Changes in CA Syllabus proposed by ICAI

ICAI has been working on improving the CA course for quite sometime now. A new and improved curriculum is expected to be introduced from 2016. A committee has been overlooking suggestions and will recommend changes that are finally undertaken.

Editors note: Students who are already registered need not worry about the changes as the new syllabus would be applicable for new registrations (as and when it becomes applicable). Further, based on previous experience, there will be a gap of atleast 3-4 attempts before existing registrations are converted to the new scheme.

All Draft of changes proposed for CA New course from 2016 by ICAI are summarized below –

S.No. Change in CA New Course     Reason for the Change
1. Change of Name to CA Foundation, Intermediate and CA Final These names are more widely accepted and are quite familiar and well known to the society.
2. Time Gap of 9 Months between registering for CA Course and appearing for CA Foundation Exams Adequate time is given so that students get sufficient time to study since the Foundation Course has been made descriptive. Also there is an addition of a full new paper.
3. CA Foundation Exam will be partly descriptive in nature. The present MCQ based system for all papers is giving rise to guess work. As a result, even undeserving students reach the next level giving rise to false hopes. It affects the quality of the profession. Moreover, the writing skills are also not tested in the current manner in which the CPT Exam is conducted.
4. Foundation Course No. of Papers – 4Paper 1: Fundamental of Accounts (100 Marks)Paper 2: Quantitative Aptitude (100 Marks)

Paper 3: Mercantile Law (60 Marks) and General Economics (40 Marks)

Paper 4: General English (50 Marks) and Business Communication (50 Marks)

Fundamentals of Accounting and Quantitative Aptitude have been raised to full papers of 100 Marks having regard to their importance and ensuring strong foundation for CA Students.Mercantile Law is for 60 Marks as Contract Act, 1872 will be exclusively covered here.General English and Business Communication added as a new subject seeing its importance in the modern business world and preparing the CA’s for tomorrow.This will also provide an opportunity to test the writing skills of potential candidates
5 12 Months Study Period for Intermediate Students from the Date of Registration for the Intermediate Course Keeping in view that it is proposed to have 8 full papers at the intermediate level, the study period has been raised to 12 months.
6 Intermediate: 8 PapersGroup I

Paper 1: Accounting (100 Marks)

Paper 2: Company Law (60 Marks), Other Laws (20 Marks) & Ethics (20 Marks)

Paper 3: Cost Accounting (100 Marks)

Paper 4: Direct Taxes (100 Marks)

Group II

Paper 5: Advanced Accounting (100 Marks)

Paper 6: Auditing and Assurance (100 Marks)

Paper 7: Financial Management (100 Marks)

Paper 8: Indirect Taxes (100 Marks)

  • The existing communication of 20 Marks is proposed to be dropped from the Intermediate Level as it is now a 50 Marks paper at the Foundation Level.
  • Business Laws of 30 Marks has been dropped from the Intermediate Course as it is included as a full paper at the Foundation Level.
  • Allocation of Marks of Company Law has been raised to 60 Marks in view of its scope and Coverage.
  • Select Allied Laws are also proposed to be taught at the Intermediate Level.
  • Paper on Information Technology (IT) has been proposed to be dropped as there are 2 Training Courses of 3 weeks each on IT. This would also provide the flexibility to modify the course contents to be in tandem with the changing environment.
  • Further, it is also proposed to introduce Assessment Test to test the competence of the students.
  • Paper on Strategic Management has also been dropped as many aspects are proposed to be covered in the Integrated Course on Information Technology and Soft Skills.
  • Financial Management and Cost Accounting are proposed to be made full papers of 100 Marks each, having regard to their Course Contents.
7 Practical Training of 3 years will commence after qualifying either Group I or Both Groups of Intermediate and after successful completion i.e. passing an assessment test of 3 Weeks on Information Technology and Soft Skills (ICITSS) The condition of successfully completing the ICITSS before practical training is to ensure that Stuidents attain a reasonable level of Technical and Soft Skills required to carry out their work as CA Professionals.The ITT and GMCS have been merged to save the time, resources and energy of all involved.
8 The Students will have to undergo 3 Weeks advanced integrated course Information Technology and Soft Skills (AICITSS) during the last 2 years of Practical Training. The AICITSS will ensure advanced knowledge of technical and soft skills relevant for the profession.Their completion during the last 2 years will ensure that the students get the necessary and useful skills during the course of their training.
9 Students can appear for CA Final Exams after the completing of 3 years of Practical Training This is to ensure minimum interruption in Practical Training.
10 CA Final, No. of Papers – 8 Group I

Paper 1: Financial Reporting (100 Marks)

Paper 2: Strategic Financial Management ( 100 Marks)

Paper 3: Advanced Auditing and Professional Ethics (100 Marks)

Paper 4: Corporate Laws and Other Economic Laws (100 Marks)

Group II

Paper 5: Advanced Management Accounting (100 Marks)

Paper 6: Financial Services and Capital Markets (100 Marks)

Paper 7: Advanced Tax Management (60 Marks) and International Taxation (40 Marks)

Paper 8: Indirect Tax Laws (100 Marks)

  • International Taxation for 100 Marks has been introduced in view of the increasing importance of the subjects in the present globalized world.
  • The nomenclature Corporate Laws and Other Economic Laws has been kept to make the name more representative of the subject.
  • The subject Information System Controls Audit (ISCA) has been dropped in view of 2 Courses on IT.
  • A new subject Financial Services and Capital Markets has been introduced to make CA’s more competitive in the finance related areas.
11. To introduce and integrated question covering diverse topics in each paper of CA Final Exam It would help in testing overall knowledge, understanding and application skills of the students who would be entering the profession in the near future
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