The types of functions generally performed by the Chartered Accountants are quite varied; some of the important ones amongst them are listed below:
Accountancy: The writing up of accounts and the preparation of Financial statements from the simplest receipts and payment Accounts of a small club to the complex and detail accounts of large public limited companies.
Auditing: The purpose of auditing is to satisfy the users of financial Statements that the accounts presented to them are drawn up on Correct accounting principles and that they represent a true and fair view of the state of affairs.
Taxation: The assessment of taxes is closely linked to financial Accounts. The Chartered Accountant with his experience in accounts is in an advantageous position to prepare the returns for tax purposes, represent assesses before the income tax authorities and render general advice on taxes to his clients. The services of CA may be requisitioned by the tax department for auditing taxation cases with large revenue potential.
Cost Accountancy: A Chartered Accountant is equipped to provide information on costing for the guidance of management, introduce cost control methods and assist the management in determining appropriate selling prices.
Special Company Work: The services or advice of Chartered Accountants are frequently sought in connection with matters such as the formation, financial structure and liquidation of limited companies.
Investigation: Chartered Accountants are often called upon to carry out investigation to ascertain the financial position of business house for the purpose of issue of new shares, purchase or sale or financing of business, finding out reasons for increase or decrease of profits, reconstruction and amalgamations.
Executors and Trustees: A Chartered Accountant is also often appointed executor under a will or trust in order to carry on the administration of the estate or settlement.
Directorship: Many members of the Institute who hold senior positions in industry and commerce are also directors of their companies.
Companies Secretarial Work: As a Secretary, the Chartered Accountant is an important link in the management chain.
Management Accounting: The Chartered Accountant’s service is utilized in a variety of ways like formulation of policies, control and performance evaluation.
Share Valuation Work: A Chartered Accountant undertakes the valuation of shares of public and private companies at the time of amalgamation or reorganization.
Other Activities: Other duties undertaken by a Chartered Accountant includes those of an Arbitrator for settling disputes specially those connected with insolvency work such as the preparation of statements of affairs and the duties of a trustee in bankruptcy or under a deed of arrangement.
To be good Chartered Accountant, you require not just business acumen and numerical ability, but good communication skills, objectivity, independence of thought and integrity coupled with the ability to work under the pressure of deadlines.
A person who desires to be a Chartered Accountant has to be a member of the Institute of Chartered Accountant of India, Indraprastha Marg, New Delhi-110002. The Institute was established in 1949 under the Chartered Accountants Act, 1949 and is governed by a Council in accordance with the Chartered Accountants Regulations , 1988.
Chartered Accountants have various options for pursuing rewarding career. Some of the available options are:-
- Set up independent professional practice.
- Join a practicing firm of Chartered Accountants.
- Render services in the field of capital market.
- Engage in your own industrial/business venture.
- Take up a suitable position in business or industry.
The choice depends largely on your personal inclination. First four choices indicated above offer good opportunity for development as a useful member of the professional and the society, ensuring amongst others, economic reward and scope for self-fulfilment. Starting one’s own industrial or business venture is also now becoming popular among Chartered Accountants. The Institute of Chartered Accountants, India currently has about 1,00,000 members, 70%of whom are in public practice and remaining are engaged in trade and industry.
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