In the context of exams like the CA (Chartered Accountancy) exams administered by the ICAI, an exemption is granted when a candidate secures 60% or more marks in a particular paper. Under current rules, that candidate is exempted from appearing in that specific paper for the next three consecutive attempts. If the candidate does not clear the group within those three attempts, they must reappear for that exempted paper.
Summary
An exemption allows a candidate who scores 60% or more in a subject to skip that subject in subsequent attempts (up to three) while trying to pass the remaining papers of that group.