How to Become a CPA in India?

Last Updated On -08 Jan 2025

Dreaming how to become a Certified Public Accountant (CPA) in India? Interpret your dreams into reality. You might be familiar with the Certified Public Accountant (CPA), it is a great way to upskill yourself and is regarded as the apex of excellence in the finance and accounting industry. Most CPAs take the CPA Exam and ultimately practice within the United States, but it can be a good idea to obtain your license internationally as well.

Before delving into the question of how to become a CPA in India we must talk about its prospects. India is one of the largest economies in the world, and it is a country that increasingly provides vital finance and accounting services to other countries, it clearly needs skilled CPAs. That need will only grow stronger as the years pass. CPA licensure gives you an opportunity to be in demand locally and globally. Since you're here, we assume that you may have some questions regarding the course of CPA like how to do a CPA course in India and CPA exams in India, etc, so let's get straight into the question, what is a CPA?

What is a CPA?

Before understanding the whole process, it is necessary to understand what CPA actually means. CPA or Certified Public Accountant is considered the gold standard in the fields of accounting and finance. Spread across just 4 exams, CPA’s curriculum uses some of the most advanced testing techniques to test aspirants all over the world if they’re worthy of the designation CPA.

The CPA designation is earned through education-relevant experience and license. A Certified Public Accountant plays a vital role in financial plans and transactions. CPAs are globally recognized as premier accountants and are hired across industries throughout the world.

What are the Requirements to become a CPA in India?

Every state in India has its CPA eligibility criteria, but some standard CPA qualification criteria are:

Graduation in commerce and accounting (B.Com, BBA, MBA in Finance, M.Com)

CA/ CMA/ Intermediate passed/ CS passed.

Postgraduate professional certification in accounting and finance

Valid international passport

Indian students should be members of either ICAI, ICMAI, or ICSI to appear in Other than being a member of one of these organizations, Indian students can possess an MBA or M.Com degree.

Academic Requirements:

There are specific credit requirements you need to have to be able to appear in the exam.

Credits:

120 credits in accounting and finance is a fundamental requirement to appear for the exam.

Once you have achieved those 120 credit hours, you’re one vital step closer to sitting for the exam. To earn full CPA licensure, you require 150 credit hours, which means an additional 30 credit hours. Most B.Com degrees in India give you 120 credits, however, to earn the remaining 30 credits, you will have to pursue a bridge course.

Exam:

All candidates must pass all four sections of the CPA Exam.

Ethics:

Most states also require candidates to take and pass an ethics exam.

Experience:

Specifics vary depending on your licensing state, but most state boards require a set number of years of experience in public accounting firms or work overseen by a CPA. Most states require candidates to have a minimum of 1-2 years of supervised accounting experience.

Note: Not all states will have the ethics exam. In the states that do, each one will have its ethics exam. Plus, each state will have its own requirements in terms of work experience as well. So, before choosing a State Board, clearly understand the state’s requirements.

What is the Structure of CPA India?

Once you meet the eligibility criteria for the exam, you can start preparing for it and make a proper schedule to cover the essential topics. The CPA exam is a four-part exam administered by the American Institute of Certified Public Accountants (AICPA).

The four sections of the CPA exam are:

Audit and Certification (AUD),
Business Environment and Concepts (BEC),
Financial Accounting
Reporting (FAR), and Regulation (REG).

Enrolling in CPA research, studying textbooks and the right study material can help you in preparation. Moreover, solving previous year's question papers and giving mock tests are other two ways to elevate your preparation.

How to Register for CPA Exams?

CPA registration can be done through the website of the National Association of State Boards of Accountancy (NASBA) once you have confidence in your preparations. Verify the exam locations, times, and registration requirements. There is a fee of $1,500 for sitting for the CPA Exam internationally.

You have to keep in mind that CPA Exam changes take effect in 2024, so some costs may change as well.

Costs you should prepare for include an initial application fee, a fee to take the CPA Exam, a fee to take the ethics exam, and study preparation to help you pass on exam day.

How to Pass the CPA Exams?

Being well-prepared on the big day, having confidence in your preparation, and clearing the exam is the most crucial step, however, after which you will start an easy journey. To achieve this it is necessary that the schedule from before has been well-structured and all the basic fundamentals are cleared, there are many materials available online, and with proper guidance, the fundamentals can be mastered.

Steps to take after the CPA Examination

Passing the exam is no dead end of the CPA journey, here are the final steps you need to do:

Apply for a CPA License
Continuing Professional Education (CPE)
Network and Grow Professionally

Frequently Asked Questions (FAQs) :

What is the significance of becoming a Certified Public Accountant (CPA) in India?

Becoming a CPA in India opens doors to both local and global opportunities in the finance and accounting industry. With India's growing economy and increasing role in providing financial services internationally, skilled CPAs are in high demand. The CPA license gives you recognition and credibility in the field, making you a valuable asset to employers worldwide.

What are the eligibility requirements for the CPA exam in India?

Eligibility criteria for the CPA exam in India vary by state, but some common requirements include:

Graduation in commerce and accounting (e.g., B.Com, BBA, MBA in Finance, M.Com)
Membership in professional accounting organizations (ICAI, ICMAI, or ICSI)
Completion of specific credit hours in accounting and finance (120 credits minimum, with additional requirements for full licensure)
Passing all four sections of the CPA Exam
Meeting experience requirements (typically 1-2 years of supervised accounting experience)

How can I prepare for the CPA exam?

Preparation for the CPA exam can be done by enrolling in CPA review courses, studying textbooks and relevant materials, solving practice questions, and taking mock tests. Familiarize yourself with the four sections of the exam: Audit and Certification (AUD), Business Environment and Concepts (BEC), Financial Accounting and Reporting (FAR), and Regulation (REG). Effective preparation is key to success on exam day.

How do I register for the CPA exam?

You can register for the CPA exam through the website of the National Association of State Boards of Accountancy (NASBA) once you meet the eligibility criteria and feel confident in your preparation. Verify exam locations, times, and registration requirements. The important thing to know is the fee associated with sitting for the CPA Exam internationally, and costs may vary.