Chartered Accountant

Chartered accountancy was established in 1854 in Britain. It is the core activity of the business.

Institute of Chartered Accountants of India (ICAI) manages the Chartered Accounting course (CA ) education and training in India. It is the body responsible for maintaining the quality of CA course and education in India.

A chartered accountant works as a private advisor or in the accounts department of an organization. Chartered Accountant plays an important role in case of disputes, bankruptcy, etc.

CA course can be distributed into three main levels. They are-

CPT (Common Proficiency Test)

  1. IPCC (Integrated Professional Competence Course)
  2. CA Final Course
  3. CPT is the entry level test.

IPCC is the first stage of theoretical education and

The final course is the final stage of theoretical education.

A candidate is said to have finished the course only on completing all the three stages. There are no regular colleges (like in case of other professional courses) offering CA course. Candidates must apply online, pay the fees and prepare like one is in ‘correspondence’ mode. Aspirants may take coaching and training provided by CA Institutes and coaching centers.

Duration

It takes 5 years to complete the CA course generally.

After passing the 1st group of IPCC, the students have to undergo the on-job training period of 3 years called as “articles” with an audit or accounts firm.

After completion of the articles, the student can appear in the final course. The GMCS (General Management and Communication Skill Course) is the 15 days mandatory training course introduced in 2003.

Admission Procedure

The students with the commerce or science background can get admission in the CA course. After the completion of 12th standard, students can take the admission in the CA programme through the CPT (Common Proficiency Test).

Interested students can register for the test after passing their 10th examination, though they are supposed to appear for the test after 12th.

The form for the same can be obtained from Deputy Secretary (Examinations), The Institute of Chartered Accountants of India, lCAl Bhawan, Indraprastha Marg, New Delhi – 110002 on payment of Rs 1500 (Rs 500 towards examination fee and Rs 1000 towards application form).

Procedure :

  • Register on the official ICAI website as a new user
  • Choose registration number from the options provided
  • Authenticate using course+SRN+DOB
  • Once authentication is done, enter email and mobile number
  • Login with the help of registration number and password
  • Provide address and other details
  • Validate email and mobile number
  • Fill up the form and upload the necessary documents
  • Make payment of application fee to complete the process
  • Download the duly filled form

The option for uploading scanned passport size photograph and signature will be given, but in case the photo and signature do not appear on the printout. Paste a recent passport sized photo on the printout and sign it.

The print out should be sent to the following address by speed/registered post only:

THE JOINT SECRETARY (EXAMS.), EXAMINATION DEPARTMENT

THE INSTITUTE OF CHARTERED ACCOUNTANTS OF INDIA

‘ICAI BHAWAN’, INDRAPRASTHA MARG

NEW DELHI – 110 002

Note:- The candidate must mention “Online Application Form for CPT Exam” on the envelope.

Eligibility

  • Any student who has passed 10th class or any course equivalent to that can apply for the Common Proficiency Course (CPC) first.
  • A minimum of 55% score is required for graduates/post graduates in commerce whereas other graduates or postgraduates require a minimum of 60% to apply for CA.
  • Candidates need to register 9 months prior to the exam and then complete 100 hours of Information Technology Training.

Examination Details

The CPT is the entry-level foundation course involves the quantitative aptitude test, general economics, mercantile laws, and accounting.

Its a 200 objective question exam covering 4 subjects

  • Accountancy (60 Marks)
  • Mercantile Law (40 Marks)
  • Quantitative Aptitude (50 Marks)
  • Economics (50 Marks)

Each correct answer will give 1 mark and there will be negative of 0.25 for every wrong answer. Passing marks is 50% i.e 100 provided you must score 30% in each subject.

The IPCC has two groups. It covers the working knowledge of the core subjects. It is specially designed to improve the knowledge of accounting standards.

It covers 7 theory papers of 100 marks each divided into 2 groups. Exams can be given anytime after 9 months from enrolling to this course.

There will be 2 exams for Accountancy and 1 exam each for Cost and Financial Management; Auditing; Law Ethics and Communication; Direct and Indirect Taxation; Information Technology and Strategic Management

Passing marks is 50% subject to 40% in each exam.

The CA final course covers the advanced knowledge of financial reporting, management accounting, strategic financial management, professional ethics, information systems control, and advanced auditing.

There will be 8 papers of 100 marks each divided into 2 groups with the same passing criteria as IPCC.

Subject for the same are :

  • Financial Reporting
  • Advanced Auditing and Professional Ethics
  • Company Law
  • Financial Management (This is a separate exam now, In IPCC this was clubbed with cost accounting)
  • Cost Management ( this was clubbed with Financial Management in IPCC) the
  • Information Technology
  • Direct Tax (Only one paper of Tax in IPCC)
  • Indirect Tax

Jobs & Career Opportunities

The career as a Chartered Accountant is an interesting career option for the commerce background students. It is one of the best job oriented courses in India and abroad. After the completion of the course, the candidates need to get the membership and certification by the ICAI. The membership is the subject of annual renew by submitting Rs.400 as the annual fees.

As a CA, candidates can work in government or public service undertakings as well as the private sector companies.

They can even have an option to either be employed with a firm as an employee or can choose to open up their own private practice. A chartered accountant can also work in various areas of banking, tax management, auditing, financial accounting, cost accounting & consultancy.

They can deal with matters such as taxation, investigation, audit & consulting with the company.

The average starting salary of a CA varies from Rs. 4 to 6 lakh per annum after completing the final course. The salary depends on the city and the company you get employed with.