Regarding CA-Practice
This query is : Resolved
02 May 2020
Sir,
CA member has jointed in Business Association ?
whether it is permissible or not as per ca Act ?
Please reply?
CA member has jointed in Business Association ?
whether it is permissible or not as per ca Act ?
Please reply?
02 May 2020
Not specified business association, it doesn't not make CA from doing business but cannot do audit where his interest in the company
09 May 2020
Please go through the below:
https://taxguru.in/chartered-accountant/guideline-joining-association-networks-icai-members-practice.html
https://taxguru.in/chartered-accountant/guideline-joining-association-networks-icai-members-practice.html
20 July 2025
Great question! Here’s the clarity on a CA member joining a Business Association as per the CA Act, 1949 and the ICAI Code of Ethics:
Is it permissible for a Chartered Accountant (CA) member to join a Business Association?
Yes, a CA member can join a Business Association, but with important conditions:
Key points:
Membership Allowed
There is no specific prohibition in the CA Act or ICAI regulations preventing a CA from being a member of a business or trade association.
Joining such associations for professional networking, knowledge sharing, or industry engagement is permissible.
Restrictions on Business Interests
A CA member should not engage in any business or trade that conflicts with the professional independence or integrity required by the CA profession.
If the Business Association involves activities that compromise the objectivity or independence of the CA (e.g., business where the CA has a direct financial interest), it may raise ethical concerns.
ICAI Code of Ethics
The Code of Ethics emphasizes maintaining professional integrity, independence, and avoidance of conflict of interest.
A CA member must ensure that joining the association does not lead to violation of confidentiality, conflicts, or impairment of professional judgment.
Holding Office or Active Role
If the CA member holds an office or active managerial role in the business association that is commercial or profit-oriented, it might conflict with the CA profession’s ethical requirements.
Mere membership or advisory role is generally acceptable.
Conclusion:
Simply joining a Business Association as a member is allowed.
But, engaging in commercial activities that impair professional independence is not allowed.
Always ensure that your participation does not violate ICAI’s ethical guidelines.
Is it permissible for a Chartered Accountant (CA) member to join a Business Association?
Yes, a CA member can join a Business Association, but with important conditions:
Key points:
Membership Allowed
There is no specific prohibition in the CA Act or ICAI regulations preventing a CA from being a member of a business or trade association.
Joining such associations for professional networking, knowledge sharing, or industry engagement is permissible.
Restrictions on Business Interests
A CA member should not engage in any business or trade that conflicts with the professional independence or integrity required by the CA profession.
If the Business Association involves activities that compromise the objectivity or independence of the CA (e.g., business where the CA has a direct financial interest), it may raise ethical concerns.
ICAI Code of Ethics
The Code of Ethics emphasizes maintaining professional integrity, independence, and avoidance of conflict of interest.
A CA member must ensure that joining the association does not lead to violation of confidentiality, conflicts, or impairment of professional judgment.
Holding Office or Active Role
If the CA member holds an office or active managerial role in the business association that is commercial or profit-oriented, it might conflict with the CA profession’s ethical requirements.
Mere membership or advisory role is generally acceptable.
Conclusion:
Simply joining a Business Association as a member is allowed.
But, engaging in commercial activities that impair professional independence is not allowed.
Always ensure that your participation does not violate ICAI’s ethical guidelines.
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