Bill renames cost accountants to cost and management accountants

It also renames the profession and the governing institute to reflect a broader scope of 'cost and management accountancy'.

Who it concerns: Members of the Institute of Cost and Works Accountants of India (now renamed Institute of Cost and Management Accountants of India), firms of cost accountants, and companies engaging in cost accountancy.

What the bill does

• Substitutes the term 'cost accountant' with 'cost and management accountant' throughout the Act.
• Renames the 'Institute of Cost and Works Accountants of India' to the 'Institute of Cost and Management Accountants of India'.
• Changes the professional designation letters from 'AICWA' to 'ACMA' and 'FICWA' to 'FCMA'.
• Inserts new definitions for 'firm', 'partner', 'partnership', and 'sole proprietorship' to include Limited Liability Partnerships (LLPs) and sole proprietorships registered with the Institute.
• Allows members of the Institute to form partnerships with members of other recognized professions as prescribed by the Council.
• Clarifies that for the purpose of penalties regarding companies practicing as cost accountants, an LLP with a company as a partner is included in the definition of 'company'.
• Empowers the Council of the Institute to make regulations for recognizing other professions eligible for partnership.

Also in the document

• The Bill extends the benefits of the Limited Liability Partnership Act, 2008 to firms of cost accountants.
• The Financial Memorandum states that the provisions will not involve any expenditure from the Consolidated Fund of India.
• The Bill was introduced in the Rajya Sabha on April 15, 2010.