Table of Contents
About the ICAN Articleship Deed or the Deed of Articleship of ICAN
When will you be filling up the Deed?
You will be filling the deed when the following conditions are satisfied:
- You have passed both groups of CAP-II
- You have completed the 60 Hours IT Training from ICAN by passing it’s Assessment Test
- You and your prospective principal agree to employ you as an Articled Trainee
How Many Copies of the deed needs to be filled?
Three copies. The Format of the Articleship deed itself mentions that it needs to be filled in triplets (i.e. in three copies)
What to do after filling up and signing the deed?
Once the deed has been signed off both by you and your principal, you need to (1) register the deed with ICAN and also (2) register yourself in Chartered Accountancy Professional (CAP-III) level of ICAN within 1 month of signing the deed. The registration process is fully online. For it, you must login into your CAP-II account of ICAN from the Student Login Portal and then click the Upgrade button to move ahead into the further process.
Which legislation / law contains such details about articleship deed?
It is contained in the Nepal Chartered Accountants Regulations, 2061 (Latest Amendment of 2077).
FUN FACT
The Articleship Training is called “पंजीकृत प्रशिक्षण” in Nepali.
An Articled Trainee is called “पंजीकृत प्रशिक्षार्थी” in Nepali.
What not to be confused with?
This Articleship deed is not to be used for one year internships to be done by Professional Accountants qualified from foreign Professional Accounting Bodies. There is separate one year internship deed for that purpose. Similarly, law defines such interns as “Chartered Interns” and not “Articled Trainee”. So, you must not get confused with “a 3 years Articleship training” and “a 1 year Internship Training”. A separate post will be published for the One Year Internships for Qualified Professional Accountants soon.
Way Ahead
After registering the deed and upgrading to CAP-III Level, you will be undergoing through three years of articleship training and you will be gaining first-hand experience in auditing, accounting, taxation, finance and related fields. After 2 years of your articleship has finished, you will be eligible to attend the examinations for CAP-III. Thenafter, after passing both the groups of CAP-III and completing the 3 years of articleship, you will need to complete the GMCS ( General Management and Communication Skills) training, after which, you will be awarded with the degree of a Chartered Accountant.
Industrial Training
Similarly, after you complete 2 years of your articleship, you can choose for Industrial Training in a particular industry in order to gain practical experience in-hand. But, for that, you must remember the following points:
- You will receive the training under the guidance of a CA member of ICAN.
- The CA member must have been working with that organization for more than 5 years.
- You need to remember that industrial training must be approved in advance by the entity or such principal with whom you are willing to serve under industrial training.
- Any CA member can have a maximum of 2 Industrial Trainees at a time.
A list of organizations where you can serve as an Industrial Trainee under the guidance of a CA member of ICAN is given below:-
- The Office of Auditor General,
- Fully or partially owned Government’s undertaking,
- Entity or company where compliance of NFRS is applicable mandatorily,
- Any office or regulatory body under constitutional body, Nepal Government, Province Government, local government,
- Any other Institution or Organization as approved by the Council.
MUST REMEMBER !!!
You cannot just go and start your industrial training in the above listed organizations willingly. There must be a CA member of ICAN working in that organization. There are many CAs who are not member of ICAN and there is no restriction for them for employment, business, investments and other activities in Nepal except for staying in practice of Accounting Profession. You must confirm your proposed CA principal is a member of ICAN or not. Also, the organization must also be willing to take you in as an Industrial Trainee. Remember that you must not be taken as a normal trainee like a BBA / MBA trainee who are not provided well exposure in training by trainer organizations (which is a prevalent greviance among the students of such courses).
Way Ahead if you could not pass CAP-III
If you are not able to pass the CAP-III examinations and you want to work in the filed of Professional Accounting, then there still are safe landings within the Professional Accounting sector within Nepal and outside of Nepal. Let’s list them:
- Inside Nepal:
- You can obtain the Accounting Technician (AT) License and provide professional accounting services regarding which a separate article will be posted soon. Yes, this means you can conduct audits and other professional services which a professional accountant can provide. Currently the audit limit for the ATs is Rs. 20 Crores. (As per the AT Bylaws, 2067)
- You have pathway to become a ACCA (Association of Chartered Certified Accountants). This wayout can be regarded both for inside and outside of Nepal. A separate article will be posted soon regarding this wayout.
- Outside Nepal: Youcan apply to become a member of the CPA Australia after having passed these 6 papers and completed the PER (Professional Experience Requirement) of the CPA Australia and must have a bachelor’s degree recognized by CPA Australia: (As per the Membership Pathways Agreement [MPA] signed between ICAN and CPA Australia)
- Ethics & Governance,
- Strategic Management Accounting,
- Financial Reporting,
- Global Strategy & Leadership,
- Two (2) elective subjects in the CPA Program
These show that non-qualification of the CA course in Nepal will not let you stranded. The above mentioned wayouts are available. But, the foreign pathways will be pretty costly since the registration fees, examination fees and exemption fees are costly of such foreign professional accounting bodies.
Format of the Articleship Deed
The source web link of the deed is :
https://en.ican.org.np/_browsable/file/downloads/Articleship_Deed.pdf
Derived from ICAN’s official website https://en.ican.org.np/
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We have mentioned to provide further posts regarding these topics:
- Accounting Technician in Nepal
- Pathway to become a ACCA for Students and Members of ICAN
- Pathway to become a member of CPA Australia for Students and Members of ICAN
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