ICAI seeking recognition for Indian degree abroad

The Institute of Chartered Accountants of India (ICAI) which was rebuked by the government after taking a protectionist stance against competition from multinational accounting firms has now entered into negotiations with their counterparts in the UK, USA, Canada, Australia and Newzealand so that Indian chartered accountants are accepted in these countries.

"We have entered into dialogues with our counterparts in these countries to allow Indian CA's to practice there. Talks are progressing and we would like our professionals to take a test of the local laws that are not covered under the Indian system and are not covered by our Institute," explained Sunil Goyal, president ICAI.

"As of now only Canada and UK offers some exemption to Indian professionals. Our CA's have to undertake exams on seven papers out of 11 subjects in Canada. This number in Canada was five out of nine. Except for Middle East, where Indian CA's are accepted, in no other part of the globe are they totally exempt from any sort of exams," he explained.

"The exemptions in Canada and UK was a voluntary exercise adopted by their institutes. We however want them to exempt Indian's from all exams except the local law that might be either one or two papers," Goyal said.

"Talks are at various stages and it will take some time before we achieve something out of the exercise," he said.

"They have to provide us a level playing filed in their home countries and allow us similar benefits they are being offered here," the president said.

ICAI is also lobbying with the government so that the latter takes the matter up at the government level which would allow Indian CAs get a level playing field abroad "" specially in the US and UK, Goyal informed.

Meanwhile, ICAI is also trying to allow multiple partnership and association of non-CA's with CA in a single partnership firm.

This will however require amendment of the Act which is likely to tabled in the Winter Session. If allowed they will however provide Indian firms the edge to compete with the big four.