Need

• Institute is of the opinion that there exist a skill gap between professionally trained accountants and independent accountants due to absence of professional body providing updated training & education, institute wishes to fill that gap by skill development of its members... They are mostly unrecognized in public by their designation, Though they too have statutory professional recognitions in allied areas of accounting. Hence a common professional designation is needed

•  Urgency felt when Income computation and disclosure standards made Tax Accounting standards compulsory for non-corporates in income tax act, issue of IFRS implementation for SME’s that doesn’t require getting their accounts audited, tax practitioners coming under legal professionals bill 2012, money laundering act implications for SME’s..   

• Due to very stringent final qualification exams every CA/CMA finalist cannot become a qualified CA/CMA.. At the final stage, after training for 3 years! If they wish to quit, all they are getting is Accounting Technician Certificate!!! That too without any professional membership as accounting technician.. no supervision/training for future development.. .for them only alternate career option remains is going for a job as a semi qualified accountant in Large Corporates, now our institute opens for them a self-employment option a respectable designation and huge professional opportunities in SME sector…    

• Institute’s governing council before forming institute studied scenario in various countries including developed countries like UK,USA, Australia & found that

  • Audit License and Accounting practices are separate in that countries

  • Tax Practitioners have proper national registration and licensing process and are allowed to practice accountancy discipline as a recognized accountants

  • There are many professional accountancy bodies for SME’s non statutory works..like ours

  • Accounting Technicians & SME professional accountants have global professional accountancy bodies that have been recognized by their respective countries and IFAC (global body of professional accountants)

 

Therefore, a professional body to amalgamate different accounting professionals into single body is desired & ICPA-India is been formed...Institute never wishes to pursue any kind of statutory audit rights...