‘Won’t leave any stone unturned’ for inclusion of CMAs under ‘accountant’ in Income Tax Bill 2025: ICMAI

NEW DELHI: Disappointed over the non-inclusion of a cost accountant in the term ‘accountants’ in the new Income Tax Bill 2025, the Institute of Cost Management Accountants of India (ICMAI) president Bibhuti Bhusan Nayak assured to leave no stone unturned for their inclusion. Taking to social media, ICMAI president said that the I-T Bill 2025 is in contrast to the government’s assurance to the CMAs.

“The Council of the Institute is fully seized with the issue of non-inclusion of 'Cost Accountant' in the definition of Accountant in the new introduced Income Tax Bill, 2025. This is contrary to the assurance given to us that a level playing field will be provided to all professionals. Your Council is in touch with policy makers and a road map will be shared with you for your valuable inputs. This is the time when we should exhibit our professional competence. I assure you that we will not leave any stone unturned to represent our profession strongly and push for our legitimate position in the statute,” said CMA Nayak in a post on X.

Since 2015, the institute has been requesting the finance ministry to include the cost accountant under ‘accountants’ in the explanation below section 288 of the previous I-T Act. In this section, ‘accountant’ means a chartered accountant, who holds a valid certificate of practice.

ICMAI believes that assigning the term only to the CAs creates a disparity among the two kinds of professionals under law, and amounts to ‘clear injustice’. Even a standing committee on finance found the non-inclusion a ‘strict construction of the term’ on the ministry’s part and suggested widening the scope of the definition of ‘accountant’, the institute recalled.

CMAs ‘at par’ with CAs

“The institute and its members have been contributing constructively in the field of accountancy at par with its peer Institutions. In line with these services, we request you to kindly note and peruse that there is an urgent need to amend meaning of the term "accountant" as assigned in the Explanation below section 288 of the Income Tax Act, 1961 so as to bring both Cost Accountants and Chartered Accountants at par under its ambit,” ICMAI had said in the representation letters.

The institute reasoned that the cost accountants, with their expertise, may prove to be a ‘great resource’ in the simplification of tax regimes and their implementation. “Involvement of professionals, like Cost Accountants would bridge the gap between what the rules and guidelines are and what the public at large inverses out of the law. This would mitigate hurdles and make tax implementation all throughout, seamless,” it added.

Also read Institute of Cost Accountants of India can't use ‘ICAI’ as acronym: Delhi High Court

Moreover, the cost accountants would impart their knowledge to the public, increasing the government’s revenue and helping citizens understand the law for easy adoption of taxation.

“Based on the above understanding we assure that our submission is based on the fact that both professionally qualified accountants not only pass through the same course curriculum, pedagogy, and practical training, but have already been recognized 'at par' under various other Central and State Statutes so far as it relates to the domain areas of accountancy, audit, taxation, and corporate laws. In this regime of liberalization, this will induce healthy competition with no extra cost to the assessee,” ICMAI said.