| Amended 1 January 2008 |
| The Council of the Association of Chartered Certified Accountants, in exercise of the powers conferred on it by bye-laws 4, 5, 6, 27 and 28 of the Association's bye-laws and all other powers enabling it, hereby makes the following regulations: |
| (1) | These regulations and annexes may be cited as The Chartered Certified Accountants' Global Practising Regulations 2003. |
| (2) | These regulations and annexes as set out herein shall come into force on 1 January 2008. |
| (3) | These regulations and annexes shall apply to all members and to all persons who otherwise agree to be bound by them. |
| (4) | These regulations and the annexes may be amended by resolution of Council. |
| (1) | In these regulations, unless the context otherwise requires: |
| Admissions and Licensing Committee means the committee appointed by Council pursuant to regulations made under bye-law 28; |
| Association means the Association of Chartered Certified Accountants incorporated by Royal Charter issued to it in 1974 as amended from time to time; |
| auditor means a person who signs or holds himself out as being available to sign an audit report whether or not that report is required by statute; |
| bye-laws mean the bye-laws from time to time of the Association; |
| certificate means a practising certificate; |
| Charter means the Royal Charter of Incorporation granted to the Association as amended or supplemented from time to time; |
| Council means the Council of the Association from time to time and includes any duly authorised committee of Council; |
| Disciplinary Regulations means The Chartered Certified Accountants' Disciplinary Regulations 2001; |
| FGI means fidelity guarantee insurance; |
| firm means a sole practice, partnership or body corporate including a limited liability partnership; |
| member means an individual admitted to membership of the Association pursuant to the bye-laws; |
| Membership Regulations means The Chartered Certified Accountants' Membership Regulations 1996; |
| PII means professional indemnity insurance; |
| practising certificate means a practising certificate issued by the Association and referred to in regulation 5(1) of The Chartered Certified Accountants' Global Practising Regulations 2003; |
| public practice has the meaning given by regulation 4; |
| registered student has the meaning given by The Chartered Certified Accountants' Membership Regulations 1996; |
| United Kingdom means the United Kingdom of Great Britain and Northern Ireland. |
| (2) | Words importing the masculine gender include the feminine and words in the singular include the plural and vice versa. |
| (3) | Any reference to a statutory provision shall include where the context permits the subordinate legislation made from time to time under that provision and any reference to a statutory provision or regulation shall include that provision or regulation as from time to time modified or re-enacted so far as such modification or re-enactment applies or is capable of applying to such reference. |
| (4) | In these regulations words shall be interpreted in accordance with the context of the regulation in which they are contained, unless otherwise stated. |
| (1) | Members |
| (a) | Subject to regulation 3(1)(b), no member shall carry on public practice unless he holds a practising certificate which authorises the carrying on of the activity in question. |
| (b) | Where a member carries on public practice in a country other than a designated territory or Zimbabwe, he may carry on public practice not authorised by his practising certificate (such as audit work) where he is authorised to do so by local law and has notified the Admissions and Licensing Committee of his practising status and of any local body of which he is a member or by which he is regulated in the conduct of his public practice. |
| (c) | A member shall only be regarded as holding a practising certificate where it is current and valid. The certificate shall at all times remain the property of the Association and the Association shall retain the right to demand its return at any time and without giving reasons. |
| (2) | Members and firms |
| (a) | No member shall be a sole proprietor, partner or director of a firm, or member of a limited liability partnership, where public practice is carried on in the name of the firm, or otherwise in the course of the firm's business, unless the member holds a practising certificate. |
| (b) | No member shall hold rights in a firm where public practice is carried on in the name of the firm, or otherwise in the course of the firm's business, which in effect put him in the position of a principal of the firm, unless the member holds a practising certificate. |
| (1) | Activities |
| Subject to regulation 4(3), public practice, which may be carried on by an individual or a firm (the "practitioner"), means: |
| (a) | accepting an appointment as an auditor; and/or |
| (b) | signing or producing any accounts or report or certificate or tax return concerning any person's financial affairs, whether an individual sole-trader, an unincorporated body or a firm, in circumstances where reliance is likely to be placed on such accounts or report or certificate or tax return by any other person (the "third party"), or doing any other thing which may lead the third party to believe that the accounts or report or certificate or tax return concerning the financial affairs of such a person have been prepared, approved or reviewed by the practitioner; and/or |
| (c) | holding oneself or itself out, or allowing oneself or itself to be held out, as being available to undertake the activities referred to in (a) and (b) above (and allowing oneself to be known as a, or a firm of "Chartered Certified Accountant(s)", "Certified Accountant(s)", "Chartered Accountant(s)", "Accountant(s)" or "Auditor(s)" or any similar description or designation standing for any such description in the context of the practitioner's business shall be regarded as an example of such a holding out); and/or |
| (d) | holding oneself out, or allowing oneself to be held out, as a sole proprietor, partner or director of a firm, or designated member or member of a limited liability partnership, where public practice is carried on. |
| Book-keeping services, as defined in paragraphs 8(2)(a)(i) to 8(2)(a)(iii) of the Membership Regulations 1996, do not constitute public practice. |
| (2) | Where carried on |
| Public practice shall be taken to be carried on in the country whose laws apply to the activity carried on by the practitioner, or where the said laws are unclear, in the country in which the practitioner is resident. |
| (3) | Honorary reports |
| The activities set out in regulation 4(1)(b) shall not constitute public practice where all of the following conditions are satisfied: |
| (a) | the accounts are of an entity which does not require the appointment of an auditor; and |
| (b) | no fee is payable or other material benefit receivable in respect of the work performed; and |
| (c) | the gross income of the entity for the year prior to the year in question does not exceed £100,000; and |
| (d) | the aggregate of such gross income with such gross income of any other entity in respect of which the member has relied upon this regulation 4(3) in the calendar year in question does not exceed £200,000; and |
| (e) | any third parties are made aware that the activity has been carried out by an Honorary Reporting Accountant; and |
| (f) | the member does not hold himself out, or allow himself to be held out, as a sole proprietor, partner or director of a firm, or designated member or member of a limited liability partnership, where public practice is carried on. |
| (1) | Authorised activity |
| The practising certificate shall authorise a member to carry on in the country to which the certificate relates any activity constituting public practice. The practising certificate shall authorise the carrying on of the activities as specified in the holder's application, as updated from time to time. |
| (2) | Countries |
| The practising certificate shall specify the country or countries to which it relates. |
| A member shall be eligible for a practising certificate where: |
| (a) | he is sufficiently qualified in accordance with regulation 7 to carry on any activity constituting public practice in the country to which the certificate applied for relates; |
| (b) | he is fit and proper within the meaning of regulation 8; |
| (c) | he holds the necessary PII in accordance with regulation 9; and |
| (d) | he has made arrangements for the continuity of his practice in accordance with regulation 11. |
| (1) | Qualification for a practising certificate |
| (a) | To be qualified to hold a global practising certificate authorising a member for the carrying on of any activity constituting public practice, except accepting appointments as an auditor, an individual must have been a member of the Association continuously for a period of not less than two years and either: |
| (i) |
| (aa) | completed three years' practical training in an ACCA approved employer, working either as an employee or sub-contractor, under the supervision of a suitably experienced member or another person having in the opinion of Council adequate qualification; and |
| (bb) | at least two years of practical training must be completed after the individual's admission to membership and must comply with the requirement at regulation 7(2). The remaining training period may be completed before or after, or partly before and partly after, the individual's admission to membership and must include experience in the matters set out in Appendices 3 and 4 of the Membership Regulations in an ACCA approved employer; and |
| (cc) | completed a practising certificate training record; or |
| (ii) | previously held an equivalent certificate issued to members by the Association prior to 1 January 2006. |
| (b) | The following transitional provision applies until 31 December 2009: an individual who became a member of the Association prior to 1 January 2005, and whose training has not been in an ACCA approved employer, may, instead of the requirement at regulation 7(1)(a)(i), complete five years' supervised experience in the specialist field in which he or she intends to work, of which at least two years must have been completed after admission to membership. |
| (c) | An individual practising in a country other than a designated territory and who holds a practising certificate from a recognised national body or regulatory authority in that country may apply for a practising certificate which is valid only in that country, in which case the individual will be exempted from regulation 7(1)(a)(i). If such an individual wishes to obtain a global practising certificate, regulation 7(1)(a)(i) will apply. |
| (d) | The requirements at regulations 7(1)(a)(i)(bb) and (cc) above do not apply to Zimbabwe or any other country that Council may designate from time to time, where the licensing body of the country to which the certificate relates does not require practical training to have taken place after the individual's admission to membership in order to issue a practising certificate. |
| (e) | Any experience gained by an individual whilst carrying on public practice in breach of regulation 3 shall not count towards supervised experience referred to in regulations 7(1)(a) and 7(1)(b). |
| (2) | Training requirements after admission to membership |
| (a) | Training in an ACCA approved employer after admission to membership must cover all the following key areas of competence as set out in Appendix 1 to these regulations and must be recorded in the practising certificate training record: |
| (i) | Professional Conduct (key area 1); |
| (ii) | Technical (key areas 2–5: Accounting; Business advice, development and measurement; Taxation; Business assurance and internal review); and |
| (iii) | Management (key area 6). |
| (b) | Candidates for a practising certificate must achieve proficiency in the following elements of competence as set out in Appendix 1 to these regulations, which must be recorded in the practising certificate training record: |
| (i) | all 5 mandatory elements of competence in relation to Professional Conduct; and |
| (ii) | at least 8 elements of competence in relation to Technical skills, 6 of which must be key elements taken from at least 2 key areas; and |
| (iii) | at least 2 elements of competence in relation to Management skills, 1 of which must be a key element. |
| (3) | Waiver |
| In exceptional circumstances, the requirements of regulation 7(1) may be waived, varied or suspended at the direction of the Admissions and Licensing Committee in its absolute discretion. The Admissions and Licensing Committee may impose such alternative requirements as it thinks fit, which may include without limitation a requirement to pass any tests of competence and/or examinations. |
| The Admissions and Licensing Committee shall only issue a practising certificate to an applicant that is fit and proper, as determined by it in accordance with this regulation 8. |
| (1) | In determining whether a person is "fit and proper", the Admissions and Licensing Committee may, without limitation, take into account whether that person has: |
| (i) | been convicted of a criminal offence; or |
| (ii) | been the subject of a disciplinary order made by the Association or another professional body; or |
| (iii) | been or is the subject of an investigation, whether criminal, disciplinary or otherwise, in respect of his conduct; or |
| (iv) | committed a material breach of an applicable regulation of the Association; or |
| (v) | fallen within any of the criteria set out at regulations 8(3) and (4); or |
| (vi) | on any occasion given the Association false, inaccurate or misleading information or failed to co-operate with the Association. |
| (2) | The Admissions and Licensing Committee may take into account all current and past matters which impact on the ability to hold a practising certificate. |
| (3) | In the case of individuals, the criteria referred to in regulation 8(1)(v) are whether the person is or has been: |
| (i) | at any time bankrupt, signed a trust deed for creditors or entered into a deed of arrangement, scheme or composition in respect of his financial affairs (or any similar or analogous event); or |
| (ii) | removed from the office of liquidator, trustee, administrative receiver, administrator or supervisor; or |
| (iii) | the subject of a disqualification order or disqualification undertaking made under the Company Directors Disqualification Act 1986 of the United Kingdom; or |
| (iv) | the subject of a bankruptcy restriction order or bankruptcy restriction undertaking under the Insolvency Act 1986 of the United Kingdom; or |
| (v) | excluded from or refused membership of a professional body on disciplinary grounds; or |
| (vi) | found to have failed to ensure that the experience and competence of his employees and practice associates are adequate, having regard to the nature of the work involved; or |
| (vii) | a patient under the Mental Health Act 1983 of the United Kingdom; or |
| (viii) | the equivalent of or similar to the above criteria under the corresponding legislation of any country or jurisdiction. |
| (4) | In the case of firms, the criteria referred to in regulation 8(1)(v) are as for individuals as specified in regulation 8(3), with such amendments as are appropriate to make the criteria applicable to firms. |
| (5) | In determining whether any person is "fit and proper" for the purposes of this regulation 8, the Admissions and Licensing Committee may take into account any matter which relates to him or it and: |
| (i) | any matter relating to any person who is or will be employed by or associated with him or it for the purposes of or in connection with public practice; |
| (ii) | in the case of a partnership, any matter relating to any of the partners, any director or controller of any of the partners, any body corporate in the same group as any of the partners and any director or controller of any such other body; |
| (iii) | in the case of a body corporate, any matter relating to any director or controller of the body, any other body corporate in the same group or any director or controller of any such other body; and |
| (iv) | in the case of a limited liability partnership, any matter relating to any of the members or designated members of the limited liability partnership. |
| (1) | Holders of a practising certificate |
| (a) | Subject to regulation 9(6), applicants for and holders of a practising certificate must hold professional indemnity insurance ("PII") covering the liabilities and according with the limits set out in this regulation 9 and, in the case of such a person whose firm employs full and/or part time staff, the firm must also hold a policy of fidelity guarantee insurance ("FGI") in respect of all partners, directors, members and designated members of limited liability partnerships and employees in accordance with this regulation. For the avoidance of doubt such FGI may, but need not, form a single policy with such PII and all such PII and FGI must remain in force for all of the period during which a relevant practising certificate is held. |
| (b) | Such PII and FGI may be effected with any reputable insurance company or insurance companies or other underwriter provided that Council reserves the right to require applicants for or holders of a practising certificate not to use certain insurance companies or underwriters, if it so directs. |
| (2) | Liabilities to be covered |
| PII shall provide cover in respect of all civil liability incurred in connection with the conduct of the firm's business by the partners, directors, members and designated members of limited liability partnerships or employees and FGI shall include cover against any acts of fraud or dishonesty by any partner, director or employee in respect of money or goods held in trust by the firm. |
| (3) | Limits |
| (a) | Subject to regulation 9(3)(g), the limit of indemnity on PII in respect of each and every claim shall be: |
| (i) | in the case of a person whose firm's total income for the accounting year immediately preceding the year in question (the "relevant total income" and "relevant accounting year") is less than or equal to £200,000, at least the greatest of: |
| (aa) | two and one half times that firm's relevant total income; and |
| (bb) | twenty-five times the largest fee paid to the firm during the relevant accounting year; and |
| (cc) | £50,000; |
| (ii) | in the case of a person whose firm's relevant total income exceeds £200,000 but is less than or equal to £700,000, at least the greater of: |
| (aa) | the aggregate of £300,000 and the firm's relevant total income; and |
| (bb) | twenty-five times the largest fee paid to the firm during the relevant accounting year; |
| (iii) | in the case of a person whose firm's relevant total income exceeds £700,000, at least the greater of: |
| (aa) | £1 million; and |
| (bb) | twenty-five times the largest fee paid to the firm during the relevant accounting year. |
| (b) | The limit of indemnity on PII in respect of year 2000 date recognition claims, where available, may be on an aggregate basis as opposed to an each and every claim basis. The minimum limit on this cover must be calculated in accordance with regulation 9(3)(a). |
| (c) | A firm's "total income" is the aggregate of the firm's professional charges and all other income (including commissions) received by a firm in respect of and in the course of the firm's business, but excluding any commission which the firm passes on to the client. |
| (d) | The "largest fee" paid to a firm relates, in all cases, to the highest cumulative amount of fees raised to a particular client during the year rather than the largest single invoice raised. |
| (e) | Subject to regulation 9(3)(g), any uninsured excess (that is to say, the amount of any claim which is borne by the firm before there is any payment by the insurer) in accordance with a firm's PII and FGI shall be restricted to 2 per cent of the limit of indemnity in respect of each and every claim provided pursuant to the PII or, as the case may be, FGI or £20,000 per principal in respect of each and every claim, whichever amount is the lesser. |
| (f) | Subject to regulation 9(3)(g), the annual limit of indemnity to be provided by a firm's FGI shall be not less than £50,000 in respect of each and every claim. |
| (g) | Persons carrying on public practice in a country other than a designated territory may, instead of complying with regulations 9(3)(a), 9(3)(e) and 9(3)(f), comply with the minimum requirements of a recognised national body or regulatory authority in that country in respect of the limit of indemnity on PII and FGI and in respect of uninsured excess. |
| (4) | Administrative provisions |
| (a) |
| (i) | Each person subject to regulation 9(1) must on request provide the Association with a policy and/or certificate from his insurer or broker as evidence that PII and, if required, FGI is in force in accordance with this regulation as at 1 January of each year, and will remain in force for that year, being PII and, as the case may be, FGI which meets the requirements of this regulation. |
| (ii) | In the event that PII is subject to an aggregate limit and claims are notified during the year in question but not met in that year, the aggregate limit for the following year and, if such claims are not by then met, subsequent years should be increased to take account of the amount (or a best estimate of that amount) either paid or reserved for such claims. |
| (b) | The policy terms and wording shall be available for inspection by the Admissions and Licensing Committee. |
| (c) | Each person subject to regulation 9(1) shall be deemed to have authorised the Admissions and Licensing Committee to seek, direct from the relevant insurer and/or broker, confirmation of matters of record. |
| (d) | Each person subject to regulation 9(1) must keep a record of insurance claims made by him pursuant to his PII and, as the case may be, FGI. |
| (e) | Such record, together with each annual renewal proposal form, must be available for inspection by the Admissions and Licensing Committee. |
| (5) | Continuity following cessation |
| Persons subject to regulation 9(1) shall ensure that arrangements exist for the continued existence of PII and, as the case may be, FGI for a period of six years after they cease to engage in public practice. Such PII and, as the case may be, FGI shall be on terms satisfying the requirements of this regulation as applied to their business during the year immediately preceding such cessation. |
| (6) | Exception |
| An individual who is not a sole proprietor, partner or director of the firm in which he works, or member or designated member of a limited liability partnership, but holds a practising certificate and is responsible for public practice work carried on by the firm, shall be deemed to hold PII in accordance with regulation 9(1) where the firm (or all of them if more than one) in which he works: |
| (a) | is a person subject to regulation 9(1) and holds PII in compliance with regulation 9(1); or |
| (b) | holds PII which the Admissions and Licensing Committee regards as adequate. |
| (7) | Waiver |
| In exceptional circumstances, the requirements of regulation 9 may be waived, varied or suspended at the direction of the Admissions and Licensing Committee in its absolute discretion. |
| Members must comply with Membership Regulation 4(4). |
| (1) | Individuals |
| (a) | A holder of a practising certificate must enter into and keep in force for all of the period during which a certificate is held a written agreement with another accountant, a firm of accountants or a limited company (the "nominee"), providing for the nominee, or nominees if more than one, to be responsible for the individual's practice in the event of his death or incapacity. |
| (b) | The nominee or nominees must: |
| (i) | be based in the same country as the individual; and |
| (ii) | hold an equivalent qualification and be authorised to carry on the individual's work for which they have undertaken to be responsible. |
| (c) | Where the individual's practice is based in more than one country, he must comply with this regulation in respect of each country in which he is based, but may appoint different nominees in respect of different countries. |
| (2) | Firms |
| (a) | A firm must make provision for the continuity of its practice in the event of its dissolution, winding-up or liquidation, or the death or incapacity of an individual holder of a practising certificate who is a partner, director or member of the firm, by providing for another accountant or a firm of accountants (the "nominee" or "nominees" if more than one) to be responsible for the firm's practice in those circumstances. |
| (b) | Such provision may be made in the partnership agreement (where the firm is a partnership) or in the Memorandum and Articles of Association (where a firm is a company) or in the incorporation document (where the firm is a limited liability partnership) or other such agreement as the members of the limited liability partnership may agree or by entering into and keeping in force for all of the period during which a practising certificate is held a written agreement with another firm. |
| (c) | The nominee or nominees must: |
| (i) | be based in the same country as the firm; and |
| (ii) | hold an equivalent qualification and be authorised to carry on the firm's work for which they have undertaken to be responsible. |
| (d) | An individual holder of a practising certificate who is the sole director and shareholder of his firm may not provide nominee services to his firm. |
| (e) | Where the firm's practice is based in more than one country, it must comply with this regulation in respect of each country in which it is based and may appoint different nominees in respect of different countries. |
| (3) | Exception for individuals |
| An individual holder of a practising certificate who does not carry on public practice on his own account shall not have to comply with regulation 11(1) provided any firm of which he is a partner, director, member or designated member of a limited liability partnership or employee and for whom he works has complied with regulation 11(2) or, if it is not subject to that regulation, has made arrangements for the continuity of its practice which the Admissions and Licensing Committee regards as adequate. |
| (4) | Waiver |
| In exceptional circumstances, for members in a country other than a designated territory, Cyprus or Zimbabwe, the requirements of regulations 11(1) and 11(2) may be waived, varied or suspended at the direction of the Admissions and Licensing Committee in its absolute discretion. |
| (1) | Notification 28 days in advance |
| (a) | A holder of a practising certificate shall notify the Association in writing of the following changes not less than 28 days before the change is implemented: |
| (i) | a change in the name of the holder, or where it is a body corporate, its registered name and, in the case of a firm, of any partner, member or designated member or director or controller of it; |
| (ii) | a change in the address of the holder's principal or, in the case of a body corporate, registered office or, if different, the address of the place for service of notices or documents; |
| (iii) | the opening or closure of a branch office of the holder; |
| (iv) | the disposal or cessation of a holder's practice. |
| (b) | Notification of a change of name of a person holding a practising certificate shall be accompanied by an application for a new certificate of the relevant type from the stated date. |
| (2) | Notification forthwith |
| A holder of a practising certificate shall give written notice forthwith to the Association of the occurrence of any of the following, setting out in the notice details of the event in question and any other relevant information: |
| (a) | in the case of a partner, member or designated member or director of a firm, a person has become or ceased to be a partner, member or designated member or director of it, and, in the case of a body corporate, a person has become or ceased to be a controller of it and, in the case of a sole practitioner, he has ceased to practise; |
| (b) | the appointment of a receiver, administrator, trustee, judicial factor or sequestrator of the assets of the holder (or the happening of any similar or analogous event) or, in the case of a firm, of any partner, member or designated member or director of it and, in the case of a body corporate, a controller of it; |
| (c) | the making or any proposals for the making of a composition or arrangement with creditors or any one creditor of the holder or, in the case of a firm, of any partner, member or designated member or director of it and, in the case of a body corporate, a controller of it; |
| (d) | where the holder is a partnership, an application or notice to dissolve the partnership and where it is a body corporate, the presentation of a petition for winding-up or the summoning of any meeting to consider a resolution to wind up the body corporate or any other body corporate in its group; |
| (e) | the granting or refusal of any application for, or revocation of, a recognised professional qualification or any certificate entitling the holder or, in the case of a firm, any partner, member or designated member or director of it and, in the case of a body corporate, a controller of it to carry on company audit work from another qualifying or supervisory body or authorisation to carry on insolvency, investment, banking or insurance business; |
| (f) | the appointment of inspectors by a statutory or regulatory authority to investigate the affairs of the holder or, in the case of a firm, any partner, member or designated member or director of it or controller of it; |
| (g) | the imposition of disciplinary measures or sanctions on the holder or, in the case of a firm, any partner, member or designated member or director of it or controller of it by any other regulatory authority or professional body of which he or such a person is a member; |
| (h) | in relation to a holder or, in the case of a firm, any partner, member or designated member or director of it or controller of it: |
| (i) | the institution and abandonment or completion of proceedings in relation to and/or a conviction for any offence involving fraud or other dishonesty; |
| (ii) | the institution and abandonment or completion of proceedings in relation to and/or a conviction for any offence under legislation relating to investment, banking, building societies, companies, consumer credit, credit unions, friendly societies, industrial and provident societies, insolvency, insurance or other financial services; |
| (iii) | the presentation of a petition for a bankruptcy order or an award of sequestration; |
| (iv) | the making of an order by a court disqualifying that individual from serving as director or as a restricted director or as a disqualified director of a company or from being concerned with the management of a company; |
| (v) | the commencement by the police or any other authority of an investigation into any matter related to public practice, or any other matter which might reasonably affect the Admissions and Licensing Committee's willingness to grant or renew a certificate of a type relevant to the activities in question; |
| (i) | the disappearance of a partner, member or designated member of a firm such that he is no longer contactable by the other partners or members of the firm; |
| (j) | the happening of any event which causes the holder to cease to be eligible for the certificate; |
| (k) | any changes in any of the information previously supplied to the Association; |
| (l) | any other information relevant to the determination by the Admissions and Licensing Committee of the fitness and propriety of the holder in accordance with regulation 8; |
| (m) | any other information that the Association may require in connection with the requirements of these regulations. |
| (3) | Force Majeure |
| If any event happens or any circumstances arise which make it impossible, impracticable or unreasonable for a person to comply with this regulation 12, provided he takes all practicable steps to relieve the situation and complies with this regulation as soon as the event or circumstances cease to apply, he will not be regarded as having been in breach of this regulation if he fails to comply with it for so long as the event or circumstances do apply. |
| (4) | Notification obligation |
| A member who has notified the Admissions and Licensing Committee that he is carrying on public practice but does not hold a practising certificate shall give written notice forthwith to the Association of all of the matters referred to in regulation 12(1)(a) and 12(2). |
| Holders of a practising certificate shall, in the conduct of their work to which the certificate relates: |
| (a) | comply with the Code of Ethics and Conduct of the Association or of another recognised body which incorporates the International Federation of Accountants (IFAC) Code of Ethics for Professional Accountants; and |
| (b) | maintain documented (either paper-based or electronic) quality assurance systems and procedures for ensuring timely and accurate identification of client requirements; and |
| (c) | apply to all relevant assignments the International Financial Reporting Standards issued by the International Accounting Standards Board or the equivalent standards of the country in which the individual carries on public practice; and |
| (d) | apply to all relevant assignments the International Standards on Auditing issued by the International Auditing and Assurance Standards Board or the equivalent standards of the country in which the individual carries on public practice. |
| (1) | Persons subject to these regulations shall be subject to: |
| (a) | monitoring by the Association, in order to monitor compliance with these regulations and with the bye-laws; and |
| (b) | the Association's quality assurance programme; |
| which may be carried out by post, by email, by visiting the person's business premises and/or by any other form of communication. |
| (2) | For the purposes of regulation 14(1), members must supply the Association with all the information necessary to enable the Association to complete its monitoring process and quality assurance programme efficiently. |
| (3) | Persons subject to these regulations shall, and shall ensure (insofar as they are able) that all persons associated with them shall, co-operate with the Association in its monitoring and enforcement of compliance with these regulations and with the bye-laws. |
| (4) | Persons subject to these regulations shall maintain proper books and records at all times to facilitate the proper performance of their duties. |
| (5) | The requirements of this regulation 14 shall apply to persons for as long as they hold a certificate, and for a period of five years after they cease to do so for any reason. |
| (6) | For the purposes of this regulation 14, certificate includes all types of certificates and licences issued by the Association. |
| Registered students, affiliates and members must supply the Association with all necessary information to enable the Association to comply with its obligations with respect to any legal and regulatory requirements that may exist in the country where the registered student, affiliate or member is based. |
| M indicates a mandatory element |
| K indicates a key element |
| A indicates an audit element |
| Key Area 1 Professional Conduct |
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A1 |
Establish and maintain effective and ethical business relationships and networks |
M |
|
A |
A2 |
Maintain an awareness and understanding of changes affecting the profession |
M |
|
|
A3 |
Demonstrate a commitment to own personal and professional knowledge and development |
M |
|
B |
B1 |
Maintain the confidentiality of internal and external information |
M |
|
|
B2 |
Uphold professional ethics, values and standards |
M |
| Key Area 2 Accounting |
|
C |
C1 |
Appraise information for the preparation of financial and other statements and accounts |
K |
|
|
C2 |
Prepare and present financial and other statements and accounts |
K |
|
D |
D1 |
Appraise financial information for the preparation of management information |
K |
|
|
D2 |
Prepare and present financial information for management purposes |
K |
|
E |
E1 |
Identify potential changes to an organisation's accounting systems |
|
|
|
E2 |
Implement and evaluate new/changes to accounting systems |
|
| Key Area 3 Business Advice, Development and Measurement |
|
F |
F1 |
Identify and advise on relevant legal and regulatory obligations |
K |
|
|
F2 |
Provide support in meeting regulatory obligations |
|
|
G |
G1 |
Formulate business strategy and objectives |
K |
|
|
G2 |
Devise business plans |
|
|
H |
H1 |
Assist clients to understand and evaluate their options for raising finance |
K |
|
|
H2 |
Assist clients to raise finance to achieve objectives |
|
|
I |
I1 |
Prepare spending proposals and profiles |
|
|
|
I2 |
Agree, monitor and report on budgets for activities |
|
|
|
J1 |
Identify financial objectives and performance measures |
K |
|
J |
J2 |
Facilitate the introduction of systems and practices to plan and monitor financial performance |
|
|
|
J3 |
Monitor the achievement of financial performance and objectives |
K |
|
|
K1 |
Evaluate the potential profitability of products and services |
|
|
K |
K2 |
Calculate the actual costs of products and services |
|
|
|
K3 |
Make recommendations to reduce costs and enhance value |
|
|
|
L1 |
Determine the risks and benefits associated with business/investment opportunities |
K |
|
L |
L2 |
Recommend ways of optimising the use of assets |
|
|
|
L3 |
Establish the value of businesses |
K |
| Key Area 4 Taxation |
|
|
M1 |
Compute the tax payable |
K |
|
|
M2 |
Provide advice on tax liabilities and payments |
K |
|
M |
M3 |
Provide advice on current and future tax planning |
K |
|
|
M4 |
Provide advice about the tax implications of externally or internally initiated changes |
|
|
|
M5 |
Negotiate with the tax authorities on behalf of clients |
|
| Key Area 5 Business Assurance and Internal Review |
|
N |
N1 |
Determine the scope, purpose and objectives of an internal review or investigation |
K |
|
|
N2 |
Deliver evidence for an internal review or investigation |
|
|
|
O1 |
Obtain evidence for analysis against the objectives of an internal review or investigation |
|
|
O |
O2 |
Make judgements against the objectives of an internal review or investigation |
K |
|
|
O3 |
Report on the findings and outcomes of an internal review or investigation |
K |
|
|
O4 |
Present evidence as an expert witness for litigation or criminal proceedings |
|
| Key Area 6 Management |
|
|
P1 |
Promote services to existing and potential clients |
K |
|
P |
P2 |
Evaluate potential and existing clients |
K |
|
|
P3 |
Agree service details and engage clients |
|
|
Q |
Q1 |
Set fees and credit limits for activities |
|
|
|
Q2 |
Collect fee income from clients |
|
|
|
R1 |
Identify changes to products and services |
|
|
R |
R2 |
Implement and monitor client service standards and policies |
|
|
|
R3 |
Promote continuous quality improvement in products, services and processes |
K |
|
S |
S1 |
Monitor and control activities against budgets |
|
|
|
S2 |
Control costs to improve services to clients |
|
|
|
T1 |
Identify personnel requirements and role specifications |
|
|
T |
T2 |
Select teams and individuals |
|
|
|
T3 |
Develop teams and individuals |
K |
|
|
U1 |
Identify and agree objectives and methods to deliver required outcomes |
|
|
U |
U2 |
Delegate activities to teams and individuals |
|
|
|
U3 |
Monitor and appraise the work of others |
K |
|
V |
V1 |
Monitor and maintain the security of high value items |
|
|
|
V2 |
Maintain the health, safety and security of the working environment |
|
|
W |
W1 |
Develop and maintain information systems to meet the employer's requirements |
|
|
|
W2 |
Monitor and control the employer's information systems |
|
| Key Area 7 Audit |
|
|
X1 |
Determine the level of audit risk |
A |
|
X |
X2 |
Evaluate the risk within an organisation's internal control structure |
A |
|
|
X3 |
Co-ordinate the delivery of audit evidence |
A |
|
|
Y1 |
Evaluate evidence collected for an audit |
A |
|
Y |
Y2 |
Make judgements about the truth and fairness of an organisation's financial statements |
A |
|
|
Y3 |
Review the performance of an audit |
A |
|
Z |
Z1 |
Advise on the findings and implications of the audit |
A |
|
|
Z2 |
Prepare a formal audit report |
A |
|
|
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