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ICAI signs MoU to allow CAs
July, 04th 2009

Accounting regulator ICAI today entered into an agreement with the Institute of Chartered Accountants in Australia that would allow professionals to practice in each other's country after fulfilling a few conditions.

The memorandum of understanding signed today would enable firms from Australia, wanting to practice in India as limited liability partnership, a new form of business entity notified this year, to join hands with domestic firms once they become members of the ICAI.

"In the era of globalisation...This would serve as a major step in providing support to our members to excel globally," The Institute of Chartered Accountants of India (ICAI) President Uttam Prakash Agarwal said here at an international conference 'Winds of Challenges--Global strategies for accounting profession'.

The members of the Institute of Chartered Accountants in Australia (ICAA) will have to undertake and pass one single module on Indian law, taxation and ethics for becoming member of the ICAI.

Similarly, the members of ICAI will have to complete the final module of ICAA's programme of ethics and business application to be eligible to practice as chartered accountant in Australia.

This MoU will help the members of both the institutes to expand the professional market across the world, Agarwal said.

The ICAI is also in the process of signing similar treaties with Behrain and Canada. It already has such arrangements with the UK.

This mutual recognition agreement with countries would open up new professional opportunities and would also help in promoting the LLP structure.

LLP is the new form of business which will help the professionals like chartered accountants and company secretaries to come on a single platform and provide services.

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