Know Why 1st July is Termed as a CA (Chartered Accountants) Day?

Foundation of The Companies Act, 1913 in the pre-independent era in India mandated the maintenance and regulations of some specified books of accounts and the appointment of a proficient Auditor who qualifies to audit these books by acquiring a restricted certificate from the local government upon some stringent conditions. The certificate is an authorization to the auditor to audit the account with a restriction to practice solely within the province of the issue and in the language clearly mentioned in the restricted certificate.

In 1918 a course was launched in Mumbai/ Bombay with a name- “ Government Diploma in Accountancy” for proving an unrestricted certificate to the eligible accountants who successfully qualify this diploma and complete their three years training under a competent accountant. The certificate in “ Government Diploma in Accountancy” is an accreditation to the holder to practice his/her auditory skills across India.

In 1930 the Government of India decided to maintain a register of accountants which will be called the “Register of Accountants” and the person enlisted in the register will be called as “Registered Accountant”. Although it was a good step to maintain the profession of accountancy in an organized way but yield no effective results.

So later on a board – “Indian Accountancy Board” was founded to abbreviate the bewilderments regarding the qualifications of certified auditors and to regulate the profession of accountancy. This board was devised to advise the Governor General of India on accountancy and to fix the qualifications of certified auditors.

In 1948, just after one year of independence, a committee of experts was formed to handle the related issues and on the committees’ recommendation to form an individual autonomous association of accountants, the Government of India passed the Chartered Accountants Act in 1949 to regulate the profession. The act leads to and specifies the establishment of ICAI – a permanent corporate body with a common seal under its section 3. To consider this promising CA Day, SAG Infotech determined to deliver affordable taxation software for all tax professional and normal taxpayers with its endless list of tax filing software.

By this time, many accountants had already started practicing as Chartered Accountants under the membership of the Institute of Chartered Accountants in England and Wales and other Chartered Societies of Great Britain. This led to the recognition of label of a chartered accountant as a brand and so it superseded the various titles such as Registered Accountants or Certified Public Accountant prevailing in India and other countries for the same profession.

And so it was decided that the Indian accountancy professionals should be entitled as Chartered Accountants as it clearly depicts the qualification and eligibility of C.A.s and it completely knocked off the title of Registered Accountant when the Chartered Accountants Act, 1949 was founded on 1st July 1949. And so and since then the 1st July is celebrated as ‪‎Chartered Accountants‬ Day every year to revere the profession and existence of C.A.