CA Articleship - A Complete Guide

CA Articleship is a practical training phase that CA students undergo after completing the CA IPCC course. Candidates who pursue this training are called Articles. In addition, they need to practice under a practising CA who is known as a Principal. This article discusses various aspects of CA articleship training, including duration, eligibility criteria, registration process, best firms for articleship, salaries, etc.

What is Articleship in CA?

After taking the CA Intermediate exam, many students wonder what articleship is in CA. CA articleship training is considered the third stage of the CA course that begins after passing one or both CA intermediate groups. 

During Chartered Accountant Articleship, students work under the guidance of a practising CA. They gain practical experience by performing the day-to-day tasks of a Chartered Accountant. The CA articleship duration is three years, which CA aspirants must complete if they want to appear for the CA final examination.

Importance of Articleship in CA

CA articleship is a mandatory part of the CA curriculum. As mentioned earlier, you will not be able to sit for the CA final exam without completing this training. The points below emphasize the importance of CA articleship training:

• The articleship prepares candidates to become professional CAs with three years of work experience.
• CA articleship firms involve a hectic timetable. Therefore, candidates learn how to manage their time effectively.
• This three-year training assists in the professional development of an individual. Students can enhance their skills such as multitasking, team management, risk management, etc.
• CA aspirants get an opportunity to deal with real clients during the CA articleship period.

What Happens During the CA Articleship Training?

An article performs the following tasks in the article training:

• Auditing
• Taxation
• ROC Compliances
• Filing tax returns
• Preparing financial statements

Based on the performance of the articles, they are also given some assignments in the second and third years. Moreover, the work done by articles varies according to the organization they are working for and their training year.

Eligibility Criteria for CA Articleship

Students need to fulfil the CA Articleship eligibility criteria to apply for practical training. In addition, there is a variation in the eligibility requirements for CA Foundation Route and Direct Entry Route students. Take a look at the eligibility criteria for Foundation Route students:

• The students must have cleared one or both groups of CA Intermediate.
• Candidates must have completed 4 weeks of ITT and OT training.

The Direct Entry Route students need to meet the following eligibility requirements:

• Commerce students must obtain at least 55% marks in graduation. At the same time, students in the science stream or other streams need to secure more than 60% marks.
• Completion of IIT and OT training is compulsory.

CA Articleship Registration

After fulfilling the eligibility criteria, you need to register for a CA articleship with ICAI. Initiate the registration process by downloading Forms 102 and 103 from the official website of ICAI. Next, fill in the required details in the CA articleship forms and submit the forms to ICAI. The registration process for CA articleship training is detailed below.

How to Register for CA Articleship?

You will require a few important CA articleship forms in the registration process. The following steps will guide you through filling out the CA articleship registration forms.

1. Visit the official website of ICAI and download forms 102 and 103. You need to make a payment of INR 50 to download these forms. If you take the forms from the regional office, you still need to pay the same amount.
2. Fill out the registration form 102 (Deed of Articles). The deed needs to be executed on a Special Adhesive Stamp with the required amount. Note that the Article and the Principal must sign the deed. Further, submit form 102 to the Principal.
3. Next, fill out registration form 103. It is the statement of particulars that must be duly filled and signed. In addition, you must submit this form to ICAI for an articleship assistant. For filling out form 103, you need to submit some important documents and pay the required fee through a demand draft. Here are the documents required:

• • IPCC or Intermediate Marksheet showing the passing marks
  • Attested copy of the 12th mark sheet
  • ITT and Orientation Program certificates

The Principal must duly attest these documents. Make sure that you have filled out 3 copies of form 103. The Principal and the article assistant must have one copy each, and students must submit the original form to ICAI. Form 103 must be submitted to ICAI within 30 days before the commencement of the articleship.

CA Articleship Registration Fees

Candidates applying for CA articleship must pay the registration fee by a demand draft and Form 103. The fee for CA articleship registration is INR 2000. 

Late Submission Fees

If the Article fails to send Form 103 to ICAI within 30 days, they must attach a letter along with form 103 explaining the reason for a late submission. This letter needs to be signed by the article assistant and the Principal. In addition, the candidate will have to submit a fee for a late submission. Students will be charged INR 100 beyond 30 days, INR 300 between 31-80 days, and INR 1000 beyond 181 days.

Best Courses Along with CA Articleship

Students might also want to pursue other courses like B.com, CS, etc., and their articleship training. This requires students to take permission from ICAI and submit form 112 within one month of the practical training. However, it may be challenging for candidates to pursue courses along with CA articleship as college and office times may collide. Still, if you can manage time, check out the list of top courses to pursue along with CA articleship:

• CMA
• CFA
• LLB
• FRM
• ACCA
• Diploma in Information System Audit (DISA)
• Certified Information System Auditor (CISA)
• Certified Internal Auditor (CIA)
• Investment Banking

Top 10 Firms for CA Articleship

CA firms are organizations where an Article can work under the supervision of a practising CA or a Principal. Here, the students understand the day-to-day activities and responsibilities of a CA. Find below some of the top CA firms in India for articleship:

• Deloitte
• PWC
• Ernst and Young
• KPMG
• BDO International
• Grant Thornton International
• SS Kothari Mehta and Co.
• Sahni Natrajan and Bahl
• Lodha & Co.
• RSM International

You can find a CA articleship vacancy in one of these firms by going through its offical website, Linkedin page, etc.

How much CA Articleship Salary/Stipend to Expect?

The CA articleship stipend is not very high. As per the ICAI, there is a set amount that every CA firm pays to the articles. The benchmark of the stipend amount established by ICAI is different for all 3 years. The salary also varies according to the population of a particular city or town.

The minimum stipend amount for first-year students ranges between INR 1000 and 2,000. At the same time, it is between INR 1500 and INR 2500 for second-year students. Lastly, the amount ranges from INR 2000 to INR 3000 for third-year students. This amount has been set as a benchmark by ICAI, but it can increase depending upon the firms. Check out the table below for CA articleship salary details based on population:

CA Articleship Stipend/ Salary	1st Year	2nd Year	3rd Year
Cities/Towns with Population >/= 20 Lakhs	INR 2,000	INR 2,500	INR 3,000
Cities/Towns with Population between 4 and 20 Lakhs	INR 1,500	INR 2,000	INR 2,500
Cities/Towns with Population < 4 Lakhs	INR 1,000	INR 1,500	INR 2,000

CA Articleship in Big 4 Firms

Every CA student's dream is to pursue their articleship training in one of the Big 4 CA firms. These firms offer the best CA practices and several vacancies in India. Following are the Big 4 CA firms:

1. Deloitte Touche Tohmatsu Limited
2. Price Waterhouse Coopers (PwC)
3. Ernst & Young (E&Y)
4. Klynveld Peat Marwick Goerdeler (KPMG)

How to Apply?

Students can apply to Big 4 firms through the following ways:

• Official website
• ICAI BOS Articleship Portal
• ICAI Notice Board
• Linkedin
• Online job portals
• References and connections

Stipend in Big 4 CA Firms

Students can expect to receive a good stipend from India's Big 4 CA firms. These firms offer better stipends than other CA firms. The CA articleship stipend amount in Big 4 firms is INR 10,000 for first-year students. Second-year students receive INR 15,000, and third-year students get INR 20,000.

Additionally, students are curious to know what salaries/stipends each firm offers. Thus, Deloitte offers an articleship stipend of Rs among the big four CA firms. 13000, KPMG Rs. 15000, and E&Y and PWC Rs. 12000.

CA Articleship Working Hours and Leaves

The articles can take 157 leaves during the three-year CA articleship period. Excessive leaves can lead to unnecessary problems, as your articleship period will not be completed. Therefore, the article should follow the CA articleship leave regulations. According to ICAI, the minimum working hours for an article is 35 hours per week. It usually extends up to 10 hours a day or 60 hours a week, based on the workload. Therefore, working hours might differ from one CA firm to another.

CA Articleship Termination/Transfer

As you know, ICAI guidelines specify that students must complete 3 years of articleship training before appearing for their CA Final Exam. Additionally, the article can take leaves or transfers during this period.

CA Articleship Termination Procedure

If first-year articles are not satisfied with the guidance of their Principal, it is easier for them to take a transfer anytime without any limitations. The candidate needs to prepare an application request on their Principal's letterhead. It should be duly signed by both the article and the Principal.

Next, he must apply to the ICAI within 30 days of the transfer date, and ICAI will send a confirmation in 30 days with the application receipt. 

However, taking a transfer in 2nd and 3rd-year of articleship is difficult due to the strict rules and procedures. Articles who wish to be transferred in their second or third year of articleship must fill out form 109. Candidates must send this form to the ICAI according to the training guide by ICAI. Lastly, the candidate must download form 109 and send it to the relevant regional office.

CA Articleship Completion Form

Upon completing the articleship, a CA student needs to submit Form 108 to ICAI. You can find form 108 on the ICAI portal. In this form, you must fill in all the relevant details about your articleship.

Moreover, candidates must submit form 108 within 30 days of completing the articleship. After submitting the form, you will get the completion of the articleship certificate. Further, ICAI checks all the details and documents submitted by the student. After verifying details and documents, you will receive a CA articleship completion certificate.

Conclusion

CA Articleship is an important learning phase in a CA student's career. This practical training exposes students to real-world challenges and develops them into CA professionals. Therefore, students need to undergo this three-year training. In addition, students can choose from several fields in CA articleship training.

Major fields include taxation, statutory audit, forensic audit, mergers and acquisitions, etc. Furthermore, articleship training from Big 4 CA firms is a great value addition to your resume as these firms provide the best industry practices and exposure to larger clients.