The New Accounting Designation
Over the years there’s been a lot of confusion when understanding the different accounting designations in Canada. The three accounting designations operating in Canada are; Chartered Accountants (CAs), Certified Management Accountants (CMAs) and Certified General Accountants (CGAs). Each designation has has a different set of regulations and governing bodies.
Now in Canada Chartered Accountants (CAs), Certified Management Accountants (CMAs) and Certified General Accountants (CGAs) have agreed to join forces under a new banner Chartered Professional Accountants (CPA). The merger has united 190,000 accountants in Canada and created a single unified accounting profession. The unification will allow the Canadian accounting profession to work together and enhance the public’s confidence in the profession. The new CPA designation will allow accountants to specialize in a different area of finance & accounting, but operate under the same banner. This is exactly how other professions like medicine and law operate.
Majority of the accounting bodies in Canada have unified or are in support of unification as shown below:
Source: Unification Agreement – Key Terms published by the Chartered Professional Accountant.
How will it help Canada?
The unification will bring together the strengths of each organization while giving the Canadian accounting community a unified voice, reducing the number of governing bodies from 40 to 14. This will simplify operations and governance and reduce confusion in the market place about the different accounting designations. With a single organization representing Canada, it will allow Canada to have a single voice on the international stage.
For more information about the merger visit the following websites:
Cheema & Associate Professional Corporation – Chartered Professional Accountants is an accounting firm located in Brampton, Ontario. Serving the needs of Small Business Owners & Entrepreneurs. Contact us for Tax Help, Personal Tax, Corporate Tax, Year End Financials, Accounting & Estate Taxes.