All India CMA Association expresses Disappointment over narrowing Definition of “Accountant” in New Income Tax Act
The association has urged lawmakers to amend the bill before it reaches the Rajya Sabha, insisting on “equitable recognition” in both exclusive and inclusive domains
The All India Cost & Management Accountants Association (AICMAA) has publicly decried the Lok Sabha Select Committee’s decision to restrict the definition of “Accountant” under the proposed Income Tax Bill, 2025 to Chartered Accountants alone. In the press statement dated August 5, 2025, the AICMAA warned that excluding Cost and Management Accountants (CMAs) threatened...
The All India Cost & Management Accountants Association (AICMAA) has publicly decried the Lok Sabha Select Committee’s decision to restrict the definition of “Accountant” under the proposed Income Tax Bill, 2025 to Chartered Accountants alone.
In the press statement dated August 5, 2025, the AICMAA warned that excluding Cost and Management Accountants (CMAs) threatened to undermine policy consistency and professional equity, especially given the government’s prior delegation of CMA-exclusive functions such as RERA cost certifications and valuation audits under Central Excise to other bodies without consultation.
The Income Tax Bill, 2025 was introduced on February 13 by Finance Minister Nirmala Sitharaman and was referred immediately to a 31-member Lok Sabha Select Committee chaired by Baijayant Panda.
On July 18, the Committee opted to define “accountant” solely as a member of the Institute of Chartered Accountants of India (ICAI), rejecting proposals from both the Institute of Cost Accountants of India (ICMAI) and the Institute of Company Secretaries of India (ICSI).
In the August 5 press release, the AICMAA said it was “strongly disappointed” by the Select Committee’s “selective and inconsistent” rationale, which it accused of contravening the government’s own statutory frameworks and promises of a level playing field ([Taxscan][4]).
The statement pointed out that, despite CMAs traditionally holding exclusive mandates in cost certification under RERA and valuation audits under Central Excise, these domains had been carved out and assigned to other professional bodies “without consultation”. The Association lamented that the exclusion represented “double standards” in policymaking and risked “marginalising” the CMA profession.
Alongside the AICMAA, the Institute of Company Secretaries of India (ICSI) has also voiced its displeasure, noting that the Select Committee’s stance ignored overlaps in corporate governance and compliance roles ([The Economic Times][5]). Critics argue that the curriculum and expertise of CMAs and Company Secretaries are commensurate with many functions presently monopolised by CAs, and that the Committee’s reasoning—apparently relying on ICAI’s submissions and an EY-commissioned review—fails to reflect functional realities.
The AICMAA has urged the government to revisit the Committee’s recommendation before the bill’s passage in the Rajya Sabha, calling for an amendment to Section 515(3)(b) to expressly include “Cost Accountant” alongside Chartered Accountants.
Industry watchers expect that if the Rajya Sabha upholds the existing definition, CMAs may seek legal recourse or petition the President’s office, invoking precedents where high-court judgments have recognised the statutory equivalence of bookkeeping and audit qualifications.
Support our journalism by subscribing to Taxscan premium. Follow us on Telegram for quick updates
