Nepali chartered accountants graduating from India will not be granted licenses to practice back home after mid-July 2018.
The Institute of Chartered Accountants of Nepal (ICAN), which is the regulatory body for chartered accountants in Nepal, has taken a decision in reference to the rule that bars chartered accountants graduating from Nepal from practicing chartered accountancy in India, reports the Kathmandu Post.
The provision may affect the ICAI graduates looking forward to practicing chartered accountancy in Nepal, as they would have no other option but to undergo the course all over again.
ICAN President Mahesh Khanal said the decision can only be withdrawn if India agrees to sign a mutual recognition agreement with Nepal, giving a path to those pursuing chartered accountancy courses in Nepal to practice in India.
"Since we are currently producing quite a good number of chartered accountants here in Nepal, the latest move will not create short supply of these professionals," said Khanal.
Khanal had earlier put forth the proposal to bar graduates of the Institute of Chartered Accountants of India (ICAI) from practicing it in Nepal based on "complaints filed by Nepali students". The proposal was even approved by most of the board members of ICAN.
Earlier this year, the ICAN had planned to immediately bar new ICAI graduates from practicing chartered accountancy in the country, but the plan was put on hold, as the idea was highly condemned by the Nepali students practicing the course in India.
The ICAN President with his delegation visited India to meet the president of the ICAI.
Khanal, proposed the ICAI to sign the mutual recognition agreement, during his meet.
Khanal said that as of now, India has agreed to sign the agreement.
"Yet, India has agreed to initiate the process of signing the agreement with Nepal, we hope it to be signed before mid-july 2018", Khanal added.