ICAI CA New Scheme 2023 – Recently, the ICAI has proposed a new scheme of education and training in June 2022. The revised scheme of education has some changes in all three levels of the CA Course and the practical training of three years.
Before that, ICAI revised the CA course in 2017, where CA Foundation, CA Intermediate and CA CA Final new syllabus was introduced.
In the CA new syllabus 2023, some papers of all the three levels are merged, and some are removed. Moreover, in the new scheme, the CA articleship period is reduced from 3 to 2 years.
| ICAI CA COURSE LEVEL | NEW CHANGES |
|---|---|
| CA FOUNDATION | 4 Subjects from 6 Subjects |
| CA INTERMEDIATE | 6 Papers (3 in each Group) |
| CA ARTICLESHIP | Period Reduced from 3 to 2 years |
| CA FINAL | 6 Papers (3 in each Group) |
There are also many changes in the eligibility, registration validity, syllabus, subjects, paper pattern, passing criteria, exemptions, training leaves, and leaving the CA course.
For now, the new scheme of education and training is in the draft and waiting for approval and amendments. And ICAI has invited suggestions by the concerned members of the society for their suggestions.
So, in this article, we'll tell you everything about the ICAI proposed new scheme of education and training 2023 and the comparison between the old and new schemes.
Before jumping into the details of each course and training, let us first check out the CA Course duration under the new scheme.
So, in the CA new scheme, a student will now take 42 Months (3 Years & 6 Months) to become a Chartered Accountant.
| ICAI CA COURSE LEVEL | NEW CHANGES |
|---|---|
| CA FOUNDATION | 4 Subjects from 6 Subjects |
| CA INTERMEDIATE | 6 Papers (3 in each Group) |
| CA ARTICLESHIP | Period Reduced from 3 to 2 years |
| CA FINAL | 6 Papers (3 in each Group) |
Currently, there are no criteria for a number of attempts in the CA Foundation course. Hence, students can give any number of attempts. The CA Foundation registration validity can also be revalidated multiple times.
But in the proposed scheme of education and training, students can register after the 10th, and the CA Foundation registration is valid for four years. Moreover, students cannot further revalidate their foundation registration after those 4 years.
Also, now there will be no cut-off dates like January 1 and July 1 for the CA Foundation registration. This will enable ICAI to conduct three exams in a year.
Currently, the CA Foundation syllabus comprises of 6 subjects and 4 papers. Now, in the new scheme, ICAI removed 2 subjects: Business Correspondence & Reporting and Business & Commercial Knowledge.
| PROPOSED | CURRENT |
|---|---|
| Paper-1 : Accounting | Paper-1 : Principles and Practice of Accounting |
| Paper-2 : Business Laws | Paper-2 : Business Laws and Business Correspondence and Reporting |
| Paper-3 : Quantitative Aptitude Business Mathematics Logical Reasoning Statistics |
Paper-3 : Business Mathematics and Logical Reasoning and Statistics |
| Paper-4 : Business Economics | Paper-2 : Business Economics & Business & Commercial Knowledge |
The ICAI has also made some changes in the CA Foundation exam pattern. In the new scheme, students have to get 50% marks to crack the CA Foundation exams, and there will be a negative marking of .25 for every wrong MCQ answer.
| CURRENT | PROPOSED |
|---|---|
| Subjective and Objective both | Subjective and Objective with negative marking (.25) |
These are all the changes in the new scheme of education and training for the CA Foundation course.
The eligibility criteria for the CA Intermediate course are the same as before. However, to appear in the exams, the direct entry route students must undergo an 8-month study period.
The validity of the CA Intermediate registration is now for 5 years as against four years. And CA Intermediate students can revalidate their registration form only once with the prescribed fees.
| ASPECT | PROPOSED | CURRENT |
|---|---|---|
| Eligibility for admission | A student who has passed CA Foundation and class 12 th examination. Direct Entry Route : Commerce Graduates / Post-Graduates (with minimum 55% marks) or Other Graduates / Post-Graduates (with minimum 60% marks) or Intermediate level passed candidates of institute of Company Secretaries of India and Institute of Cost Accountants of India. |
A student who has passed CA Foundation and class 12 th examination. Direct Entry Route : Commerce Graduates / Post-Graduates (with minimum 55% marks) or Other Graduates / Post-Graduates (with minimum 60% marks) or Intermediate level passed candidates of institute of Company Secretaries of India and Institute of Cost Accountants of India. |
| Validity of registration | 5 years. Re-validation with prescribed fee permitted once. | 4 years. Re-validation permitted without restriction. |
| Eligibility for appearance in examination | Foundation or Direct Entry Route : 8 Months study period. | Foundation Route : 8 months study period as decided by the council. Direct Entry Route : After completion of 9 months of Practical Traning. |
Now, there will be only 6 papers in the CA Intermediate course and not the 8 papers. The changes proposed by the ICAI in the CA Intermediate subjects are:
| PROPOSED | CURRENT |
|---|---|
| Paper-1 : Advanced Accounting | Paper-1 : Accounting Paper-5 : Advanced Accounting |
| Paper-2 : Corporate Laws | Paper-1 : Corporate and other laws |
| Paper-3 : Cost and Management Accounting | Paper-3 : Cost and Management Accounting |
| Paper-4 : Taxation | Paper-4 : Taxation |
| Paper-5 : Auditing and Code of Ethics | Paper-1 : Auditing and Assurance |
| Paper-1 : Advanced Accounting | Paper-1 : Accounting Paper-5 : Advanced Accounting |
| Paper-6A : Financial Management (50 Marks) Paper-6B : Strategic Management (50 Marks) |
Paper-7 : Enterprise Information Systems & Strategic Management Paper-8 : Financial Management & Economics for Finance |
Now, there will be 2 groups of 3 papers each.
The passing criteria for the CA Intermediate exams will also change. So, there will be 30% MCQ-based questions in all the 6 papers. Furthermore, the negative marking of .25 will deduct for every wrong answer.
After the new scheme, if you get an exemption in any paper, then the exemption will be permanent for that paper. That means the ICAI will treat the exempted papers as permanently passed. However, you need to clear the rest of the papers with 50% marks.
| ASPECT | PROPOSED / EXISTING | INTERMEDIATE AND FINAL |
|---|---|---|
| Exemption | Proposed | If student secures 60% or more in paper/s in one attempt exemption of paper(s) for immediate 3 attempts is allowed. Thereafter, exempted paper/s will be treated as permanently passed and student has to score 50% to pass in the remaining paper/s individually. Student may, however, opt to surrender the exemption after three attempts. |
| Exemption | Existing | If student secures 60% or more, in paper/s in one attempt exemption of such paper(s) for immediate 3 attempts is allowed and thereafter exemption will lapse. |
In the CA Articleship Training, ICAI has proposed significant changes that will benefit the students.
ICAI has reduced the CA Articleship duration from 3 years to 2 years. It is good news for all the CA aspirants as now they can become CA earlier than before.
However, with the reduced period of CA Articleship, there comes a condition for aspirants who want to become a practitioner.
Students who want to practice CA must have 1 year of experience in a Chartered Accountancy firm. Afterwards, they will get a certificate of practice.
For existing CAs, if they have worked for one year in a CA firm in the last 5 years, then this condition will be treated as fulfilled. This condition does not apply to aspirants who want to do a job.
| ASPECT | CURRENT SCHEME | PROPOSED SCHEME | |
|---|---|---|---|
| A | Total number of days of training | 1095 (365 X 3) | 730 (365 X 2) |
| B | Leaves permitted | 156 Leaves (1095 X 1/7th days) | 24 Leaves (12 per year) |
| C | No. of Sundays (52 in a year) | 156 (52 X 3) | 104 (52 X 2) |
| D | No. of Gazetted Holidays (Approx 15 in a year) | 45 (15 X 3) | 304 (15 X 2) |
| E | Paid leaves for Advance ITT and MCS | 30 | 0* |
| F | Effective days of Training [Total of A - (B+C+D+E)] | 708 = [1095 - (156+156+45+30)] | 572 = [730 - (24+104+30+0)] |
| Difference between period of training under Current and Proposed Scheme | 136 days (708-572) | ||
| * Advanced ITT and MCS can be done after completion of Traning under Proposed Scheme | |||
Note: Students can undergo industrial training for nine months to 1 year (in the last 1 year of the articleship).
Under the CA new scheme 2023, students have to clear both the groups of CA Intermediate and completion of ICITSS training to be eligible to start the articleship training.
The move will benefit the student, as now they can focus entirely on the practical training and don’t have to worry about the exam preparation.
Many students often complain that their CA articleship stipend is low. So, ICAI has decided to increase the stipend by 100%.
Since students don’t have to give any exams during the practical training, ICAI has reduced the number of leaves. Students can take only 12 leaves in a year, which means 24 leaves in two years.
| ASPECT | PROPOSED | EXISTING |
|---|---|---|
| Commencement of Practical Training | Foundation Route and Direct Entry Route : After passing both groups of Intermediate and completion of ICITSS. | Foundation Route : After passing either or both groups of Intermediate and completion of Integrated Course on Information Technology and Soft Skils (ICITSS).
Direct Entry Route : After registration in Intermediate Course and completion of ICITSS Course. |
| Duration | Two years. | Three years. |
| Leave | 12 leaves in a year. | 1/7th of the period of Practical Training. |
To become eligible to register for the CA Final course, students have to pass both groups of CA Intermediate exams and complete the ICITSS training.
However, to appear in the CA Final exams, students need to :
The CA Final registration is valid for 10 years. Aspirants can revalidate their registration after 10 years with the prescribed fee.
| ASPECT | PROPOSED | EXISTING |
|---|---|---|
| Eligibility for admission | A student who has passed both groups of Intermediate Examination and completed Integrated Course on Information Technology and Soft Skills. | A student who has passed both groups of Intermediate Examination and completed Integrated Course on Information Technology and Soft Skills. |
| Validity of registration | 10 years. Re-validation with prescribed fee permitted. | No Pestrictions |
| Eligibility for appearance in examination | Completed Advanced ICITISS Course (Advanced IT and MCS). Completed 6 months after the completion of practical training before the 1st day of month in which examination is held. Qualified the four self-paced online modules. |
Completed Advanced ICITISS Course (Advanced IT and MCS). Completed 2.5 years of Practical Training. |
In the CA new scheme 2023, ICAI has reduced the CA Final papers from 8 to 6. Now, there are 2 groups that will include 3 papers each.
Major changes done in the CA Final Subjects are:
| PROPOSED | CURRENT |
|---|---|
| Paper-1 : Financial Reporting | Paper-1 : Financial Reporting |
| Paper-2 : Advanced Financial Management | Paper-2 : Strategic Financial Management |
| Paper-3 : Advanced Auditing & Professional Ethics | Paper-3 : Advanced Auditing & Professional Ethics |
| Under Self-Paced Online Mandatory Module | Paper-4 : Corporate and Economic Laws |
| Under Self-Paced Online Mandatory Module | Paper-5 : Strategic Cost Management and Performance Evaluation |
| Paper-4 : Direct Tax Laws and International Taxation | Paper-7 : Direct Tax Laws and International Taxation |
| Paper-5 : Indirect Tax Laws | Paper-8 : Indirect Tax Laws |
Like CA Intermediate new course 2022, all CA Final papers will also have 30% MCQ-based questions. And, there will be a negative marking of 25% on every wrong objective answer. Talking about the CA Final exemption rules, they are the same as CA Intermediate.