Page 367 - CA Final Audit Titanium Full Book. (With Cover Pages)

CA Ravi Taori

3. Case Law: The Court of Additional Chief Judicial Magistrate found the accused guilty under Section 24(i)(a)
& (b) of the Chartered Accountants Act, 1949, and Section 465 (False documents) of the Indian Penal Code in
the case of Prem Batra. The accused was fined, and in case of failure to pay the fine, sentenced to rigorous
imprisonment for three months.

(CNO-PE.700) Significance of COP. (Sec 6)
Practicing CA: A practicing Chartered Accountant is a member of the Institute, holding a Certificate of Practice.
This includes members deemed to be in practice under the Chartered Accountants Act, 1949.
COP Mandatory: No member is allowed to practice, in India or elsewhere, without obtaining a certificate of
practice from the Council. This rule does not apply to those who were practicing as registered accountants or
holders of a restricted certificate before the Act's commencement.
CA not in Practice: Members not in practice cannot accept engagements to render services typically provided
by a Chartered Accountant, even if they possess the necessary qualifications.
CA Act & Regulation: Once a person becomes a member of the Institute, they are bound by the Chartered
Accountants Act and its Regulations. They can only appear before the Income-tax Tribunal as a Chartered
Accountant in Practice.
Single Capacity: A member of the Institute cannot practice in any other capacity separate from their
membership in the Institute.
Misconduct Consequences: A Chartered Accountant removed from membership due to professional or other
misconduct cannot appear before tax authorities or other bodies in their capacity as a member of the Institute
during the removal period.
Annual Fee: Members must pay an annual fee for their certificate, determined by the Council, due on or before
April 1st each year.
Cancellation: The Council can cancel the certificate of practice under certain circumstances.

(CNO-PE.740) Cancellation and Restoration of Certificate of Practice
1A. Cancellation: Regulation 10 states that a Certificate of Practice (COP) can be cancelled if the holder's name
is removed from the Register, the certificate was issued based on false information, the member has ceased to
practice, or the annual fee is not paid by September 30th of the relevant year.
1B. Surrender: Upon cancellation of the COP, the holder must surrender it to the Secretary.
2A. Restoration: According to Regulation 11, a cancelled COP can be restored.
2B. Application: Restoration requires an application in the approved form, along with the payment of a fee.
2C. Restoration from same date: The Council may restore the COP, effective from the cancellation date, for a
member whose certificate was cancelled due to non-payment of the annual fee. This applies if the complete
application and fee are received before the relevant year ends.

(CNO-PE.760) Members - deemed to be in Practice
Membership Classes: There are two categories of members - those in practice and those in other occupations
(Not in Practice).
Definition of "In Practice": It includes CA’s who are having COP or they are deemed to be in practice under
Sec 2(2) of CA Act
Members Deemed to be in Practice: “A member of the Institute shall be deemed “to be in practice” when
individually or in partnership with Chartered Accountants in practice, or in partnership with members of such
other recognised professions as may be prescribed, he, in consideration of remuneration received or to be
received, performs below given list of activities.

List of Activities
1A. Presents as Public Accountant: Presents himself as an accountant to the public.

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