There are some career options opened for the students, who want to explore in the field of accounting, finance, business, taxation, etc. that offers them better employment opportunities and good pay. CA and CPA are two of those courses, through which a person can gain expertise in the field of accounting and other related areas. The primary difference between CA and CPA is that the former designation is given to the qualified accountants in India, while the latter, is provided in the United States.
Content: CA Vs CPA
|Basis for Comparison||CA||CPA|
|Meaning||Chartered Accountant (CA), is a degree offered to the qualified accountants in India.||Certified Public Accountant (CPA), is an accounting designation given to the qualified accountants in the United States.|
|Governing body||Institute of Chartered Accountants of India||American Institute of Certified Public Accountants|
|Course Duration||Minimum 4 years||Within 1 year|
|Who is eligible?||Students who qualified 10+2 examination are eligible to appear in the foundation exam.||Well, the eligibility the varies on the basis of state or jurisdiction. But in general, 150 semester hours are required by the states.|
|Exam pattern||3 levels of exam||4 exams|
|Exam cycle||Level 1 - June & December, Level 2 & 3 - May & November||4 testing windows in a year.|
|Study Material||Provided by the institute.||Not provided|
About Chartered Accountant (CA)
Chartered Accountant is a member of officially recognised Institute of Chartered Accountants of India, which is a professional body of accountants. It is a professional accounting degree in India, given to those who pursue the Chartered Accountancy course and qualify the exam conducted at three levels by the Institute. The CA mainly works in the field of business, finance, accounting, auditing, taxation, advisory services and so on.
To become a Chartered Accountant, first of all, the student has to pass the entry level examination conducted by the institute known as Common Proficiency Test (CPT). After which the student may enrol themselves for the second level known as an Intermediate Professional Competence Course (IPCC), which is divided into two groups. After qualifying the first group the student has to undergo three years training, then he can appear in the final exam which is also divided into two groups.
About Certified Public Accountant (CPA)
Certified Public Accountant is a member of world’s largest professional accounting body, i.e. American Institute of Certified Public Accountants (AICPA). It is a statutory title for accounting professionals in the United States who pass the Uniform Certified Public Accountants Exam, along with the required state education and experience. The CPA works in the field of accounting, business, finance, financial reporting, consulting services, etc.
To become a CPA, the candidate must possess the required qualifications. There are four testing windows in a year. The examination will be held in English language only. The candidate should pass four exams on the following subjects, during the testing window:
- Auditing and Attestation (AUD)
- Business Environment and Concepts (BEC)
- Financial Accounting and Reporting (FAR)
- Regulation (REG)
Key Differences Between CA and CPA
The significant differences between CA and CPA are mentioned below:
- The degree offered to the qualified accountants in India is known as Chartered Accountants (CA). Certified Public Accountant (CPA) refers the accounting designation given to the professional accountants in the United States.
- The CA course is governed by the world’s second largest accounting body, namely the Institute of Chartered Accountants of India (ICAI). Conversation CPA is regulated by the world’s largest accounting body, i.e. American Institute of Certified Public Accountants.
- The CA course takes at least four years to complete whereas CPA can be completed within one year.
- After passing 10+2 exam, any person is eligible to appear in the entry level exam in case of a CA. In contrast to CPA, the eligibility differs on the basis or the state or jurisdiction but 150 semester hours is the basic criteria for a maximum number of states.
- For becoming a Chartered Accountant a person has to qualify three levels of the exam. On the other hand, a person can become a CPA by qualifying four exams.
- CA exam conducted for Level 1 – June & December, Level 2 & 3 – May & November. As opposed to CPA there are four testing windows in a year.
- The cost and expenses in pursuing CPA are higher than CA.
- The institute provides study material in pursuing CA but this is not so with CPA.
When it comes to which course is better between the two, I can say both are the best at their places. If you pursue CA, you will get to know about Indian laws and standards while if you opt CPA you will go through with international laws, principles and standards. Both have got accreditation through internationally recognised institutes. However, the passing percentage of CPA is far better than CA. But CA is one of the economical courses.