Sunday, July 28

All about Industrial Training for CA students

A student has to undergo articled training for the period of three years along with theoretical education. The entire period of practical training can be served with a practising member or it can be served partly with a practising member and partly in an approved industrial establishment as an Industrial Trainee. The period of such industrial training may range between 9–12 months during the last year of the prescribed period of practical training. Only students of Final Chartered Accountancy Course are eligible for Industrial training.


Industrial training is a training scheme by which a student can undergo practical training with an industrial undertaking having specified amount of fixed assets or turnover or paid-up share capital. Industrial training can be commenced during the last one year of articleship. Industrial training can be performed in financial, commercial, industrial undertakings with minimum fixed assets of Rs.1 crore; or minimum total turnover of Rs. 10 crore; or minimum paid–up share capital of Rs. 50 lakhs; or such other institutions or organization as may be approved by the Council from time to time. The period of industrial training may range between 9 months and one year. The industrial training shall be received under the member of the Institute. An associate who has been a member for a continuous period of at least 3 years shall be entitled to train one industrial trainee at a time and a fellow shall be entitled to train two industrial trainees at a time. There should be an agreement of industrial training in Form No.104. On satisfactory completion of industrial training by an articled/audit assistant, the associate/fellow member under whom the industrial training is received shall issue a certificate in Form No.105 in respect of the training undergone. It is required to maintain details of work undertaken and training received in the prescribed format.

The period of practical training shall be 3 years or 3½ years, as applicable, under a practising chartered accountant abroad. However, the articled/audit assistants should have an option to undergo industrial training in accordance with the Regulations 51 & 72 of the Chartered Accountants Regulations, 1988 during the last one year of training.

The Industrial Training may be imparted by the Chartered Accountants working abroad in a financial, commercial or industrial undertaking with minimum fixed assets & minimum total turnover or minimum paid-up capital as may be specified by the Council (whatever the value specified in terms of Indian currency may be deemed as applicable in foreign countries in their respective currencies) or such other organization or institution approved by the Council

The terms & conditions contained in Regulation 54 dealing with secondment shall be applicable to the articled assistants receiving training abroad.


In order to expose the trainees at large to multi-disciplinary work variety of business situations, the arrangement of secondment under articleship training is provided by which an articled assistant can work under a different member of the Institute. Under the scheme of secondment an articled assistant is shifted to another member who is eligible to train articled assistant or who is eligible to train assistant under the scheme of industrial training. However, a member is not entitled to train more than two such articled assistants under secondment basis. Under the scheme of secondment, the period of training shall not exceed twelve months under a member other than the original Member In-charge of Training (MIT)/Principal and in aggregate total period of training under secondment shall not exceed 1 year. If the secondment is made under industrial training, the periods served on secondment should not exceed 1 year.


• Transfer/termination of articles is permitted without any restriction during the first year of articles.

• During rest of the Articleship Transfer/Termination of articleship of an articled assistant shall not be allowed except in following cases –
- His/her working parent(s) is/are transferred from the city/place where the articled assistant is receiving training to another city and a copy of transfer order/proof is submitted to the principal in proof thereof. On such termination the articled assistant concerned shall join articles training in and around the place of posting of his/her parent(s) and shall not re-register articles in the same city or within 50 Kms radius of the city where he/she has undergone articles prior to such termination.
- If the articled assistant is not able to serve the articleship for specified genuine medical reasons thereby opting to discontinue the CA course for a period of at least three months, the termination of articles be permitted, provided that the medical grounds are such that warrant termination of Articleship.
- In the event of misconduct involving moral turpitude, gross negligence or unsatisfactory performance of the articled assistant, his articles shall be liable to be terminated by his principal besides being cancelled or extended for such period as may be decided by the Institute. Board of Studies to decide and enumerate the acts constituting misconduct.
- Termination/ transfer of articles be permitted on such other justified circumstances as may be deemed genuine by the Council such as Industrial Training, Secondment of articles, Conversion from PCC to IPCC (for termination of articles only. Re-registration of articles to be allowed only after passing Group-I of IPCC), Marriage basis (only if there is relocation to another city involving distance of 50 kms), Death of Principal, Ceasing of practice by Principal, Removal of name of principal from the register of members due to any reason, Irregular payment or non payment of stipend with reference to Regulation 67, Articled assistant desires to serve balance period of training outside India, Shifting by the principal to another city involving distance more than 50 Kms. Any other valid reason to be considered and decided by the President on case to case basis on merits having regard to the facts of the case.

While forwarding the Form No. 109 the principal shall state specifically the clause under which the articles have been terminated.

The request, on any one or more of the aforesaid grounds, of an articled assistant on a plain paper alongwith the recommendation / consent of the Principal for transfer / termination of articleship accompanied by evidence / proof (self-attested by the articled assistant) to the satisfaction of the Institute is required to be made. Request for transfer not accompanied by consent of Principal shall not be accepted by the Institute.

Approved Organisations:


Courtesy: ICAI.ORG

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