Institute of Chartered Accountants Australia
||This article is written like a personal reflection or opinion essay rather than an encyclopedic description of the subject. (July 2013)|
|This article may rely excessively on sources too closely associated with the subject, preventing the article from being verifiable and neutral. (July 2013)|
|Institute of Chartered Accountants Australia (ICAA)
|Motto||Nec Timens Nec Favens (Without fear, Without favour)|
|Formation||19 June 1928|
|Legal status||Chartered body|
|Governing body||Board of Directors|
|IFAC member since||1 October 1977|
|Former name||Australian Institute of Public Accountants|
The Institute of Chartered Accountants Australia (the Institute) is the professional accounting body representing Chartered Accountants in Australia. It has over 61,000 members and has some 12,000 students. It is one of the three major legally recognized Professional Accountancy bodies in Australia. The other two being Institute of Public Accountants (IPA) and CPA Australia. It is a founding member of the Global Accounting Alliance (GAA).
The Institute of Chartered Accountants Australia was constituted by Royal Charter in 1928. The Institute now operates under a Supplemental Royal Charter (amended from time to time) granted by the Governor-General on behalf of Queen Elizabeth II on 19 August 2005. The Institute of Chartered Accountants Australia was called Corporation of Accountants of Australia before 1928. The official coat of arms was granted to the Corporation, by the College of Arms in 1905. On 26 October 1929 The Earl Marshal of England granted the current arms to the Institute. Both arms include the Latin motto 'Nec Timens Nec Favens' which translates to 'Without Fear or Favour'.
Admission to membership
To become a member of the Institute, Chartered Accountants complete the Chartered Accountants Program which includes study of the Graduate Diploma in Chartered Accounting (GradDipCA) and three years of practical experience. Entry to the Program is available for graduates who hold an accounting degree, however those holding non-accounting degrees may also be permitted entry after some additional requirements are met.
To take this path you will have either a bachelor or master's degree in commerce, business or accounting from an Institute accredited Australian university. The commerce and business degrees will require a major in accounting, in order to qualify.
Non Accounting degree
There are three routes for non-accounting graduates can take to qualify for the Chartered Accountants Program:
- Institute accredited Graduate Conversion course: Available from most Australian universities
- Entrance exam: Available for non-accounting graduates with significant on-the-job accounting experience and employer support
- A Graduate Certificate of Chartered Accounting Foundations from Deakin University.
Graduate Diploma in Chartered Accounting
The GradDipCA component of the Chartered Accountants Program consists of the following five modules which each take approximately 14 weeks of part-time study to complete:
- Auditing and Assurance
- Management Accounting and Applied Finance (As of 1 January 2013)
- Financial Accounting and Reporting
- Ethics and Business Application
The Institute is the only Australian professional accounting body that is a government accredited Higher Education provider. Unlike other Australian accounting designations, the Chartered Accountants Program leads to the awarding of a Graduate Diploma. The Australian Chartered Accountant qualification is recognised as an “approved qualification” - a significant requirement for auditor registration purposes in the UK. Chartered Accountants audit 100 per cent of the Top ASX-listed companies in Australia. Australian Chartered Accountants are recognised by the international accounting bodies of the leading financial centres of the world. Members of the Institute are part of the international accounting coalition of the world’s premier accounting bodies, the GAA.
To meet the practical experience requirements to become a Chartered Accountant in Australia, you must:
- Be employed with an organisation recognised by the Institute for at least 17.5hpw whilst completing the GradDipCA
- Recording your work experience with a Chartered Accountant mentor
- Apply for full membership after completing the GradDipCA and accumulating at least three years of practical work experience.
There are a number for different membership categories:
- Members: Have the designation CA after their name.
- Fellows: Have the designation FCA (Fellow Chartered Accountant) after their name. These members have been nominated for advancement Fellowship and have been a continuous member for 10 years and have been in a senior position for seven years. To be advanced to Fellow the member must have demonstrated 'leadership'
- Affiliate membership: Have an accounting degree and at least five years membership, but have not completed the Chartered Accountants Program.
- Teacher of Accountancy: For teachers to obtain membership, they are required to have completed a Doctorate or Masters by research with a major in an accounting related field, held a senior academic position for not less than five years, have appropriate Australian Taxation and Corporation Law knowledge and have references from two Chartered Accountants and their Head of School, and another significant academic
- Certificate of Public Practice: Firms or members who offer their services to the public as 'Chartered Accountants'.
Chartered Accountants continue their education to ensure they are able to provide the highest standards of integrity and professionalism. A Chartered Accountant must complete a total of 120 hours of Continuing Professional Education every three years. The institute collaborates with CPA Australia and the Institute of Public Accountants in supporting the Accounting Professional & Ethical Standards Board (APESB), founded in 2006. APESB publishes ethics-related standards that must be followed by accountants in Australia based on the international standards published by the International Ethics Standards Board for Accountants (IESBA).
As a member of the Global Accounting Alliance, the Institute has reciprocity agreements with the following overseas accounting bodies:
- American Institute of Certified Public Accountants (AICPA)
- Canadian Institute of Chartered Accountants (CICA)
- Hong Kong Institute of Certified Public Accountants (HKICPA)
- Institute of Chartered Accountants in England and Wales (ICAEW)
- Institute of Chartered Accountants in Ireland (ICAI)
- Institute of Chartered Accountants of Scotland (ICAS)
- Institute of Public Auditors in Germany, Incorporated Association(IDW)
- Japan Institute of Certified Public Accountants (JICPA)
- New Zealand Institute of Chartered Accountants (NZICA)
- South African Institute of Chartered Accountants (SAICA)
- The Malaysian Institute of Certified Public Accountants (MICPA)
The Institute works closely Australian universities and is a sponsor of the following student accounting organisations:
- University of Queensland Business Association (University of Queensland)
- The Business Students Association (Bond University)
- Financial Management Association (University of Melbourne)
- The Accountancy Students Association (Queensland University of Technology)
- Student Accounting Association (Griffith University)
- Tax Institute (Australia)
- List of Australian organisations with royal patronage
- Global Accounting Alliance
- International Qualification Examination
- University of Queensland Business Association
- Institute of Chartered Accountants
- The Institute's Chartered Accountant Program
- The Institute's Training & Development
- Student Challenge
- Chartered Accountants on Facebook
- Follow Chartered Accountants on Twitter
- Chartered Accountants blog
- Chartered Accountants on YouTube
- Chartered Accountants on LinkedIn
- Resources(Professional Bodies in Australia)
- Fox-Davies, Arthur Charles (1915). The book of public arms : a complete encyclopædia of all royal, territorial, municipal, corporate, official, and impersonal arms". London: London, Edinburgh : T.C. & E.C. Jack. p. 8.
- Murphy, Mary (Jan 1959). "Comparative Professional Accountancy - Australia". The Accounting Review 34 (1): 46–51.
- "About APESB". APESB. Retrieved 2011-06-08.
- "APESB at a Glance". APESB. Retrieved 2011-06-08.