Setback to ICAI: Parliamentary panel recommends Setting Up of IIAs similar to IIT and IIM for Accounting & Finance Profession [Read Report]

In a major setback for the Institute of Chartered Accountants of India (ICAI), According to a Parliamentary panel, the government should consider establishing Indian institutes of accounting (IIAs) around the country, similar to IITs and IIMs, to further the development of the accounting and finance profession.

In its report on the “Chartered Accountants, Cost and Works Accountants, and Company Secretaries (Amendment) Bill, 2021,” which was introduced in Parliament today, the standing committee on finance made this observation.

The Standing Committee on Finance has tabled a report on the Chartered Accountants, Cost and Work Accountants, and Company Secretaries (Amendment) Bills, 2021, recommending that the government establish an Institute of Accounting (IIA), similar to India’s IITs and IIMs, with the goal of providing higher quality education in the Accounting and Finance sector.

Chartered Accountants Amendment Bill introduced by Government

The Parliamentary panel also recommended that, as is the case in industrialized countries, numerous committees be established to encourage healthy competition, raise financial reporting and auditing standards, and improve the country’s credibility.

During the Winter session of the Lok Sabha, the government introduced the proposed bill on December 17, 2021. On December 21, 2021, it was referred to the standing committee, which gave its report on the law today.

CA Act Amendment Bill: ICAI President seeks status quo on disciplinary committee

The Chartered Accountants Act of 1949, the Cost and Works Accountants Act of 1959, and the Company Secretaries Act of 1980 are all being amended by this bill.