The Advisory Level (formerly CAP-III) serves as the final and most advanced stage of the ICAN Chartered Accountancy course, where students integrate expert-level technical knowledge with three years of mandatory practical articleship training to develop the strategic decision-making skills and professional ethics required of a qualified Chartered Accountant in Nepal.
The Advisory level is the final stage of the Chartered Accountancy course under ICAN, designed to transform students into qualified professional accountants with a high level of competency. The provided text outlines the main objectives and focus of this level.
The Advisory level goes beyond simply knowing the rules and procedures. Its primary purpose is to "develop the skills of students to the point where they can make competent professional judgements and evaluations arising from an analysis of complex business situations." This means students are trained to:
Analyze Complex Situations | They learn to break down intricate business scenarios, identifying all the relevant factors and their interrelationships. |
Make Judgments and Evaluations | Based on their analysis, they must form well-reasoned opinions and assessments, which is a key trait of a professional accountant. |
Link Knowledge Components | They must integrate knowledge from various subjects—such as advanced accounting, auditing, law, taxation, finance. Management accounting—to address a single problem. This is different from the previous levels where subjects might have been studied in a more isolated manner. |
Recognize Alternatives | Instead of just finding one solution, they learn to identify multiple possible courses of action and evaluate the pros and cons of each. |
Identify Hidden Issues | The ability to "identify problems and issues that are not immediately apparent." This points to the development of a professional's skepticism and a deep understanding of business contexts to uncover underlying issues that a less-trained eye might miss. |
Draw Informed Conclusions | After a thorough analysis and evaluation, they must be able to reach a well-supported conclusion. |
Advise Clients Effectively | They learn to communicate their findings and recommendations clearly, concisely, and in a way that is easily understood by clients who may not have a financial background. |
In essence, the Advisory level is the culmination of the CA journey. It takes the theoretical knowledge and practical application skills from the earlier levels and integrates them to produce a professional capable of high-level analytical thinking, ethical judgment, and effective client communication - qualities that are essential for a successful chartered accountant.
The Application level is a three years course along with compulsory articleship training.
During the advisory level course, students should undergo paid Articleship for the period of 3 years as an Articled Trainee under a practicing Chartered Accountant. This is a mandatory requirement for students pursuing the Advisory level. It is a foundational component of the CA qualification, designed to provide students with real-world, hands-on experience. The theoretical knowledge gained in the Foundation and Application levels is put into practice in a professional environment.
Students must serve their articleship under a practicing Chartered Accountant, who is a member of ICAN and holds a Certificate of Practice (COP). This individual, often referred to as the "Principal," is responsible for guiding and mentoring the trainee.
To be eligible for articleship, a student must have passed both groups of the Application level (previously CAP-II) examination. They also need to complete certain mandatory training programs, such as the initial 60 hours of IT Training and the General Management and Communication Skills (GMCS) training, before submitting their Articleship Deed.
The articleship is a paid training program, and trainees receive a monthly stipend as per the regulations set by ICAN. The stipend rates vary based on the year of articleship. Currently, the minimum stipend as prescribed by the ICAN is:
First Year of articleship training | NRs. 5,000 per month |
Second Year of articleship training | NRs. 7,000 per month |
Third Year of articleship training | NRs. 10,000 per month |
During this three-year period, an articled trainee is exposed to various aspects of accounting, auditing, law, finance, taxation, and business advisory services. This practical experience is essential for developing the professional judgment, analytical skills, and ethical behavior required of a Chartered Accountant.
Passed both groups of the CAP-II/Application-level examination.
Obtained a Certificate of Completion of mandatory 60-hour IT Training program conducted by ICAN.
Obtained a Certificate of Participation in the General Management and Communication Skills (GMCS) Training.
Registered as an articled trainee under a practicing Chartered Accountant and submitted to ICAN within one month from the date it is signed.
There is no provision of provisional registration for Advisory Level.
The registration for Advisory level is also opened throughout the year. Registration process is also similar to Application level. Details and documents (‘png’ format of documents in prescribed form) required for registration are as under:
All the documents as required in CAP-I/Foundation level and CAP-II/Application level.
Marks Sheet/Transcript and Certificate of CAP-II/Application Level.
Certificate of Completion of mandatory 60-hour IT Training program.
Certificate of Participation in the GMCS Training.
Articleship Deed duly signed by the Principal and the Student.
Prescribed Registration Fee (can be paid at installment basis).
The total fee structure of ICAN for the Advisory Level Course is as under:
Registration Form Fee | NRs. 200 |
ID Card Fee | NRs. 100 |
NCASA Fee | NRs. 600 |
Registration Fee | NRs. 50,000 |
Total | NRs. 50,900 |
This fee can be paid fully at the time of registration or also on installment basis as under:
At the time of registration: NRs. 25,900
After three months of registration: NRs. 25,000.
Advisory level registration is open all over the year. However, student shall register in Advisory level at least 2 years before the Advisory level exams. Advisory level exams are held similarly in June and December.
Two registration are to be done:
First: Articleship registration
Second: Advisory level registration
To be eligible for Advisory level exams in December (say 20X5), 2 years of registration should be covered till November 30, 20X5. Which means the last date for registration will be December 1, 20X3.
To be eligible for Advisory level exams in June (say 20X6), 2 years of registration should be covered till May 31, 20X6. Which means the last date for registration will be June 1, 20X4.
The Time Crunch for Students
For December Application Exams: Students who take their Application level exams in December typically have their results declared in mid-February. They then have a short window of about 3.5 months (from mid-February to 31 May) to complete their Advisory level registration to be eligible for the nearest possible exam session.
For June Application Exams: Similarly, students who take their Application level exams in June have their results announced in mid-August. This also gives them a brief window of around 3.5 months (from mid-August to 30 November) to register for the Advisory level to be eligible for the nearest possible exam session.
In summary, the Advisory level registration is not about an immediate exam but about beginning the two-year preparatory period that precedes it. The short window between receiving Application level results and the Advisory level registration deadlines makes it essential for students to be prepared and act quickly to stay on track with their CA journey.
In the Advisory level, you have to study overall six subjects converted into six examination papers divided into two groups, each carrying 100 marks as under:
Group I |
| Group II |
|
Paper 1 | Advanced Financial Reporting | Paper 4 | Advanced Law |
Paper 2 | Advanced Business and Financial Management | Paper 5 | Advanced Management Accounting |
Paper 3 | Advanced Assurance | Paper 6 | Advanced Taxation |
To be eligible to sit for the final Advisory level exams, a student must meet a combination of practical training, skill-based, and academic criteria. These requirements ensure that candidates are well-rounded and ready to enter the profession.
Articleship Completion Status: A candidate must have less than one year of their three-year articleship remaining on the first day of the examination month. This means that to appear for the December exams, they should have completed at least two years of articleship by December 1st. Similarly, for the June exams, they should have completed at least two years of articleship by June 1st.
Completion of IT Training: Students are required to complete the remaining portion of their mandatory IT training. After completing the initial 60 hours for Advisory level registration, they must complete an additional 40 hours, bringing the total to 100 hours.
Passing the Eligibility/Pre-Test: As with the other levels, students must pass an online Eligibility/Pre-Test, which is conducted by ICAN.
The pre-test must be passed at least 2.5 months before the final examination date.
The deadline for passing this test is the middle of September for the December exams and the middle of March for the June exams.
The eligibility to take the pre-test itself is valid for three years from the date of registration.
After the successful completion of the Advisory level (previously known as CAP-III), a student has reached the final stage of the educational and training curriculum of the Chartered Accountancy course under ICAN. The next steps are focused on formally becoming a member of the institute and, if desired, starting a professional practice.
Advanced Management and Communication Skills (AMCS) Training:
Before applying for membership, a student must complete the Advanced Management and Communication Skills (AMCS) training.
This training is a crucial step to enhance a student's professional skills beyond the technical and academic requirements. It focuses on high-impact communication, leadership, and management, which are essential for a successful career as a Chartered Accountant.
It covers areas like public speaking, negotiation, conflict resolution, and strategic thinking, preparing the new professional for a leadership role.
Applying for ICAN Membership:
Upon successful completion of the Advisory level exams and the AMCS training, a candidate is eligible to apply for membership with ICAN.
The application process involves submitting a formal application and the required documentation, including proof of passing all levels of the CA course and completing the articleship training.
Upon the council's approval, the individual is granted membership and can use the prestigious designation of "Chartered Accountant" (CA) in full or "CA" in brief.
Obtaining a Certificate of Practice (COP):
While all members can use the "CA" designation, only those who wish to enter into public practice (i.e., offer accounting, auditing, and other related services to the public) must obtain a Certificate of Practice (COP).
The COP is a license issued by ICAN that authorizes a member to practice the accounting profession.
To be eligible for a COP, the member must meet specific requirements, including having completed their three-year articleship under a qualified Chartered Accountant with a valid COP.
In summary, completing the Advisory level is the final academic hurdle. The subsequent steps are about formalizing one's status as a professional. This involves completing a final training program, applying for and obtaining ICAN membership, and securing a Certificate of Practice if the individual plans to start their own firm or practice independently.
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