Chartered Accountancy and US Certified Public Accountant are the credentials that can be earned through clearing an examination. The CA credential is recognized and administered globally, whereas the US CPA credential is used in the United States. Let’s know the complete Chartered Accountancy (CA) and CPA USA course details and their differences.
Chartered Accountant:
A Chartered Accountant is a professional who gets certified after fulfilling the required education and clearing the CA exam. Several organizations provide examination and education for Chartered Accountants. Here are a few:
- Institute of Chartered Accountants of India (ICAI)
- Institute of Chartered Accountants in England and Wales (ICAEW)
- Canadian Institute of Chartered Accountants (CICA)
The CAs in Australia, Canada, Mexico, New Zealand, and Ireland have a reciprocity agreement with the US. Therefore, if they clear the equivalency exam, they have a good chance of working in the United States as Certified Public Accountants.
US Certified Public Accountant:
The US Certified Public Accountant (US CPA) is a professional who has cleared the uniform CPA exam administered by the AICPA (American Institute of Certified Public Accountants) and fulfilled the work experience and educational requirements. CPA professionals are experts in US federal income tax, US GAAP, and many other areas of financial law and US accounting. However, the US CPA certification is respected globally.
Eligibility for the CA Course:
The eligibility criteria for the CA course include:
- Clear their 12th-grade examination.
Also, the candidates can opt for a direct entry without going through Chartered Accountancy (CA) foundation if they possess:
- Post-graduation or commerce graduation with a minimum 55% cut-off.
- Post-graduation or non-commerce with a minimum 60% cut-off.
- Intermediate level from the ICAI.
Eligibility for the CPA Course:
The US CPA Course eligibility criteria include:
- A bachelor’s degree.
- 150+ credits to get the US CPA license.
- 2+ years of related work experience.
- 18+ years.
Subjects in the Chartered Accountancy (CA) exam:
CA Foundation:
- Quantitative aptitude
- Fundamentals OF Accounting
- General Economics
- Mercantile Law
- General English
CA Intermediate:
- Cost Accounting and Financial Management
- Taxation
- Business Laws, Ethics and Communication
- Corporate and other Laws
- Accounting
- Advanced Accounting
- Auditing and Assurance
- Information Technology and Strategic Management
CA Final:
- Financial Reporting
- Professional Ethics and Advanced Auditing
- Performance Evaluation and Strategic Cost Management
- Strategic Financial Management
- Direct Tax Laws and International Taxation
- Corporate and Economic Laws
- Indirect Tax Laws
Subjects in the US CPA exam:
There are four subjects in the US CPA exam:
- Business Environment and Concepts (BEC)
- Regulation (REG)
- Auditing and Attestation (AUD)
- Financial Accounting and Reporting (FAR)
CA vs. CPA: Why not have both?
There’s no reason to get CA and CPA certifications since they are very similar. It is always better to choose one of those, not the both. If you plan to work outside the United States for MNC companies that are not traded on American markets, you have to look toward the CA certification. Or, if you intend to work in the United States or a US-based company, you will probably need US CPA certification.
Conclusion:
CA vs. CPA: No certification is better than the other. Both are different and can be used for different purposes. The candidate can expect to make almost the same salary as CA and CPA of the job position, location, work experience, and company. Still, you are in a dilemma between these two courses; please contact Mr.Haresh Ratnagrahi (Founder, Hi-Educare).
