ICAI Plans Major Overhaul: Boosting Local Audit Firms' Reach

The Institute of Chartered Accountants of India (ICAI) plans significant changes to its Code of Ethics to foster homegrown audit firms. Proposed amendments will permit firm websites and advertisements. These revisions align with government efforts to bolster indigenous professional services and seek necessary amendments to the Chartered Accountants Act, 1949.

The Institute of Chartered Accountants of India (ICAI) is taking groundbreaking steps to facilitate the growth of domestic audit firms by proposing significant amendments to its Code of Ethics. Among these proposals is a plan to allow chartered accountants increased freedom to advertise and establish a digital presence through their own websites.

On Friday, ICAI President Charanjot Singh Nanda announced the release of an exposure draft detailing proposed changes aimed at strengthening indigenous professional services. This initiative aligns with the government's ongoing efforts to develop homegrown professional titans and capitalize on new opportunities arising from international trade agreements.

Currently, the constraints under the Chartered Accountants Act, 1949, prohibit soliciting work through advertisements. The proposed revisions would change that by permitting advertising and promotional websites, presenting a significant shift in professional conduct regulations for Indian chartered accountants.

(With inputs from agencies.)