ICAI Continuing Professional Education (CPE) Hours

CONTINUING PROFESSIONAL EDUCATION (CPE): ICAI wants that after becoming a professional. Continuing their education and update their knowledge according to the changes so, for that ICAI start CPE

Continuing Professional Education (CPE) is a requirement for Certified Chartered Accountant one that is designed to help maintain their competency and skill sets as providers of professional services. As part of ongoing requirements to maintain the CA designation, All CA must meet all the regulations set out by the ICAI

ICAI has made CPE mandatory for all CA’s

CPE for each three-year reporting period, according to the ICAI

Why CPE Important: As trusted advisors, Certified Chartered Accountants advise their clients on a wide range of important accountancy issues that have a material impact on businesses and their stakeholders. The field of accounting is built on a vast knowledge base that is continuously expanding, changing, and becoming more complex. In order to ensure that CA’s provide the quality of advice and service that their clients depend on, CPE is vital.

As global business advances and the impacts of technology and regulation move at a faster pace, the need to stay relevant via CPE only becomes increasingly important.

Applicability and the CPE Credit Hour Requirement

The requirement of CPE credit hours by members are divided into various categories CPE Reported in every each three-year period, according to the ICAI

CPE Hours can be divided into 2 Parts:-

1. Structured Learning Activities (SLA’s) e. attending seminars, Conference, etc organized by ICAI

2. Unstructured Learning Activities (ULA’s) e. updating knowledge themselves by reading journals, through internet, etc

CPE HOURS REQUIREMENTS FOR THE BLOCK PERIOD OF 3 YEARS (1-1-2020 TO 31-12-2022)

1. All the members (aged less than 60 years) who are holding Certificate of Practice (except all those members who are residing abroad) are required to:

> Complete at least 120 CPE credit hours in a rolling period of three-years.

> Complete a minimum of 20 CPE credit hours of structured learning in each calendar year.

> Balance 60 CPE credit hours (minimum 20 CPE credit hours in each calendar year) can be completed either through Structured or Unstructured Learning (as per Member’s choice).

2. All the members (aged less than 60 years) who are not holding Certificate of Practice; and all the members who are residing abroad (whether holding Certificate of Practice or not) are required to:

> Complete at least 60 CPE credit hours either structured or unstructured learning (as per Member’s choice) in a rolling period of three-years

> Complete a minimum of 15 CPE credit hours of either structured or unstructured learning (as per member’s choice) in each calendar year.

3. All the members (aged 60 years & above) who are holding Certificate of Practice, are required to:

> Complete at least an aggregate of 90 CPE credit hours of either Structured or Unstructured Learning (as per member’s choice) in a rolling period of three years

> Complete minimum of 20 CPE credit hours being an aggregate of either Structured or Unstructured Learning (as per member’s choice) in each calendar year

Members are exempted from CPE credit hours requirement

> All the members (aged 60 years and above) who are not holding a Certificate of Practice.

> Judges of Supreme Court, High Court, District Courts, and Tribunal

> Members of Parliament/MLAs/MLCs

> Governors of States

> Centre and State Civil Services

> Entrepreneurs (owners of Business (manufacturing) organizations other than professional services)

> Judicial officers

> Members in Military Service

Temporary Exemptions:

> Female members for one Calendar year on the grounds of pregnancy.

> Physically disabled members on case to case basis having permanent disability of not less than 40% and above (Supported with medical certificates from any doctor registered with Indian Medical Council with relevant specialization as evidenced by Post Qualifications (M.D., M.S., etc.).

> Members suffering from prolonged critical diseases/illnesses or other disabilities as may be specified or approved by the CPED. (Supported with medical certificates from any doctor registered with Indian Medical Council with relevant specialization as evidenced by Post Qualifications (M.D., M.S., etc.).

Penalty for non Compliances with CPE hours

If a CA fails to comply with the CPE requirement, His/her name would be hosted on the website of ICAI for the information of the public at large. Moreover, ICAI will not be responsible in any way for any action taken by any of the regulatory authorities on the basis of the names hosted on the website for allotting the professional work to them as a sole proprietor or to their partnership firm

To gets its name removed from the list, a CA would be required to complete double the hours of the shortfall. Such additional hours should be complete in addition to regular CPE hours requirement for the particular calendar year in which they are making up the shortfall