Member in employment cannot perfom ISA attestation

The Council in this connection clarified that the Attest function would cover services pertaining to audit, review, certification, agreed upon procedures, and compilation, as defined in the Framework of Statements on Standard Auditing Practices and Guidance Notes on Related Services published in the July, 2001 issue of the Institute’s Journal.”

   

   In view of the above provisions, a member in practice is not allowed to engage in any other business or occupation other than the profession of chartered accountants except with the permission of the council. Further, a member of the Institute while attesting / certifying any document as Information System Auditor shall be deemed to be in practice.  

As per clarification received via letter no 29-CA/ESB-232 (R636)/2012 dated  Jul 31, 2012  received from Ethical Standard Board. 

How to become a CA

Procedure to become a Chartered Accountant:

* Pass Common Proficiency Test (CPT) examination
* Register for the Integrated Professional Competence Course (IPCC)
* Complete nine months of Study Course
* Complete 100 hours of Information Technology Training (ITT)
* Complete Orientation Course (35 hours spread over one week)
* Pass Group I or both Groups of Integrated Professional Competence Examination (IPCE)
* Register as Articled Assistant for a period of three years
* Pass Group II of IPCC if not already passed
* Appear for the final examination during the last six months of three years of articled training
* Pass both the groups of final examination
* Get final examination certificate
* Complete the remaining period of articled training
* Complete course on General Management and Communication Skills
* Enroll as a member of The Institute of Chartered Accountants of India(ICAI).

What is Integrated Professional Competence Course (IPCC)?

In the IPCC curriculum, only working knowledge of core and allied subjects to accountancy profession is inculcated, while in the final course, the student is instilled with the advanced application knowledge of core and allied subjects to accountancy profession.

Objectives of IPCC

* Instituting a uniform and compulsory entry level test - CPT for all the students joining IPCC/ATC.
* Encouraging students having aptitude for accounting education to make an early entry into the profession.
* Complementing theoretical education by appropriate modules of practical training.
* Imparting an upgraded Information Technology Training.
* Facilitating additional courses of study during articleship training.
* Helping students in acquiring professional, ethical values and attitudes.
* Inculcating analytical ability among students through case studies.

Eligibility

A student who has passed CPT and SSC (10+2 examination) is eligible to join this course or he may opt for the Accounting Technician Course (ATC).

Depending on his selection, the student shall also be registered for practical training. Simultaneously, it is necessary for the student to register and undergo orientation program and 100 hours Information Technology Training (ITT) before appearing for IPCC/ATC examination.

A candidate who has already passed the Entrance Examination or Foundation Examination or Professional Examination (PE-1) shall be eligible, subject to complying with relevant conditions.

A candidate who was already registered for erstwhile Intermediate Examination or PE-II or Professional Competence Examination-cum-articleship shall be eligible for enrolment/conversion to IPCC, subject to complying with relevant conditions.

Registration

A student must submit filled in registration forms for IPCC or ATC supplied along with prospectus available at the sales counter of decentralised offices (the cost of the prospectus is Rs 100). These forms can also be downloaded from the institute's website - www.icai.org.

On receipt of the filled in form and the requisite fee, the appropriate decentralised office will issue study materials for Group I and/or Group II or IPCC/ATC along with the 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.

Course structure

Group I - Paper 1: Accounting (100 marks); Paper 2: Law, Ethics and Communication - Part I: Law (60 marks), Business Laws (30 marks), Company Law (30 marks), Part II: Business Ethics (20 marks), Part III: Business Comm-unication (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), 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 level of knowledge expected of students in the above subjects is ‘working knowledge’.

Helpful hints

Practice is the key. The more the practice, the more the level of confidence to face the exams.

At least 2-3 mock exams have to be attempted in the final month leading up to the exams and these question papers have to be solved in examination conditions for maximum benefit.

Mock tests help students know their level of preparation and their strengths and weaknesses so that they can rectify them well before their exam.

Unique Code Numers by ICAI

Copies of the balance sheet, tax audit reports and similar documents attested by chartered accountants as part of several million mandatory filings done by companies across the country each year may soon have a unique code number as authentication.

The Institute of Chartered Accountants of India (ICAI), the apex auditing standard setting body, is planning to introduce such unique code numbers (UCD) to check the increasing instances of forged attestations, said Amarjit Chopra, president. The UCD will be developed as part of Project Parivartan, an 18-month programme initiated by ICAI to change its operational processes to meet global benchmarks. Software major Infosys is assisting it in developing this Unified Digital Technology Platform, which includes creation of UCD.

"We want the banks to insist upon such unique code numbers, as there are several instances where people file different balance sheets or utilisation certificates for different purposes without the knowledge or approval of our members," Chopra said.

According to him, there are instances where the financial statement produced before the tax department is different from the one sent to banks or the registrar of companies. "The forgery happens because the chartered accountant's membership number is in the public domain. A UCD can make this difficult," Chopra adds.

The authenticity of attested documents is important enough in curbing corruption for the anti-corruption watchdog, Central Vigilance Commission, to have come out with a code of ethics for chartered accountants. While the project has been conceptualised, the modalities for operating this are yet to be worked out through Project Parivartan, Chopra said.

Project Parivartan was conceived with an idea of taking ICAI to a qualitatively new way of working, which would bring together both aspiring and existing chartered accountants. It was to take a comprehensive view of existing processes and benchmarks these with global best practices. Infosys, which will partner with ICAI to develop the programme, is also running the programme management office for the institute.

Common Tribunal for CA, ICWA & CS formed

Common Secretariat for Appellate Authority established under The Chartered Accountants Act, 1949, The Cost & Works Accountants Act, 1959 and The Company Secretaries Act, 1980

In terms of requirements of The Chartered Accountants Act, 1949, The Cost & Works Accountants Act, 1959 and The Company Secretaries Act, 1980, a common Secretariat for the Appellate Authority constituted by the Central Government has been established in the 4th Floor (Main Building) of ICAI Bhawan, The Institute of Chartered Accountants of India at Indraprastha Marg, New Delhi – 110002. This office would start functioning with effect from 13th September, 2010. The Officer Incharge for the office is Shri Bhaskar Bhardwaj, Dy. Secretary (Phone : 011-30110442) at the above address.

Any member of the respective institutes, aggrieved by any of the Orders of the Board of Discipline or the Disciplinary Committee of the respective institutes may, if he/she so desires, (in terms of the applicable provisions of the respect Acts) send his/her appeal to the above mentioned officer of the Authority (by name) by following the relevant provisions of the applicable Acts.

Firm Registeration Number to be quoted on every attestation

Announcement on – Requirement to mention the firm registration number allotted by ICAI in all reports issued, including certificates, by members of the ICAI - (16-08-2010)

ANNOUNCEMENT FOR THE ATTENTION OF THE MEMBERS

Attention of the members is invited to the announcement regarding requirement relating to mentioning the firm registration number in the audit reports and resolution passed by the company for appointment of statutory auditors, published on page 1312 of the February 2010 issue of the Journal.

The Council of the Institute of Chartered Accountants of India, in terms of the decision taken at the 296th meeting held in June 2010 has decided to extend the requirement to mention the firm registration number to all reports issued pursuant to any attestation engagement, including certificates, issued by the members as proprietor of/ partner in the said firm. The requirement shall apply where such firm registration number has been allotted by the Institute of Chartered Accountants of India.

The Council further decided to make this requirement effective for all attestation reports/ certificates issued on or after 1st October, 2010.