Institute of Chartered Accountants of India, or ICAIA, is the country’s organization for professional accountants. It was formed to oversee the operations and professionalism of chartered accountancy in India. It was established on the 1st of July 1949 under the Chartered Accountants Act. In terms of the number of members, ICAIA is the second largest professional accounting institution in the world, in which the American Institute of Certified Public Accountants ranks first.
The members of ICAIA are called Chartered Accountants. There are certain qualifications and requirements before one can be a Chartered Accountant. Three years of articleship or practical training is required, and the applicant must pass a series of examinations before he can be an ICAIA member. Once the applicant passed the exams and completed the requirements stated under the institution’s Acts and Regulations, he can legally attach the title CA, which stands for Chartered Accountant, before his name. A member levels-up his membership by either becoming a fellow or associate. If an applicant for fellow or associate passed the requirements, FCA or ACA can now be placed before his name.
The Chartered Accountants of India’s scope of work must be in accordance to the Companies Act 1956, Income Tax Act 1961 and various legislative authorities in India. The financial statements audited by Chartered Accountants of India must also be prepared with careful guidance from India’s generally accepted accounting principles (GAAP). Apart from auditing firms, CAs in India also work in other fields. Some of them explored the world of manufacturing and trading, while some held CFO positions.