The Chartered Accountants Act, 1949 was enacted to regulate and develop the profession of chartered accountancy in India. It established the Institute of Chartered Accountants of India (ICAI) as a statutory body to oversee the profession, maintain ethical standards, and ensure the quality of accounting and auditing services.
Professionalization: Ensures only qualified individuals practice as CAs, maintaining trust in financial reporting.
Ethical Enforcement: Strict disciplinary mechanisms deter malpractice.
Global Recognition: ICAI’s standards align with international accounting bodies, facilitating cross-border practice.