+94 (011) 2368817/2368823 Admissions department

CPA Sri Lanka signs MOU with Sri Lanka Accounts’ Service Association (SLAcSA)

On 27 November 2013, CPA Sri Lanka and Sri Lanka Accountants’ Service Association (SLAcSA) entered into a Memorandum of Understanding (MOU). Under the terms of this Memorandum, the Council of CPA Sri Lanka agrees to make arrangements for members of SLAcSA to obtain associate membership of CPA Sri Lanka, subject to satisfying the associate member admission criteria of CPA Sri Lanka.



Memorandum of Understanding Between the Institute of Certified Accountants of Sri Lanka and Sri Lanka Accounts’ Service Association

1.0.0 Introduction

1.0.1 This Memorandum of Understanding (MOU) is made and entered into on this 7th day of November 2013 between:

The Institute of Certified Public Accountants in Sri Lanka (CPA Sri Lanka), 108A H Sri Nissanka Mawatha, Colombo 06, Sri Lanka

and

Sri Lanka Accounts’ Service Association (SLAcSA), C/O Ministry of Botanical Gardens & Public Recreation, 6 Floor, Rakshana Mandeeraya, Sri Lanka Insurance Corporation, Colombo 2, Sri Lanka

hereinafter called “the Parties”.


1.0.2 The bodies

1.0.3 The Institute of Certified Public Accountants of Sri Lanka (CPA Sri Lanka) is an independent, national institute with international perspective, dedicated to the promotion of the highest accounting, finance, auditing, taxation and ethical standards. It is committed to promote the art and science of accounting and to provide quality education and training for students to advance their knowledge, skills and capabilities to meet the changing needs of modern society. CPA Sri Lanka commenced its operation in June 2010.

The current membership of the CPA Sri Lanka operates in Public Practice, Industry, Financial Services and the Public Sector and CPAs work in many countries around the world. Members of the Institute, irrespective of the jurisdiction in which they operate, are expected to adhere to the highest standards of professional ethics. The CPA Code of Ethics is consistent with the IFAC Code in every material respect. CPA oversight extends to members in every jurisdiction and it is an implicit condition of membership of CPA Sri Lanka that all members comply with the Institute’s Memorandum, Articles, Rules, Regulations, Bye Laws, Codes of Professional Conduct and Mandatory CPE Requirements.

CPA Sri Lanka is committed to promoting high standards of professional conduct, technical competence, practical experience and strategic thinking of members to safeguard public interest and to building Sri Lanka to be a key player in the global economy.

The syllabus is continuously updated to ensure that CPA accountants are progressive, innovative and proactive strategists capable of understanding and contributing towards every facet of business. CPA Sri Lanka provides an infrastructure which supports the profession and enables members to meet the needs of the evolving global environment.

1.0.4 CPA Sri Lanka and SLAcSA share common and strong interests in the advancement of the profession of accountancy, especially in relation to the maintenance and strengthening of professional and educational standards. CPA Sri Lanka shares the IFAC objective to serve the public interest by strengthening the profession and contributing to the development of strong international economies.

This Memorandum is developed at the request of SLAcSA, which requested CPA Sri Lanka to provide terms, conditions and rules in order to work towards a possible merger of SLAcSA with CPA Sri Lanka.

2.0.0 Scope

2.0.1 Under the terms of this Memorandum, the Council of CPA Sri Lanka agrees to present a scheme to incorporate the Sri Lanka Accounts’ Service Association into the Institute of Certified Public Accountants of Sri Lanka and to offer associate membership of CPA Sri Lanka, subject to satisfying the associate member admission criteria of CPA Sri Lanka, to members of the SLAcSA and the Union of the SLAcSA agrees, in principle, to recommend to its entire membership to integrate with CPA Sri Lanka.

In order to complete the provisions of this Memorandum the Parties accept the obligation to:

2.0.2 Undertake activities of common interest and exchange information about current developments relevant to negotiation of the incorporation scheme and to accountancy profession.

2.0.3 Observe confidentiality with respect to the information disclosed in the course of performance of this Memorandum as well as any data shared between the parties. This MOU is being furnished to SLAcSA on a confidential basis, solely for the purpose of soliciting interest in joining SLAcSA with CPA Sri Lanka. It is not to be used for any other purpose or to be made available to any other person without prior written consent of CPA Sri Lanka.

2.0.4 Bind themselves not to perform any action that may directly or indirectly cause damage to the other Party’s reputation or interests.

2.0.5 To promptly inform the other party of any activities of outside forces to hinder the progress of the proposed integration

3.0.0 Roles

3.0.1 CPA Sri Lanka, in order to complete the undertakings of this Memorandum, accepts the obligation to:

3.0.2 Admit all full members of SLAcSA as associate members of CPA Sri Lanka, subject to satisfying the associate member admission criteria of CPA Sri Lanka. These include:

Admission to Membership criteria:

  1. to have passed the final examination;
  2. to have gained a minimum of three year’s relevant practical experience;
  3. to have submitted a satisfactory records of practical experience;
  4. to be not less than 21 years of age and
  5. to have completed the Professional Ethics module (Ethics, risks and governance).

3.0.3 Admit, on the completion of Admission to Membership criteria, Members of SLAcSA as Certified Public Accountants and to award them the designation “CPA”.

3.0.4 Provide facilities, subject to demand and to agreed fees, to SLAcSA to follow Professional level 2: either the following 4 subjects

P2.1 Strategy & Leadership – case-study (Mandatory)
P2.2 Advanced Corporate Reporting (Mandatory)
P2.5 Strategic Corporate Finance (Elective)
P2.6 Strategic Performance Management (Elective)

or the following 4 subjects for those who are involved in audit and assurance duties:

P2.1 Strategy & Leadership – case-study (Mandatory))
P2.2 Advanced Corporate Reporting (Mandatory) )
P2.3 Audit & Assurance Services (Elective))
P2.4 Advanced Taxation (Elective))

3.0.5 Agree with SLAcSA fees for providing tuition, conducting examinations and concluding the above programme.CPA Sri Lanka provides the following information as a guideline, subject to not less than 40 students per class:

Tuition fees 4 subjects 50 hours each 25,000.00

Exemptions including registration 16,250.00

Membership 3,750.00

Total Rs 45,000.00

3.0.6 CPA Sri Lanka will provide facilities to pay Rs 45,000 without charging interest, subject to six months equal monthly instalments being made in the sum of Rs 7,500.00.

3.0.7 Provide facilities, subject to demand and to agreed fees, for SLAcSA to follow seminar/workshop in ethics, risks and governance

3.0.8 Assist all CPA members to comply with CPD requirements set by CPA Sri Lanka

3.0.9 Approve, subject to satisfying CPA Sri Lanka criteria, suitable educators/lecturers to offer education on the CPA syllabus to SLAcSA.

3.1.0 Provide facilities to enhance the professional skills and expertise of public sector accountants, to help to elevate their professional standing and to improve financial management practices to move with the international best practices.

3.1.1 Provide guidance and resources for use of the International Public Sector Accounting and Auditing Standards

3.1.2 Support the groundwork for public sector accountants to provide timely, relevant, and reliable financial information needed to support all fiscal and budget management, decision-making, and reporting processes.

4.0.0 SLAcSA Sri Lanka, in order to complete the undertakings of this Memorandum, accepts the obligation to:

4.0.1 Make the membership aware that their reputation, professional recognition and performance based rewards are considerably poor compared with local private sector and the public sector accountants of many other countries in the world and that this imbalance needs to be corrected.

4.0.2 Explain to its membership the serious difficulties SLAcSA faces arising from the absence of its own Institution, with an internationally well known name, to provide quality education and training for students to advance their knowledge, skills and capacities to meet the changing needs of the modern society and to serve the diverse needs of members, enhance their competency and professionalism; support professional standards and promote the value of the members needs to urgently address.

4.0.3 Demonstrate that public sector accountants in Sri Lanka are left without an internationally recognised/identifiable accountancy qualification/designation and adverse consequences of this deficiency.

4.0.4 Demonstrate that CPA is the most widely known international accounting designation and is highly respected worldwide. With a CPA qualification, accountants can secure employment in the public sector, both nationally and internationally, and work abroad, if so desired, for governments, public sector organisations and other global bodies such as the United Nations, the World Bank, and the IMF

4.0.5 Describe that CPAs are part of a global network: out of some two and a half million accountants in the world, one million plus describe themselves as CPAs. The CPA designation is the most widely used designation worldwide for professional accountants; CPA is the most recognised professional accountancy qualification in the world; CPA symbolises the international opportunities that are available with the CPA qualification.

4.0.6 Explain and seek the consensus of its membership that the best way forward for SLAcSA is to join with the Institute of Certified Public Accountants of Sri Lanka in order to advance public finance and promote best practices; educate and train student members; regulate and support members; working in the public interest to promote high standards and deliver excellence in governance and financial management throughout the public services

4.0.7 Promote the membership pathway offered to SLAcSA by CPA Sri Lanka.

4.0.8 Support the fee structure for joining offered to SLAcSA by CPA Sri Lanka.

4.0.9 Support CPA Sri Lanka in the registration process of SLAcSA members and students to an agreed protocol which is determined by CPA Sri Lanka.

4.1.0 Promote and assist CPA Sri Lanka in the joining process.

4.1.1 Promote an alliance between the Institute of Certified Public Accountants and the Public Sector Accountants as being in the best interests of its members.

5.0.0 Consideration

5.0.1 CPA Sri Lanka and SLAcSA agree to collaborate, coordinate and facilitate the joining of SLAcSA with CPA Sri Lanka.

5.0.2 CPA Sri Lanka is committed to provide quality education and training for students to advance their knowledge, skills and capacities to meet the changing needs of modern society and to serve the diverse needs of members, enhance their competency and professionalism; support professional standards and promote the value of members. As the CPA qualification is based on international financial reporting and auditing standards CPA accountants are well qualified to operate in any jurisdiction internationally for private, public sector organisations and other global bodies such as the United Nations, the World Bank, and the IMF

5.0.3 CPA Sri Lanka do everything possible and undertake to advance public finance and promote best practices; educate and train student members; regulate and support members; working in the public interest to promote high standards and deliver excellence in governance and financial management throughout the public services.

5.0.4 CPA Sri Lanka is committed to promoting high standards of professional conduct, technical competence, practical experience and strategic thinking of members to safeguard public interest and to building Sri Lanka to be a key player in the global economy. The syllabus is continuously updated to ensure that CPA accountants are progressive, innovative and proactive strategists capable of understanding and contributing towards every facet of business.

5.0.5 Once joined with CPA Sri Lanka, members employed by the public sector will be invited to participate in various committees of CPA Sri Lanka to shape the future path of the Institute.

Back to Top