1. The Institute of Chartered Accountants of India
Established by an Act of Indian Parliament
“The Chartered Accountants Act, 1949”

2. Our Mission
The Indian Accountancy Profession will be the Valued Trustee of World Class Financial competencies,Good Governance and Competitiveness

3. Profile of ICAI
Was set up in 1949 under the Chartered Accountants Act, 1949 even before adoption of Constitution of India in 1950
Since then Profession has grown leaps and bounds in terms of Membership and Student base

4. Profession in India
145K Members spread throughout the country and in different parts of the world
Sizeable studentship base
Increase in percentage of members joining industry
Chartered Accountants are rendering services in every walk of economic life - Politics, Judiciary, Government, Agriculture, Corporate, NGOs
Profession is dominated by small firms
Increasing trends towards consolidation
Government of India looks at ICAI as Partner in Nation Building
Technical Standards based on International Standards
Focus on Capacity Building in the emerging context

5. Size of Firms Vast majority SMPs with SME clients
Cost and time vis-a-vis detailed requirements of Standards
We do not believe in separate auditing Standards for audit of SMEs
alternative between “audit” and “review” likely to create confusion, not much value addition seen w.r.t clients as well as costs and risks involved vis-a-vis remuneration

6. ICAI Profile Particulars No. ORGANIZATIONAL SPECIAL PURPOSE OUTFITS
Regional Offices 5
Branches
117
Chapters Abroad 18
SPECIAL PURPOSE OUTFITS
CPE Study Circle
131
CPE Chapters 43
Reference Libraries 33
Accredited Institutions
273
MEMBERSHIP (‘000)
145
% in Practice
53%
STUDENTS (‘000)
520

7. Role of ICAI To regulate the profession of Accountancy
Education & Examination of Chartered Accountancy
Exercise Disciplinary Jurisdiction
Input on Policy matters to Government
Ensuring Standards of performance of Members
Formulation of Accounting Standards
Prescription of Auditing and Assurance Standards
Laying down Ethical Standards
Continuing Professional Education
Financial Report Review
Monitoring Quality through Peer Review
Conducting Post Qualification Courses

8. Decentralized Offices
ICAI Network
Chapters Abroad
Abu Dhabi
Bahrain
Botswana
Doha
Dubai
Indonesia
Jeddah
Kuwait
London
Melbourne
Nairobi (Kenya)
Nigeria
Port Moresby (Papua New Guinea)
Riyadh
Saudi Arabia (Eastern province)
Sydney
Toronto
Zambia
Decentralized Offices

10. The Central Council Consisting of 40 Members Term: Three years
32 Elected Members
8 Nominated by Central Government
Term: Three years
Headed by President
Elected by the Council for one year term
Empowered to frame Regulations under the Act and to constitute necessary standing and non-standing Committees

11. Standing Committees Executive Committee Finance Committee Examination

12. Key Non-Standing Committees
Accounting Standards Board
Auditing & Assurance Standards Board
Committee on Insurance & Pension
Committee on Accounting Standards for Local Bodies
Committee on Economic and Commercial Laws
Expert Advisory Committee
Research Committee
Board of Studies
Editorial Board
Corporate & Allied Laws Committee
Information Technology Committee
Committee on Trade Laws & WTO
Committee on Corporate Governance
Committee on Ethical Standards
Comm. On Fin. Markets & Investors’ Protection
Direct Tax Committee
Indirect tax Committee
Professional Development Committee
Continuing Professional Education Committee
International Affairs Committee

13. Key Non-Standing Committees - 2
Financial Reporting Review Board
Board of Discipline
Peer Review Board
Capacity Building Committee
Perspective Planning Committee
Committee on Members in Industry
Audit Committee
Committee on Internal Audit
Vision Committee
ICAI-ICWAI-ICSI Committee
Government Accounting Committee
Management Accounting Committee
Public Finance Committee
Diamond Jubilee Committee
The Institute is responsive to the emerging challenges and constitutes new committees for effectively meeting these challenges
Research Unit: ICAI-Accounting Research Foundation

14. Organisation Structure

15. Professional Development
Institute Functions
Professional Development
Advisory
Regulatory

16. ICAI – A Key National Body
Offers inputs to
Comptroller & Auditor General of India
Ministry of Company Affairs, Govt. of India
Reserve Bank of India
Securities and Exchange Board of India
Central Board of Direct Taxes
Insurance Regulatory and Development Authority
Departments of Central and State Governments
Departments of Public Enterprises

17. Profession is aligning itself with changing imperatives
Convergence with International Standards of Accounting and Auditing
Review and Revision of Education Curriculum.
Upgrading skill set in newer areas
Facilitating Consolidation amongst Smaller Firms
Corporatization for MCS work
Recent change in Regulatory Framework
Multidisciplinary Firms and LLP on anvil
Making CPE mandatory
Profession ready for opening up under WTO/ GATS
Introduction of Peer Review System, Financial Reporting Review
Focus on internet auditing

18. International Presence
ICAI is founder member of IFAC, CAPA, SAFA and IIN
ICAI represented in :
IFAC - Board, Education Standards Board, SMP Committee, Developing Nations Committee, International Public Sector Accounting Standards Board, Professional Accountants in Business Committee
CAPA – President & Board member
ICAI holds Permanent Secretariat, SAFA
SAFA - Chairmen and member of various Committees and Working Groups

19. International Initiatives
ICAI being consulted by IAASB in Audit Standards Setting and by IASB in IFRS setting
Playing a lead role in the area of Developing Nations, SMPs and SMEs, International Public Sector Accounting Standards, International Education Standards
SAFA adopted ICAI curriculum as model
Student exchange programs held with ICAB, ICAP, ICAN and ICASL
Opened an Office in Dubai
Opened Chapters in Melbourne, Toronto, Port Moresby (Papua New Guinea) , Sydney and Oman.
Invitation to Institutionalization of Profession in countries like Oman etc.
Initiatives for recognition of ICAI qualification by accounting bodies in other countries

20. Important Initiative Undertaken to Align with Changing Economic Order
Alignment of Indian accounting standards with IFRSs
Alignment of Auditing Standards with International Standards
Change in education and training curriculum
Launch of Post Qualification Courses Capacity building of firms
Mandatory CPE Requirement
Peer Review Mechanism
Financial Report Review
Brand building – Nationally and Internationally
Focused approach on issues relating to Corp. Governance.
Facilitating changes in regulatory frames.
Vigorous pursuance of Mutual Recognition Agreements.
Arrangement with Universities for graduation qualification to CA students
Facilitating accounting reforms in various areas

21. Examples of Involvement of ICAI in National Organizations
Drafting of Income Tax Laws
Drafting of Competition Law
Drafting of Company Law
Capital Market – Development and Regulation
Corporate Governance
Accounting & Utilization of Governmental resources
WTO & GATS
Import – Export Policy
Commercial and Economic Legislations
Non Banking Financial Companies

22. Education and Training
Distant Mode of Education
Education Through Accredited Institutions and Branches
Meets the requirements of international educational pronouncements of IFAC
Comprehensive theoretical and practical curriculum
Continuous review of the curriculum

23. Highlight of the New Scheme of Education & Training
I Common Proficiency Test
Compulsory
II 3½ years of Practical Training concurrent with components of Professional Competence Examination (PCE) and Final
Complete 100 hours of Compulsory Computer Training before appearing for PCE.
Undergo General Management & Communication Skills (GMCS) after 18 months of practical training and completion of PCE
Eligible to appear for Final Examination on completion of 3 ½ years and passing of PCE

24. Highlights of the New Syllabus
Financial Reporting
Corporate Financial Reporting
IFRS based Financial Reporting
US GAAP based Financial Reporting
Strategic Management
Study of Business Environment
Understanding Strategic Planning and Analysis
Ability to understand and formulate Functional Strategies
Financial Management
Advanced Management Accounting
Information Technology and Systems Control
Business Ethics

25. Examination One of the largest Accounting examination networks
Administrative conduct of examination and exam related process largely computerized
Exams are held twice a year
Examination system considered to be of high standard & integrity worldwide
Has been lending expertise to accounting bodies in other countries

26. Accounting Standards Convergence with IFRSs
ICAI has decided to converge with IFRSs from accounting periods commencing on or after 1st Aril 2011 for listed entities and other public interests entities such as banks, insurance companies and large-sized entities
For smooth transition to the IFRSs, ICAI will take up the matter of Convergence with NACAS, and various regulators such as the RBI, SEBI and IRDA.
ICAI would also formulate its work-plan to ensure that IFRSs are effectively adopted from 1st April 2011.
IFRSs-specific training programs will be organized for its members and others concerned to prepare them to implement IFRSs.
IASB has also offered to help the ICAI in its endeavors towards Convergence with IFRSs in India

27. Convergence with IFRSs in India
Recognizing the need for convergence in India, Council of ICAI decided to converge with IFRSs from accounting periods starting from 1st April 2011 for:
for public interest entities including listed entities, banks, insurance entities and other large sized entities,
subject to its confirmation by government and other legal and regulatory authorities

28. Strategy for Implementing Convergence with IFRSs in India
For Implementing Convergence with IFRSs from 1st April 2011, ICAI has identified following issues to be resolved:
Cooperation from Legal and Regulatory Authorities
Level of preparedness of Industry
Education and Training of auditors and prepares of Financial Statements
Work Plan of ASB for smooth transition to IFRSs
Conceptual Issues with IFRSs

29. Constitution of the Group on Implementation of Convergence
For resolving various issues, ASB of ICAI has Constituted Group on Implementation of Convergence with IFRSs, which constituted following subgroups:
Sub-Group for preparing the Work Plan of ASB and liaising with the IASB
Sub-Group for approaching the Government and Regulatory Authorities
Sub-Group for liaising with the Industry Associations
Sub-Group on Education and Training on IFRSs

30. Auditing & Assurance Standards
On the Road to Convergence
AASB founder member of IFAC
AASs issued based to the extent possible on corresponding International Standards (IS)
Chalked out timeline for bridging gap in convergence with IS
Standard on Quality Control benchmark with ISA finalized

31. Auditing & Assurance Standards
35 AASs
27 Guidance Notes on auditing issues
04 Industry specific Guidance Notes:
* Banking * General Insurance
* Stockbrokers * Life Insurance
Milestones
AAS 12, Responsibility of Joint Auditors
Statement on the Companies (Auditor’s Report) Order, 2003
Study on Money Laundering

32. Research and CPE
Commitment to advancement of knowledge in accountancy, auditing, taxation and allied areas
Published about 150 Publications
Expert Opinions on Applicability of Standards
20 Compendiums over 1000 opinions
More than 50 CPE materials published
3000 CPE programs held annually
ICAI-ARF to promote research on contemporary issues
Publishes a monthly journal with more than 175,000 circulation

33. Professional Ethics Cardinal Principles Some major highlights
Service before self
Extends beyond the legal requirements
Some major highlights
Prohibition on other occupations
Prohibition on solicitation
Prohibition on advertisement and Canvassing
Prohibition on financial interest in auditee company
Restriction on number of audits
Limit on fees for non-audit assignments
Prohibition on writing Books of Accounts of Auditee company
Demarcation between External and Internal Auditors
Professional fees for audit and other services received by a firm not to exceed 40% of the gross annual fees of the firm

34. Professional Development
Identifying Role of Profession in emerging areas
Developing Practice Areas
Upgrading and updating the knowledge and skill sets
Developing technical material to facilitate practice in new areas
Considered as critical in the changed Scenario

35. Quality Control Initiative – Peer Review
Peer Review Board of established in March 2002
Focus on:
Technical Standards compliance
Quality of Reporting
Office Systems and Procedures (attestation services only)
Staff training Programmes (attestation services only)
3378 Strong panel of Reviewers maintained
2430 Reviewers have undergone training
1231 Practice units have been issue Peer Review Certificates
The Council of the Institute accepted the request of SEBI that audit of listed companies shall be carried out by the auditors who have undergone Peer Review Process

36. Quality Review Board
Central Government has constituted Quality Review Board consisting of 11 persons.
Council of ICAI has nominated 5 members on QRB
Chairman and other 5 members have been appointed by Central Government
All services provided by members (Both attestation and non attestation will be subject to Quality Review)
Disciplinary action if there is a deficiency in service

37. Peer Review Peer Review Board established in March 2002
Reviews by Board to ensure
compliance with technical standards; and
existence, compliance and adherence to quality control
policies and procedures
Findings would not have any relationship with the disciplinary proceedings

38. Financial Reporting Review
Financial Reporting Review Board constituted in 2002 to review general purpose financial statements of certain enterprises
Board’s findings would form basis for :
initiating action against auditor concerned; and
informing irregularity to relevant regulatory authority
Board seeks general purpose financial statements of top 500 companies in India on yearly basis

39. Code of Ethics PARTICULARS ICAI CODE IFAC CODE (a) Approach
PARTICULARS
ICAI CODE
IFAC CODE
(a)
Approach
Rule based.
Principle based
(b)
Framework
Based on legal framework as per CA Act, 1949.
Conceptual framework based on general principles.
(c)
Authority
Authority founded in specific Statute.
It suggests basic principles in modular form along with examples without any statutory authority.
(d )
Enforceability
Inbuilt mechanism for its enforcement is in place.
Professional Accountants to see enforceability themselves.

40. New Initiatives
Establishment of Accounting Standards Interpretation Sub- Committee
Launched the Virtual Institute Project providing e-services to members and students
Cap on fee for rendering services other than audit
Disciplinary mechanism framework
Recast professional curriculum
Bridging the expectation gap
Common logo for the profession
Networking of Firms

41. ICAI - Virtual Institute
‘Virtual Institute’ integrates all the regions and offices to present a unified view of the operations of the entire Institute through a single integrated enterprise system
It FULFILLS the members and students right to convenience, comfort and make the benefits of Information Technology (IT) available to the members and students for rendering the Institute services online anywhere-anytime
With this all operational functions of the institute have been brought onto a common intranet with seamless flow and availability of information
Towards Tomorrow  Today
ICAI started IT initiative towards a bright future and is in it today
ICAI Portal is effectively used to make a repository of information and knowledge accessible to the members, students and employees at the click of a button.
The portal brings dynamic features to the content. It functions as a Global Gateway to ICAI. The portal’ provides a single interface to users for accessing Institute’s services taking into consideration security requirements.

42. “ICAI Bhawan”, Indraprastha Marg, New Delhi – 110 002.
The Institute of Chartered Accountants of India [Set up by an Act of Parliament]
“ICAI Bhawan”, Indraprastha Marg, New Delhi –
Phone: ,
Website: