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.
CA programme is of two years apart from the training period. It has three sections:
Ø Common Proficiency Test (CPT)
Ø Inteprated Professional Competence Coure (Intermediate) and
Ø Final examination.
A candidate who has passed the Senior Secondary Examination (10+2) or waiting for the 10+2 exam results can register for the CA programme. 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 has exemption from doing the CPT and are permitted to register for Inteprated Professional Competence Coure. The registration for CPT and Inteprated Professional Competence Coure 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.
A Candidate who has passed the Senior Secondary Examination (10+2) or waiting for the 10+2 exam results can register for CPT of the CA programme. 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 CPT, and are permitted to register for Integrated Professional Competence Course. (For Further Details Click Here)
Accountancy: The writing up of accounts and the preparation of Financial statements from the simplest receipts and payment Accounts of a small club to the complex and detail accounts of large public limited companies.
Auditing: The purpose of auditing is to satisfy the users of financial Statements that the accounts presented to them are drawn up on Correct accounting principles and that they represent a true and fair view of the state of affairs.
Taxation: The assessment of taxes is closely linked to financial Accounts. The Chartered Accountant with his experience in accounts is in an advantageous position to prepare the returns for tax purposes, represent assesses before the income tax authorities and render general advice on taxes to his clients. The services of CA may be requisitioned by the tax department for auditing taxation cases with large revenue potential.
Cost Accountancy: A Chartered Accountant is equipped to provide information on costing for the guidance of management, introduce cost control methods and assist the management in determining appropriate selling prices.
Special Company Work: The services or advice of Chartered Accountants are frequently sought in connection with matters such as the formation, financial structure and liquidation of limited companies.
Investigation: Chartered Accountants are often called upon to carry out investigation to ascertain the financial position of business house for the purpose of issue of new shares, purchase or sale or financing of business, finding out reasons for increase or decrease of profits, reconstruction and amalgamations.
Executors and Trustees: A Chartered Accountant is also often appointed executor under a will or trust in order to carry on the administration of the estate or settlement.
Directorship: Many members of the Institute who hold senior positions in industry and commerce are also directors of their companies.
Companies Secretarial Work: As a Secretary, the Chartered Accountant is an important link in the management chain.
Management Accounting: The Chartered Accountant’s service is utilized in a variety of ways like formulation of policies, control and performance evaluation.
Share Valuation Work: A Chartered Accountant undertakes the valuation of shares of public and private companies at the time of amalgamation or reorganization.