Can you expect closure of businesses in future?
Can you expect slowdown of profit earnings in future?
Can government stop charging taxes on income of people in future?
Ok, at least can outflow and inflow of money be discontinued in future?
As long as answer to all the questions mentioned above is negative, future of Chartered Accountants is bright and shining.
From financing to investment, from income to expenditure, from subsidies to taxes, from businesses to start-ups, from corporates to professionals, the future belongs to Chartered Accountants.
Personalities like CA Kumar Manglam Birla, CA Motilal Oswal, CA Rakesh Jhunjhunwala and CA Naina Lal Kidwai etc. need no introduction when we talk about spearhead of chartered accountancy profession in India.
CA Himanshu Kumar, widely regarded as The King of Crowd Funding, has crafted several fund-raising success stories for both organizations and start-ups through his venture ANGLEpaisa.
CA Anuj Modi along with his banker friend has started his venture MarketBills which aims to solve SMEs/ MSMEs working capital and cash flow problem. It helps suppliers raise finance against unpaid invoices and solve their working capital cash flow while on another hand offers high return low risk short term investment opportunities to investors.
CA Satish Mandalia, founder and CEO of Autorounders - a start-up in the automobile service industry, aims to make it a data driven company or precisely The Google of auto service and repair industry where people can get all and any information related to cars.
CA Hina Usmani, A practicing Chartered Accountant in men-dominating accounting field in Pakistan, has founded an all-woman accountancy firm which not only offers accountants flexible hours that work well for their domestic life but also focuses on helping women entrepreneurs.
Total number of companies registered in India as on date are 15.27 lakhs out of which 7,300 companies have been registered last month only.
Total number of start-ups to be operated in India will be 10,500 by 2020.
Due to reduction in income tax rates in the recently concluded budget, Number of individuals filing their income tax returns is expected to grow rapidly.
Chartered Accountants are not merely number crunchers anymore. They are more of a consultant providing valuable insight that influences daily operations as well as long-term strategy.
Recently, Hon'ble Prime Minister Narendra Modi, while speaking about Benami property & resulting implications, suggested people to take advice from their chartered accountants.
Also Chartered Accountants were the busiest professionals during the period of income disclosure scheme and demonetization.
In the ancient times, Chartered Accountants were called 'Munim Sahab' and were used to be given utmost respect by the proprietor as well as his staff because he possessed the best knowledge of business and related economic areas.
While India is progressing towards creating a business hub like Silicon Valley, economic reforms like Goods & Service Tax, Ind AS, Companies Act 2013, E-payment and digitalization of business operations is creating abundant opportunities for Chartered Accountants.
Few areas where Chartered Accountants will play a very significant role
1. International Taxation - With the enforcement of cross border transactions, transfer pricing and Double Taxation Avoidance Agreements (DTAA), Chartered Accountants have a vital role in an advisory capacity to help companies to be well prepared to address any questions the revenue authorities may have in terms of their international business.
2. Cross Border Mergers and Acquisitions: Since Companies Act, 2013 allows mergers of Indian companies with foreign companies M&A subject to certain conditions, Chartered Accountants can help the companies in business valuations, Regulatory approvals before competent authorities like RBI/SIA/FIPB, advise on Private Equity Financing and Structuring etc.
3. Goods and Services Tax (GST): Consolidation of various indirect taxes in to a single tax would mean initial complications in tax compliances but will have immense macro implications for India's growth potential. Chartered Accountants will once again play a very important role by assisting taxpayers through record keeping and advisory services and revenue authorities through departmental audit and various certifications for tax credits.
4. Forensic Auditing: As litigations, scams and scandals are forming news headlines every second day, Forensic Auditors are in huge demand to investigate some form of economic crime.
5. The Companies Act 2013: The enactment of the much awaited the Companies Act, 2013 has marked the beginning of a new era in the Indian Corporate World. The Corporates need dependable and skillful professionals like Chartered Accountants to comply with stringent provisions.
Yes, Satyam Scandal in India & Enron Scandal in USA have brought the integrity and professional competence of Chartered Accountants under scrutiny, but Institute of Chartered Accountants of India, in association with International Federation of Accountants (IFAC) is continuously working to impart enough professional ethics and integrity in their members.