How to become a Chartered Accountant (CA)?

CA or Chartered Accountant is a recognized designation in India and equivalent to the American certified public accountant designation. Those fields which are related to  Business and Finance like taxation, audit,  financial and general management, these all domains are managed by Chartered Accountant.

CA as a career:

CA Is a profession which comes with a lot of numbers and accountancy data, economy, nation’s budget and auditing. If one has preferences in these areas, can successfully choose CA as a career option. 

How to become a CA in India?

Eligibility:

1- 10+2 is necessary to get enrolled for the course;

2- To pass CPT+ CA (Final exams).

Age:  There is no age limit for enrolling for CPT/ or CA  (Final).

There are two ways to become a Chartered Accountant in India:

1-  After Intermediate or 12^th:

If you have passed intermediate and want to go field directly, then you can pursue it directly. For that, you need to clear an exam which is called CPT or Common Proficiency Test.

Step by step details to become  a CA after Intermediate (12^th):-

A- CPT (Common Proficiency Test). : This exam is conducted twice in a year,i.e. June and December. This is for those candidates who are not willing to go for graduation and want to be CA or Chartered Accountant.

How to apply for CPT: Application and Information Brochure may be obtained from any of the ICAI centers or directly from Deputy Secretary (Examinations), Indraprasth Marg, Delhi-110002, which costs 1500 INR for Indian candidates. Fees vary country to country.

Age: there is no age limit for the course.

Examination pattern:  The paper is of 200 marks with four sections:

1- Fundamentals of Accounting (60 marks)

2- Mercantile Laws (40 marks)

3- General Economics (50marks)

4- Quantitative Aptitude (50 marks)

Candidates need to get 30% marks in each section and 100 marks aggregate to clear the exam. Negative marking is applicable.

B-  This the second level of CA Exam which is called Integrated Professional Competence Course (IPCC/IPCE): This stage has been divided into two levels:-

a) Examinations: The level is divided into two sets of exams. Each exam contains three papers of 100 marks each.  The details are as follows:-

Group I

• Paper 1: Advanced Accounting [100 Marks]
• Paper 2: Law, Ethics and Communication
  1. Part I: Law [60 Marks]
  2. Part II: Business Ethics [20 Marks]
  3. Part III: Business Communications [20 Marks]
• Paper 3: Cost Accounting and Financial Management
  1. Part I: Cost Accounting [50 Marks]
  2. Part II: Financial Management [50 Marks]
• Paper 4: Taxation
  1. Part I: Income-tax [50 Marks]
  2. 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 5: Information Technology and Strategic Management
  1. Section A: Information Technology [50 Marks]
  2. Section B: Strategic Management [50 Marks]

b. Practical training or Articleship: Students are required to attend the complete 3½ years of training under the supervision of Designated CA or any approved organization.

c. The IPCC course also comprises of two soft skill courses which are mandatory. Those skills are:-

Orientation Program: A one week program of 35 hours to be completed before appearing in the IPCC examination.

ITT - Information Technology Training: A course of 100-hour duration to be completed before joining the final course.

B-   CA Final Exam:

CA final is the last stage of CA or Chartered accountant. After clearing the CA final exams, you will be designated as CA.

For That, you have to register for the CA Final Course at any of the ICAI*centres in the country. Let’s see the details of CA Final exams:

Registration fees – INR  10000.

Each paper 3 hours-100 Marks

• CA: Final: Group I
  • Paper 1: Advanced Accounting [100 marks]
  • Paper 2: Management Accounting and Financial Analysis [100 marks]
  • Paper 3: Advanced Auditing [100 marks]
  • Paper 4: Corporate Laws and Secretarial Practice [100 marks]
• CA: Final Group II
  • Paper 5: Cost Management [100 marks]
  • Paper 6: Management information and Control system [100 marks]
  • Paper 7: Direct Taxes [100 marks]
  • Paper 8: Indirect Taxes [100 marks]

Candidates who have registered for CA final, will have to attend these courses as well:-

• (GMCS) II General Management and Communication Skills Course (15 days) course
• Four Weeks’ Residential Program on Professional Skills Development.

2.  Direct Entry:    Those candidates who are graduates in commerce or any other stream, are eligible for direct entry, which means they do not need to appear in CPT exams.

Eligibility for direct entry:-

• Minimum Qualification: B.com/ M.com (55%) or Graduation in any stream with 60% or candidates who have passed CS( company secretary)/ CWA exam.
• Age. There is no upper age limit.

Prerequisites for the  Direct Entry:- There is no different procedure for direct entry. It's same like those candidates who come after clearing CPT Test. This is only the eligibility criteria which are slightly different.       

1. Register for the Institute for (Integrated Professional Competence) Intermediate  Course for Both Groups with or without Accounting Technician Course (ATC).
2. Enrolled with and 35 hours Orientation Course spans one Week and 100 Hours (ITT)  Information Technology Training Practical Training registration for three years.
3. Appear in Intermediate (Integrated Professional Competence) Examination after nine months of practical training and Study Course of eight months concurrently from the date of registration for the Intermediate (Integrated Professional Competence) Course.
4. Appear and pass in both groups of Intermediate (Integrated Professional Competence) Course.
5. Register for CA Final Course and prepare for CA Final Examination.
6. Undergo General Management and Communication Skills (GMCS) II Course (15 days) course, while serving the last 19 months to 36 months of articled training. Alternatively, attend Four Weeks’ Residential Program on Professional Skills Development.
7. Complete Advance Information Technology Training during the third year of practical training.
8. Complete a three years period of articled training.
9. Appear in the Final Examination while serving last six months of articled training on or before the last day of the month preceding the month in which the examination is to be held.
10. Pass Final examination.
11. Enroll as a member of ICAI and be designated as “Chartered Accountant”.

Roles and Responsibility of Chartered Accountant (CA):

 Undoubtedly, CA is an important designation in Indian scenario because no company can run without them. They are paid well too. However, the job responsibility ranges from finance advising to auditing the accounts of the company. It also involves financial reporting, taxation, forensic accounting, business recovery, corporate financing, insolvency, etc.  In broad terms their responsibilities comprise of many aspects of  finance works including:

1- undertaking financial audits (an independent check of an organization's financial position);

2-continuous management of financial systems and budgets;

3- Providing financial advice.

It is an interesting profession for those, who have a keen interest in numbers and flair for scrutiny.This job is paid well or you can start your own CA firm. Remember, No company can run without a CA( Chartered Accountant).

!!!.. HOPE TO SEE MORE CA's IN FUTURE  ..!!!