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What exactly is a Chartered Accountant Firm?

There’s a famous joke about chartered accountants. It says that God first made man. Then he made money. Then he made M.B.A’s. and after that he created C.A’s so that M.B.A.’s don’t run away with all the money.

Chartered accountants are one of the pillars on which the edifice of Business and Finance stands. They perform various auditing and taxation duties which keep a track of growth and prosperity of the company, and also keep a check of its progress.

A chartered Accountant Firm is composed of Chartered Accountants, who have undertaken formal training in accountancy and economics. They are professionals who keep a tab on money and its flow. Thus C.A’s are the people who understand money politics, and guide you with your progress and development. They can even help you get the file your income tax returns. Thus all in all, for diligent planning and investment n your business, it is very important to get it audited by a chartered accountant.

Chartered accountants perform several duties. For example:

(i)        Accountancy: Book Keeping or managing the accounts is the primary duty of the accountants. They prepare all your financial statements, from the simplest accounts, to most complex ledgers of your financial activities.

(ii)         Auditing: Auditing is done to satisfy the authorities of verity of the accounts presented to them. Fair play and integrity are the basic principles of accounting.

(iii)        Taxation:  The assessment of taxes is closely linked to financial Accounts.  The Chartered Accountant with his experience in accounts prepares the returns of tax, represent assesses before the income tax authorities and render general advice on taxes to clients. The services of CA may be requisitioned by the tax department for auditing taxation cases with large revenue potential.

(iv)       Cost Accountancy:  A Chartered Accountant is equipped to provide information on costing for the guidance of management, introduce cost control methods and assist the management in determining appropriate selling prices.

Thus we see how Chartered Accountant Firms are the backbone of business and finance.

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