountant is a person who is accepted as a member of the Institute of Chartered Accountants of India (ICAI) after having passed the Final examination of the Chartered accountancy course conducted by the institute. 

Many multinational companies have come forward in the Chartered Accountancy field. ICICI Prudential, Om Kotak Mahindra, Birla Sun-Life, Tata AIF Life, Reliance, HDFC Standard Life-Chartered Accountancy Co., Max New York Life, SBI Life Chartered Accountancy, ING Vysya Life etc. are the top companies in the private sector. In non-life Chartered Accountancy segment, major private players are ICICI Lombard, Royal Sundaram, Cholamandalam, IFFCO Tokyo, Tata AIG etc. All Chartered Accountancy companies come under the Chartered Accountancy Regulatory and Development Authority (IRDA) which is established to regulate, promote and ensure orderly growth of Life and General Chartered Accountancy industry in India. 

CA programme is a professional course which has three sections namely, Common Proficiency Test (CPT); Integrated Professional Competence Course (IPCC) and Final Course. The registration for CPT and IPCC is open throughout the year. A student may register at any time during the year. However, as the examinations will be held twice a year in May and November, it is necessary that a student must register at least ten months before the examinations. After passing the Integrated Professional Competence Course (IPCC) candidates are eligible for registration as articled clerks/ audit clerks for practical training. Computer Training Programme, ie 100 hours Information Technology is compulsory for the candidates who wish to register themselves as auditor clerk. Students can undergo this programme while pursuing CPT or IPCC.

Eligibility

A Candidate who has passed the 10th examination conducted by an examining body constituted by law in India (or an examination recognized by the Central Government as equivalent thereto) can register for the Common Proficiency Test (CPT) of the CA programme. But they can write the examination only after passing the Senior Secondary Examination (10+2) or waiting for the 10+2 exam results. There are no restrictions with regard to the age of the candidate or marks secured in Senior Secondary Examination.

Commerce graduates with 50% marks, non-commerce graduates with subjects other than Mathematics with an aggregate of 55% marks and non-commerce graduates with Maths with an aggregate of 60% marks are exempted from the Common Proficiency Test (CPT) and are permitted to register for Integrated Professional Competence Course (IPCC).

Candidates who have passed the Final Examination conducted by the Institute of Cost & Works Accountants of India (ICWAI) or the Institute of Company Secretaries of India (ICSI) can register for Professional Competency Course.

After passing Integrated Professional Competence Course, the candidates can register as Articled clerks for practical training and for admission to the Final course of the Chartered Accountant. Every graduate above18 years of age is eligible to register as an articled clerk/ Audit Clerks for Chartered Accountancy. Computer Training Programme is compulsory for the candidates who wish to register themselves as auditor clerk. They should under go 100 hours training in Information Technology along with IPCC.

Candidates aspiring for this career should have a pleasing personality, practical approach and a natural instinct to deal with figures to do well in this profession.

Job Prospects & Career Options

The growing importance of trade and industry along with the rapid growth of capital and money markets in an economically developing nation like ours, has increased the importance of Chartered Accountants enormously. Moreover all the companies registered under the Companies Act, are required to get their accounts audited only by practicing Chartered Accountants. A qualified Chartered Accountant has the option of joining the Government Service, Public Sector undertakings or taking up a lucrative assignment in the private sector. The duty of Chartered accountant is to ensure that the financial transactions of an organisationare maintained according to the law, they also keep track of cost of management of the company and manage tax matters.

Chartered accountants work as Finance Managers, Financial Controllers, Financial Advisors or Directors (Finance) and watch over the finances in the day to day management of companies. Their main areas of work include Accountancy, Auditing, Cost accountancy, Taxation, Investigation and Consultancy.

The accounting department prepares, analyses financial reports and documents of an organisation. Auditing involves checking the accuracy of the financial statements, ensuring that the accounts presented are drawn up on correct accounting principles. Cost Accountancy involves maintaining cost auditing records, compiling cost information, installing cost control and performing cost audits. Taxation involves dealing with direct taxes, like income tax and wealth tax, assessment of taxes, filing returns and providing advice on indirect taxes. Investigation include expert examination of specific aspects of businesses for the information of interested parties on new issues of share capital, the purchase, sale or financing of a business and for reconstruction. The various areas of consulting include Management accounting and internal audit, corporate law advice, project planning and finance, business advise, systems design and information consultancy. Chartered Accountants also act as directors, arbitrators for settling disputes, handling work related to insolvency, bankruptcy etc. and also as executors under a will or trust in order to carry out the administration of an estate or settlements. They are also engaged in activities like markets research, budget planning, working capital management, inventory control, policy planning, securities consultancy, registrar of issues of securities etc.

Some of the opportunities available for Chartered Accountants are in capital markets, business houses and industry. They can also have their own consultancy or private practice which could be more lucrative and satisfying. With the country liberalizing its policies and approach, opportunities are expected to grow further.

They are also well placed in government sector as director finance, chief executive or the Head Of the Department of the accounts, information technology etc. They help the government for proper implementation of accounting system.

Other career option: After passing the CA examination one could go for management Accountancy course; courses like Diploma in Insurance and Diploma in Information System Auditing.

Prospects Abroad : Institute of CA of India is well recognized by Institute of England, Wales and Australia. The members of ICAI can do practice or they can go for employment in these countries. ICAI is not approved by several countries like United Nations of America. Since ICAI is a member of the international Federation of Accountants committee and also international federation of Accounting Standard board, one can do their services in these countries. But for practicing they should undergo a particular examination conducting by the respective countries. The examination conducted by UNA is called CPA, Certified Public Accountant Examination.

Examination & Course Details

CA programme mainly comprise of three sections, Common Proficiency Test (CPT), Integrated Professional Competence Course (IPCC) and the Final examination.

Common Professional Test (CPT)

The entry level examination for the Charted accountants, Common Professional Test (CPT), earlier known as Professional Education (Examination - I), conducted by the institute once in a quarter is designed in the pattern of entry level test for engineering, medical and other professional courses.

Eligibility : Anyone who has a 10 + 2 can enroll for the Common Professional Test (CPT). A student who has passed the 10th examination can also register with CPT but could write the exam only after the Plus Two examination. Duration of the course is 10 months. Graduates who doesn't have the request percentage of marks have to do the Common Professional Test.

CPT examinations are held twice a year in June and December.

CPT Exam : The four-hours duration CPT examination comprise two sessions of 2 hours each, with a break between two sessions and carrying a total of 200 marks consists of four subjects namely fundamentals of accounting, mercantile law, general economics and quantitative attitudes. CPT is an objective type test with negative marking.

Subjects for CPT

Session - I ( Two Sections- Two hours - 100 Marks)

• Section A: Fundamentals of Accounting ( 60 Marks )

• Section B: Mercantile Laws ( 40 Marks )

Session - II (Two Sections- Two hours - 100 Marks)

• Section C: General Economics ( 50 Marks )

• Section D: Quantitative Aptitude ( 50 Marks )

Registration for Common Professional Test (CPT)

Students have to ensure their registration at least 60 days prior to the first day of the month in which CPT examination is to be held i.e. on or before 1st April and 1st October, can appear in the CPT examination to be held in June and December respectively.

Registration form can be obtained from the addresses given below on paying a requisite amount. The form can also be downloaded from the website of www.icai.org

Gujarat, Maharashtra, Goa and Union Territories of Daman & Diu and Dadra & Nagar Haveli	Western India Regional CouncilThe Institute of Chartered Accountants of India ICAI BHAWAN, “Anveshak” 27 Cuffe Parade, Colaba Post Box No. 6081, MUMBAI – 400 005 Phone: 022-39893989 Fax: 022-39802953 E-mail: wro@icai.org
Andhra Pradesh, Kerala, Karnataka, Tamil Nadu and the Union Territories of Pondicherry and Lakshadweep Islands	Southern India Regional CouncilThe Institute of Chartered Accountants of India ICAI BHAWAN, 122, M.G. Road, Post Box No. 3314, Nungambakkam, CHENNAI – 600 034 Phone: 044-39893989 Fax:044- 30210355 E-mail: sro@icai.org
Assam, Meghalaya, Nagaland, Orissa, West Bengal, Manipur, Tripura, Sikkim, Arunachal Pradesh, Mizoram, Andaman -Nicobar Islands	Eastern India Regional CouncilThe Institute of Chartered Accountants of India ICAI BHAWAN, 7, Anandilal Poddar Sarani, (Russell Street), KOLKATA – 700 071 Phone: 033-39893989 Fax: 033-30211145 E-mail: ero@icai.org
Uttar Pradesh , Bihar, Madhya Pradesh, Rajasthan, Uttaranchal, Chhattisgarh and Jharkhand	Central India Regional CouncilThe Institute of Chartered Accountants of India ICAI BHAWAN, Post Box No. 314, 16/77B, Civil Lines, KANPUR – 208 001 Phone: 0512-3989398 Fax: 0512-3011173 E-mail: cro@icai.org
Delhi, Haryana , Himachal Pradesh, Jammu & Kashmir, Punjab and Union Territory of Chandigarh	Northern India Regional CouncilThe Institute of Chartered Accountants of India ICAI BHAWAN, 52-54, Vishwas Nagar, DELHI – 110032 Phone: 011-39893990 Fax: 011-30210680 E-mail: nro@icai.org

Eligible candidates have to forward their application for registration along with (i) Demand Draft towards registration fee; (ii) Attested copies of date of birth and 10th pass mark statements; (iii) Attested copy of 12th pass or its equivalent qualification as recognized by the Central Government, if passed; (iv) Proof of Nationality, if student is foreigner; (v) Proof of special category certificate i.e. SC/ST, OBC and Disabled.

CPT Registration form to be submitted to the Branches or Regional Office in consonance with the address of the student.

A candidate is declared successful in Common Professional Test (CPT), if he/she secures an aggregate of 50% of the total marks in all the papers subject to a minimum of 40% marks in each paper. 

Integrated Professional Competency Course (IPCC)

The CA Programme is mainly divided into Integrated Professional Competence Course (IPCC) and Final course. IPCC is the first stage of theoretical education of Chartered Accountancy Course. After completing the CPT or graduation with required marks one can go for Integrated Professional Competency Course (IPCC). The registration for PCC is open throughout the year. A student may register at any time during the year. The exam will be held twice a year in May and November, it is necessary that a student must register at least ten months before the examinations.

IPCC is composed of two level i.e., Group I, Accounting Technician Course (optional) and Group II. A candidate may opt for enrolment to Group I OR Group I and Accounting Technician Course OR Accounting Technician Course and/or Group II OR Group I and Group II Or for all the levels referred to above. In IPCC only working knowledge of core and allied subjects to accountancy profession is is imparted, while at the Final level, advanced application knowledge of core and allied subjects is being inculcated.

Eligibility :

• A candidate is eligible for enrolment to any of the level (s) of the Integrated Professional Competence Course (IPCC) on passing the Common Proficiency Test and Senior Secondary Examination (10+2 examination) conducted by an examining body constituted by law in India or an examination recognized by the Central Government as equivalent thereto.
• A candidate who has already passed Entrance Examination or Foundation Examination or Professional Education (Examination-I) shall be eligible for enrolment to Integrated Professional Competence Course subject to complying with relevant conditions.
• A candidate who was already registered for erstwhile Intermediate Examination or of Professional Education (Course-II) or Professional Competence Examination cum articleship shall be eligible for enrolment/ conversion to Integrated Professional Competence Course subject to complying with relevant conditions.

In IPCC, a student would undergo theoretical education and three years of practical training after passing Group-I of IPCC/ Accounting Technician course. In order to develop a strong theoretical base, students of IPCC have to undergo nine months study course before appearing for the first time in the Integrated Professional Competence Examination (IPCE). Besides this, they are also imparted 100 hours Information Technology Training (ITT) and have to undergo 35 hours Orientation Programme.

Subjects for Integrated Professional Competency Course (IPCC)

The subjects of IPCC are classified into two groups namely Group I and Group II that comprise of four papers and three papers respectively. A student can study and appear in the examination group-wise or both the groups together.

Group I

• Paper 1 - Accounting (100 Marks)
• Paper 2 - Business Laws, Ethics and Communication (100 Marks)
Part I : Law (60 Marks)
Business Laws (30 Marks)
Company Law (30 Marks)
Part II: Business Ethics (20 Marks)
Part III: Business Communication (20 Marks)
• Paper 3 - Cost Accounting and Financial Management
Part I : Cost Accounting (50 Marks)
Part II : Financial Management (50 Marks)
• Paper 4 - Taxation
Part I : Income-tax (50 Marks)
Part II: Service Tax (25 Marks) and VAT (25 marks)

Group II
• Paper 5 - Advanced Accounting (100 Marks)
• Paper 6 - Auditing and Assurance (100 Marks)
• Paper 7 - Information Technology and Strategic Management
Section A: Information Technology (50 Marks)

Section B: Strategic Management (50 Marks)

The student should get 40% mark minimum with an aggregate of 50% in a group. On passing either Group I or both the Groups of IPCE, a candidate can register as Articled Assistant for a period of 3 years.

Registration : A student should submit filled-in registration forms for Integrated Professional Competence Course supplied along with Prospectus available at sales counter of decentralized offices, the cost of Prospectus is Rs. 100/-. These forms can also be downloaded from Institute's website www.icai.org. On receipt of filled-in form and requisite fee, the appropriate decentralized office will issue study materials for Group I and/or Group II or IPCC. The decentralized office will also issue registration letter. While taking admission to 100 hours ITT with regional/branch office, a student is required to produce a copy of the registration letter.

Accounting Technician Course (ATC)

Accounting Technician Course (ATC) is equivalent to Group I course of Integrated Professional Competency Course (IPCC). Candidates who do not wish to complete erstwhile Intermediate/ PE-II/ PCC/ IPCC can opt for the Accounting Technician Course. Those candidates who opt for ATC has to undergo a study course of nine months, 35 hours Orientation Programme and 100 hours ITT before appearing in Accounting Technician Examination (ATE). After passing Accounting Technician Examination (ATE), the candidates will also be required to complete 12 months of work experience, as per the guidelines of the Council and on production of a certificate to this effect he will be issued Accounting Technician Certificate.

Eligibility criteria is as same as that of IPCC.

Final Course

Final course which impart expert knowledge in financial reporting, auditing and professional ethics, taxation, corporate laws, systems control, strategic finance and advanced management accountancy is the last stage of Chartered Accountancy course. In the Final course of the chartered accountancy curriculum, advanced application knowledge of core and allied subjects to accountancy profession has been intended. While undergoing final course, a student has also to complete General Management and Communication Skills (GMCS) Course.

The candidate could register as a final student and write the final exam once they passed the IPCE and the Information Technology training. The final examination also has similar type of papers of two groups, four papers each.

Subjects for Final Course

Group I

• Paper 1 - Financial Reporting (100 Marks)

• Paper 2 - Strategic Financial Management (100 Marks)

• Paper 3 - Advanced Auditing and Professional Ethics (100 Marks)

• Paper 4 - Corporate and Allied Laws (100 Marks)

Section A: Company Law (70 Marks)

Section B: Allied Laws (30 Marks)

Group II 

• Paper 5 - Advanced Management Accounting (100 Marks)

• Paper 6 - Information Systems Control and Audit (100 Marks)

• Paper 7 - Direct Tax Laws (100 Marks)

• Paper 8 - Indirect Tax Laws (100 Marks)

Section A: Central Excise (40 Marks)

Section B: Service Tax & VAT (40 Marks)

Section C: Customs (20 Marks)

The person should get minimum of 40% mark with an aggregate of 50% in a group and once the final examination and article ship completed, the Charted accountant should under go a communication and management course that would help him for better communication. On successful completion of the Final examination one becomes the member of the Institute. Member of the Institute may either practice as a Chartered Accountant on his own or go for employment.

Indira Gandhi National Open University (IGNO) has entered in an agreement with the Institute of Charted Accountants of India to conduct a B.Com course for CA student. Those who are enrolling as CA student, can go for B.Com course of IGNO, where they need not write all the papers, they will have certain exemption. They will get a guaranteed graduation along with they do the CA course.

Note : To register for the exams, one has to send the application to the institutes regional centers. Various paper wise exemptions are available.

Useful Contacts

The Institute of Chartered Accountants of India (ICAI), (Website :www.icai.org ) with its headquarters in New Delhi, acts as the nodal agency in regulating the profession of the CAs as well as conducting examinations, granting certificates and exercising disciplinary control over the members. There are five Regional Councils and several branches under them. There are several chapters overseas also.

Head Office : 

The Institute of Chartered Accountants of India,

ICAI Bhawan, Indraprastha Marg, Post Box. No. 7100, New Delhi - 110 002

Phone : 011-39893989

E-Mail: Contact Us

Northern Region : (For candidates residing in the states of Delhi, Haryana, Himachal Pradesh, Jammu & Kashmir, Punjab and Union Territory of Chandigarh) 

The Institute of Chartered Accountant of India,

ICAI Bhawan, 52, 53 & 54, Vishwas Nagar Sahadra, Near Karkarduma Court Complex, New Delhi - 110 032 

Phone : 011-30210613 

EPABX No: 011-39893990

Fax : 011-30210680 

E-Mail: Contact Us

Central Region : (For candidates residing in the states of Uttar Pradesh, Bihar, Madhya Pradesh and Rajasthan)

The Institute of Chartered Accountants of India,

ICAI Bhawan, 16/77-B, Civil Lines, Behind Reserve Bank of India, Kanpur-208 001, U P 

Phone : 0512-3011152

EPABX No: 0512-3989398

Fax : 0512-3011174 

E-Mail: Contact I, Contact II

Southern Region : (For candidates residing in the states of Andhra Pradesh, Kerala, Karnataka, Tamil Nadu and Union Territories of Pondicherry and Lakshadeep) 

The Institute of Chartered Accountants of India,

ICAI Bhawan, 122, Mahatma Gandhi Road, Post Box No. 3314, Numgambakkam, Chennai-600 034 

EPABX No: 044-39893989 

Fax : 044-30210355 

E-mail: Contact Us

Western Region : (For candidates residing in the states of Gujarat, Maharashtra, Goa and Union Territories of Daman & Diu and Dadra & Nagar Haveli) 

The Institute of Chartered Accountants of India,

ICAI Bhawan, 'Anveshak' 27, Cuffe Parade, Coloba, P. B. No. 6081, Mumbai- 400 005 

Phone : 022-39802903

EPABX : 022-39893989 

Facsimile : 022-39802953 

E-mail: Contact Us

Eastern Region : (For candidates residing in the states of Assam, Meghalaya, Nagaland, Orissa, West Bengal, Manipur, Tripura and Mizoram and Union Territory of Andaman & Incobar Islands) 

The Institute of Chartered Accountants of India,

ICAI Bhawan, Anandilal Poddar Sarani, 7 (Russell Street), Kolkata - 700 071 

Phone : 033-30211202

EPABX : 033-39893989

Fax: 033-30211102 

E-mail: Contact Us