New update for ICAI Article Assistants. Interestingly, The Institute of Chartered Accountants of India (ICAI) has notified that “the Articled Assistants are eligible for Industrial Training after completing a minimum of 1.5 years of practical training.”
Coming to the technical dimension, The ICAI has put in the Chartered Accountants (Amendment) Regulations, 2021 that seeks to change the Chartered Accountants Regulations, 1988.
Change in Regulation 51 of the CA Regulations, 1988
As per regulation 51 of ‘the Chartered Accountants Regulations, 1988,’ an articled assistant who has Cleared the Intermediate (Professional competence) Examination or Professional Education (Examination-II) or Intermediate examination And has completed a minimum of 1.5 years of practical training as per the regulations 1988 shall be eligible for industrial training.
Additionally, Regulation 51 mentions that an articled assistant might serve as an industrial trainee for a period as specified in sub-regulation (4) in the offices of the Central or State Governments, Regulatory bodies, banking companies, Central statutory and judicial authorities, and other departments of Central or State Governments, Institution or Organisation as might be included by the aforesaid council from time to time; or “in any of the financial, industrial, commercial, undertakings with a minimum total turnover or minimum fixed assets or minimum paid-up share capital as shall be approved by the council from time to time.”
An articled assistant shall have to inform his principal about the aforesaid industrial training at least 3 months before the date on which such training has to start. The tenure of industrial training might be between 9 months to 18 months.
The industrial training shall be received under the mentoring of a member of the Institute of Chartered Accountants of India (ICAI). “Consequently, an Associate who has been a member for an ongoing period of at least 3 years shall be entitled to train only 1 industrial trainee at a particular time and a fellow shall be eligible to train 2 industrial trainees at a time, whether such trainees are articled assistants or audit assistants.”
“However, considering the Central or State Governments, banking companies, Central statutory and judicial authorities, regulatory bodies, and other departments of Central or State Governments, Institution or Organisation, the industrial training shall be mentored by an officer who is also a member of the Institute of that Government, Body, Authority, Bank, Department of Central or State Government, Institution or Organisation, as may be notified by the aforesaid Council at various intervals of time.”
“Further given that the remuneration of such an officer who in addition is a member of the Institute to train the industrial trainee shall be fixed by the Council from time to time considering the number of years of service and the nature of services that is being rendered by the concerned department.”
Read Also: Best Business Opportunity for Chartered Accountants
An agreement of training needs to be entered into in the form that has been approved by the Council. It is further mentioned that on finishing the industrial training, the member shall issue a certificate in the form that is approved by the Council to the trainee and forward the same copy to the Secretary. The tenure of the industrial training that is mentioned under this regulation shall be treated as service under articles for all purposes of said Regulations, given the certificate referred to in sub-regulation (7) is presented.
Subject to the/considering provisions of sub-regulation (1), an articled assistant might also serve as an industrial trainee for a period from 6 to 18 months in any foreign Country under the mentoring of an individual who is a member of the accountancy body in the said country that is recognized by the International Federation of Accountants in such a way as may be decided by the Council at different intervals of time.
A member may also depute a trainee for the industrial training up to the period of 3 months in any foreign country, in such a way as might be decided by the Council. Adding further, The industrial trainee shall be given such a monthly stipend as may be mutually agreed between the industrial trainee and the member providing the industrial training.
“In regulation 54, in sub-regulation (5), for the words 1 year, the words 18 months shall be substituted. In regulation 58 in sub-regulation (2), instead of words If the period of the excess leave taken is sought to be served, the following words The period of excess leave taken shall be served shall be substituted; and for the words last served his articles, the words last served his articles and shall be substituted; (b) sub-regulation (4) shall be deleted.”
