A complete guide on How to become a Chartered Accountant in 2020
Welcome to the World’s respectful and challenging Chartered Accountancy Course !!
In this article, we will share everything about the Chartered Accountancy course, complete process, No. of CA exams, certifications, training period, etc.
Overview of Chartered Accountancy course:
Chartered Accountancy course is one of the highest-paying professions. Undoubtedly, becoming a Chartered Accountant is challenging, but you will enjoy a reputed life after becoming CA. The CA course takes a minimum of 5 years to complete, and the course is defined under the guidelines of the Institute of Chartered Accountants of India (ICAI). The ICAI is a statutory body responsible for regulating and maintaining the profession of chartered accountancy in India. So, if you are planning to start your career in CA, make sure that you are ready to devote a high time.
Further, the students who are interested in accounts and taxation can opt for the CA course.
Note: You can explore the official website of ICAI here https://www.icai.org/
What does a Chartered Accountant do?
A qualified Chartered Accountant deals with the accounts and taxation matters of the organization. These matters include filing tax returns, maintaining records of investments, Auditing and reviewing financial documents and reports, preparing financial statements, etc. Additionally, a Chartered Accountant also offers advisory services to companies and individuals.
Some of the key responsibilities include:
- To maintain the accounts of the company
- To prepare and maintain financial statements of a company
- Perform various types of audits
- Advise clients on tax planning, financial risks, business acquisitions and mergers, etc
- Detect and prevent fraud and any other financial irregularities
- Advise clients on areas of business improvement
Therefore, to become a Chartered Accountant (CA), you must have a good skill-set, including good quantitative, analytical, problem-solving, communication, teamwork skills along with ethics, and professionalism.
Chartered Accountancy Eligibility criteria:
Like every other course, to start Chartered Accountancy Course, also you need to check the eligibility criteria to start the CA journey. The ICAI specifies all the requirements. Here is the eligibility criteria, make sure to ho through before enrolling yourself for CA course:
- Students of any stream i.e., Commerce, Science, or Arts, can apply.
- After 10th, the students are eligible to register for the Chartered Accountant. However, for appearing in the foundation (CPT) exam, they must have passed the 12th class.
- Students need to secure the prescribed percentage as below:
- Commerce stream: 50% aggregate marks in 12th class
- Other stream: an aggregate of 55% excluding Mathematics and 60%, including Mathematics in 12th class.
ICAI exam Stages
To become a chartered accountant, you need to complete the three years of articleship along with three stages of exams as designed by the ICAI:
- Foundation or CPT (Common Proficiency Course)
- IPCC (Integrated Professional Competence Course)
- FC (Final Course)
After completing all exams and articleship only, a candidate can achieve a Chartered Accountant’s degree.
How to become CA after 12th class?
To become a CA, a candidate needs to complete all the steps successfully:
1. Foundation (CPT) exam:
- After 12th class, the candidates have to appear in the foundation (CPT) exam. It is an entry-level exam to enter the CA profession.
- Students must have scored at least 100 out of 200 marks to apply for the IPCC program in CPT exams.
- Students need to complete four months study period in the Foundation Course and then appear for the exam. The exams for the foundation course held in June and December.
Foundation Registration link: https://cdn3.digialm.com/EForms/configuredHtml/1666/57499/Registration.html?action=newuser
2. Apply for IPCC (Intermediate) exams:
- Candidates who have successfully passed the foundation exam are eligible to apply for the registration of IPCC.
- There should be at least 8 months gap before appearing in the IPCC exams after clearing the CPT. So, students can register anytime in between 9 months for appearing in the IPCC exams.
- The IPCC exams have 7 subjects (comprises in two groups i.e., 4 exams in one group and 3 exams in other groups). Each subject has 100 marks. To clear the IPCC exams, you will have to score at least 40 marks in each subject and an aggregate of 50% or above.
- Further, in case you got failed in any group buy if you score 60 marks and above in any subject, then that particular subject will be exempt, and you don’t have to give that exam again.
- For the Intermediate (IPC) & Final examinations, the exams are held in May and November every year.
Intermediate registration link: https://cdn3.digialm.com/EForms/configuredHtml/1666/57499/Registration.html?action=newuser
3. CA Articleship:
CA students have to complete the Four Weeks Integrated Course on Information Technology and Soft skills (ICITSS) and Orientation Course (OC) while they are in the intermediate course and before the beginning of articled training.
After successful completion of IPCC exams (either passing any of the groups), you have to apply for the internship of 3 years under a certified CA or CA firm. During artcileship, you will learn the practical exposure of how to handle the work i.e., accountancy, taxation, Auditing, etc.
4. CA final exams: After completing 2.5 years of articleship, you are eligible to appear in the CA final exams (comprising 2 groups having 4 papers in each group).
Additionally, the final course students have to undergo Four Weeks Advanced Integrated Course on Information Technology and Soft skills (AICITSS) during the last two years of practical training. And this training need to be completed before appearing in the final examination.
Once you have completed the final exams, you will become Chartered Accountant and get the degree from the ICAI.
How to become CA after graduation?
A candidate can also choose to pursue a Chartered Accountant (CA) course after graduation. In such cases, they don’t need to give the Foundation or CPT exams; they can directly register for the Intermediate (IPCC) course through the Direct Entry option.
Students who want to start their CA career after graduation and Post Graduation in the commerce profile can apply through the Direct Entry system only if their score is at least 55% aggregate or equivalent from a recognized university.
However, graduates or Post Graduates from a non-commerce background need at least a 60% score in aggregate or equivalent from a recognized university.
Chartered Accountancy Course Subjects and Papers
CA Foundation Course Papers
|Paper 1||Principles and Practice of Accounting|
|Paper 2||Business Laws and Business Correspondence & Reporting|
|Paper 3||Business Mathematics and Logical Reasoning & Statistics|
|Paper 4||Business Economics and Business and Commercial Knowledge|
CA Intermediate Paper Groups
|Group 1||Paper 1: AccountingPaper 2: Corporate and other Laws Paper 3: Cost and Management AccountingPaper 4: Taxation|
|Group 2||Paper 5: Advanced AccountingPaper 6: Auditing and Assurance|
Paper 7: Enterprise Information Systems and Strategic Management
Paper 8: Financial Management and Economics for Finance
CA Final Course Papers
|Group 1||Paper 1: Financial ReportingPaper 2: Strategic Financial ManagementPaper 3: Advanced Auditing & Professional EthicsPaper 4: Corporate & Economic Laws|
|Group II||Paper 5: Strategic Cost Management & Performance Evaluation (SCMPE)Paper 6: Elective PaperList of all Elective Papers:6A- Risk Management6B- Financial Services & Capital Markets6C- International Taxation6D- Economic Laws|
6E- Global Financial Reporting Standards6F- Multi-disciplinary Case StudyPaper 7: Direct Tax Laws & International Taxation Paper 8: Indirect Tax Laws
Chartered Accountancy Fee structure:
|Course||Fees (In Rs.)|
|CA Foundation Registration fees||9,000|
|CA intermediate Fees||For both groups 18,000For Single Group 13,000|
|Final Registration fees||22,000|
Scope after CA
As a CA, you can work in any sector, including the government or the private sector companies. Further, you also have an option to either work as an employee in a firm, or you can choose to open your own private practice.
Coming to the working areas, a chartered accountant can also work in various areas of banking, tax management, auditing, financial accounting, cost accounting & consultancy. Besides that, you can work as a financial advisors or manager of particular companies.
The top recruiters of the chartered accountant are as the following:
- Auditing Firms
- Finance Companies
- Mutual Funds
- Portfolio Management Companies
- Investment Houses
- Stock Broking Firms
- Legal firms
- Legal house
- Trade Mark
- Copyright Registers
CAs are the backbone of the economy and are in great demand in the banks, auditing firms, finance companies, stockbroking firms, legal firms, etc. During artcileship, the students don’t get much salary, but they get stipend around 3-4k monthly (Depending upon the CA firm).
However, after becoming CA, they get the good salary, i.e., the average starting salary of a CA varies from Rs. 4 to 6 lakh per annum.
A complete glance of how to become CA
- Register with the ICAI Board of Studies (BoS).
- Complete four months study period and appear for the foundation exams in November/May.
- Qualify Foundation Course and register with the ICAI BoS for the Intermediate Course.
- Complete 8 months of study to appear for Intermediate course
- Pass both Groups or single group of Intermediate Course
- Complete the Four Weeks Integrated Course on Information Technology and Soft Skills (ICITSS) before the commencement of the articleship (practical training).
- Register for Three Years articleship under any CA firm on passing either or both the Groups of Intermediate Course.
- Register for the Final Course after passing both the Groups of Intermediate Course.
- Successfully complete Four Weeks Advanced Integrated Course on Information Technology and Soft Skills (AICITSS) after competing first year of Practical Training but before appearing for Final Examination.
- Appear in CA final examination after completing 2.5 years of training.
- Complete Practical Training and qualify both groups of Final Course.
- Become ICAI Member.
Download latest Chartered Accountancy Course Prospectus 2020: https://resource.cdn.icai.org/45785bos35964.pdf
CA exams are of long duration and tough too; therefore, it is advisable to choose this career after considering all factors properly. Further, you can apply for the B.com program (graduation) along with the CA course. In case you want to opt-out CA at any stage, completing graduation will help you apply for the job.