Full Form of CA – Chartered Accountant
The Full Form of CA is “CHARTERED ACCOUNTANT.” He is a legal account professional who looks after the accounts of a firm. Basically, he audits the account of a company and gives his advice on the tax matters according to the country’s tax laws.
Work of CA (Chartered accountant)
A chartered accountant is a respectable position in a company and has many responsibilities on his shoulder. Some responsibilities of CA are as follows:
The main responsibility of CA is to audit the accounts of the company. In this process, he checks the company’s expenditure and income and prepares the balance sheet. The audit is required to know the profit and loss of the company. He is the final authority, which verifies the company’s account and gives suitable remarks on that.
The chartered accountant also works as a liaison officer between the company and the government. If a company is a semi-governmental, CA prepares its balance sheet and informs the government department about that audit.
CA is a master in tax laws and knows each and every peculiarity of tax laws. He uses his knowledge and legal provisions to make the company’s income less taxable to maximize profit. There are various laws related to tax in all countries and India as well, so how to deal with such laws rests with CA.
CA also acts as a tax-legal adviser to the company. He gave him valuable advice on the management of the company when the company is required. In some instances, when the company is fighting a tax suit, CA is the person who helps the company to tackle the case.
One who wants to become a CA should possess the following qualification:
10+2 in commerce, Bachelor in commerce (B.com), Master in Commerce (M.com), Ph.D. (Commerce), and should clear the national level exam of Chartered accountancyExam Of Chartered AccountancyCA exam conducted by ICAI (Institute of Chartered Accountants of India) is conducted for aspiring Chartered Accountants. The entire curriculum is divided into three level i.e. Foundation, Intermediate, and Finals. These exams are conducted twice a year. .
How to Become a CA (Chartered Accountant)?
The Way to become CA is hard but not impossible; one can become a CA if he has the zeal to become. Aspirants of CA can start preparation at various stages of life. The qualification and other criteria’s are given below:
This was the stage when a person completed his senior secondary examinations, and he wants to become CA. At this stage, he can enroll himself in CA institutes. In the foundation course, the subjects are quite similar to the 10+2 syllabus of commerce. It is the basic level of CA.
After completion of the foundation course in CA, one has to enroll himself in the intermediate stage of CA. This stage is a bit hard stage because all the subjects are new, like company law, etc. Aspirants get basically 9 months to study after their foundation to get enrolled in the intermediate course.
After completion of the intermediate course, one has to enroll himself in the article-ship training, which provides the real-time experience to him. In this training, candidates learn about the nature of working in CA. The agenda behind this training is to get the exposure of companies etc.
It is the concluding part of the whole journey. Before coming to this level, there are two exams which should be cleared by the candidate. These are GMCS and ITT. CA final is the passport to the world of chartered accountants. The success rate of this last phase is very less because of the toughness of the exam.
Abilities of CA (Chartered accountant)
A CA should have the following abilities:
A chartered accountant should be intelligent and should have good knowledge of commerce and tax laws because this is the prime thing that makes him CA. His intelligence should reflect on the work.
A CA should be accountable for his work. This is the quality that reflects the nature and loyalty of CA toward his work. An accountable person is who always shows dedication.
High Moral Values
High moral character is much required in this profession because CA deals with money matters, and there is a high scope of corruption etc. So a CA should be of high moral values.
A CA is an officer-level post, and he has to deal with many problems in daily life regarding work, and also he has to pass an order to his subordinates so a leadership quality is very much required in the CA so that he can handle all problems easily.
Laws are not the same all the while and are changed according to the government’s conditions and requirements. So a CA who is updated with the amendments in-laws is the best CA because he can not do justice with his work without updating his knowledge.
Salary of CA (Chartered accountant)
This profession is the high earning profession because it deals with the matter of money itself. So the salary is no barred for the CA professionals. The expected salary is given below (Per month):
- Beginners: 30k to 45k
- Experience (2-5 year): 55k to 70k
- Experience (5 and above years): 1lakh to 3lakh
We discussed all aspects regarding the chartered accountants above. But if we analyze everything, we find that there are some problems in the system. Firstly if we talk about the success rate, we see that this is very less because student’s basics are not cleared. They spend lots of money on coaching institutes to crack the CA exam, which shows that our schools are doing nothing. Secondly, a CA whom we called care-taker of companies accounts for. He sometimes for his own motive or profit does malpractice. Which is organized the moral conduct? There are numerous cases where CA shows false balance sheetsBalance SheetsA balance sheet is one of the financial statements of a company that presents the shareholders' equity, liabilities, and assets of the company at a specific point in time. It is based on the accounting equation that states that the sum of the total liabilities and the owner's capital equals the total assets of the company. and gets its profit. Some companies also used CA to get rid of government taxes by providing him a bribe and all, which is also totally wrong practices. All these things should be stopped. The government should require to appoint some officers or direct C&AG to check all companies’ records, even if it is private or semi-government, so that tax-evasion should be stopped.
This has been a guide to the Full Form of CA, i.e., the Chartered Accountant. Here we also present all aspects relating to chartered accountants, including the qualifications of CA, the work of CA, the salary of CA, and the abilities of CA. You may also have a look at the following articles –