ICAI CA Exemption Rules for Inter and Final Exams

Often students have seen confused about the ICAI CA Exemption rules and resultant they are misguided by their friends or other people. They are only aware that they’ll get an exemption if they score 60 marks in a single subject and nothing else. So many times, even after scoring more than 60%, they use to ask why we have not been granted an exemption?

So, today we have written an article that can solve all your queries and also make you aware of the CA Exemption Rules drafted by ICAI. You’ll get to know about what is an exemption in CA, its details, rules, how to avail of an exemption and more.

Now, first, let us know, what is Exemption in CA? So, when a student fails in a subject but got 60% or more marks in another subject then they will be exempted from that subject. Now for the next term, they’ll have to study for the left-out papers. According to the CA exemption rules, the exemption is valid for up to 3 examinations.

To know all the latest updates regarding ICAI CA Intermediate and CA Final exemption rules, bookmark this page.

The ICAI is going to make changes to the exemption criteria for CA Intermediate and Final. Check the updated exemption criteria in the proposed ICAI CA new scheme.

ICAI CA Exemption Rules for Intermediate and Final Exams

  1. A candidate who has scored a minimum of 60% in a paper or paper(s) in a group/unit shall be eligible for exemption in such paper.
  2. In order to claim the exemption, candidates must have appeared in all the papers of that Group/Unit.
  3. The exemption shall be valid only for the next three following examinations.
  4. The candidate shall be declared to have passed where he has scored a minimum of 40% marks in individual subject and 50% marks in aggregate of all the subjects including the paper in which he has secured exemption in the earlier attempt.
  5. Once the exemption has been claimed in a group/unit, the candidate will become ineligible to further claim any exemption in that group/unit until he/she has exhausted the exemption already granted.

CA Exemption Criteria for CA Inter and Final Exams

CA Intermediate, CA final exams exemption criteria according to regulation 38A of the Chartered Accountants Regulations,1988 as published by Notification No. 1-CA(7)/51/2000 dated 14th August 2001 are given below.

  1. Candidates failed in one or more papers but were present in all the papers of a group.
  2. Candidates have scored a minimum of 60 per cent marks in any paper or papers of that group.
  3. Students can attempt for those papers or any paper in that group in which he/she has scored below 60 marks.
  4. If candidates obtain a minimum of 40 per cent in each subject and 50 per cent in aggregate, and also scored 60 marks in their earlier exams, then only the candidates will be declared passed.
  5. The candidates should specifically mention exemption for each subject, and the exemption is valid for the next three following attempts.

Implications of the above CA Exemption Criteria

The implication of the above exemption criteria are as follows:

  1. Candidates must have appeared in all the papers of a group.
  2. Candidates must have failed in the group and must have scored at least 60 marks in any paper in that group.
  3. An exemption will be automatically carried forward for the next three examinations, and an exemption is valid only for three immediately succeeding exams.
  4. If a candidate has scored in one sitting a minimum of 40% marks in each paper of the group, then he will be declared to be passed in a group. 

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    Maximum No. of Exemptions in CA Intermediate & CA Final Exams

    Candidates can claim exemptions as many times as they can as there is no maximum number of limits. Chartered Account Act has not stated any maximum number of limits to avail exemptions. Therefore, students can avail of any number of exemptions. Candidates can avail exception in all the CA Inter exams and CA Final exams, and this is mentioned by the ICAI.

    Procedure for Availing Exemption in CA Inter and CA Final Exams

    There is no such procedure for CA Inter and CA Final students to avail of the exemptions. The exemption is granted automatically by ICAI, and the same is mentioned on the mark sheet. However, there is one important condition for exemption. If the candidates are awarded the exemptions, then they are not eligible for any other exemption in the same group. If the candidates have used the exemption then they can use the other exemptions.

    If the statement of marks which is issued by the Institute has the alphabet “E” marked against any paper, then this means this paper is already exempted, and the exemption should be valid.

    If the statement of marks that is issued by the institute has a #symbol against marks, then this means students have scored less than 60 marks on any of the papers.

    How to Check the CA Intermediate and CA Final Exemption Status Online?

    From May 2014 exam onwards, ICAI has initiated that CA candidates can check the exemption status online whether the particular subject is valid for the next attempt or not. For the May attempt, the validity of exemption will be uploaded by 15th April. For the November attempt, the validity of the exemption will be uploaded by 15th October.

    Passing Requirements for CA Intermediate and CA Final

    As per the ICAI guidelines, a candidate shall be declared to have passed in CA Intermediate and CA Final by scoring a minimum of 40% marks in each individual subject and 50% marks in aggregate of all the subjects at one sitting either both groups or a single group.

    Now, Let’s Understand the above-stated CA exam exemption rules with the help of some questions and answers.

    FAQs regarding CA Exemption Rules

    Q1. I scored an exemption in Paper I in May 2018 but did not appear in Nov 2018, May 2019 and Nov 2019. Thereafter I submitted my application form to appear in May 2020 Examination. Whether I am eligible to claim such an exemption?

    Ans. No, the ICAI has clearly stated that exemption in any paper is valid for the next three following attempts whether you have appeared in such or not. In the above case, you scored exemption in May 2018 which can be carried forward for Nov 2018, May 2019 and Nov 2019 also. In May 2020, your exemption will automatically get exhausted.

    Q2. I have scored 60% marks in Paper I and Paper II both but was absent in the remaining papers. Whether I’ll be granted an exemption?

    Ans. No, in order to claim exemption one has to appear in all the papers of that Group/Unit. In the above case, one has scored 60% marks in two subjects but is still ineligible to claim exemption because of his absence in the remaining papers.

    Q3. How do I know that I have allotted exemption in any paper?

    Ans. The students can check their exemption from the mark sheet issued to them. The papers which have been exempted shall be indicated by a symbol “#”. Further, your Statement of Marks shall indicate “E” which indicates your exemption scored in an earlier attempt is still valid.

    Q4. Do I need to claim Exemption through the Application Form or it will automatically be carried forward?

    Ans. In such a case, ICAI has made clear that Exemption will get automatically carried forward till the number of examinations it is valid but still students are required to fill such details in their Exam Application Form so that it gets verified with the information already fed in ICAI database.

    Q5. I scored 60+ Marks in May 2018 in Paper I and 60+ in May 2019 too in another paper. Whether exemption will be granted for the subjects attained in a single group but multiple attempts?

    Ans. According to the ICAI guidelines, until the exemption claimed in earlier attempts has been exhausted, no further exemption will be allotted in the same group/unit even if you have scored more than 60 marks.

    In the above case, one has already been granted an exemption in May 2018 in Paper I which will be valid till Nov 2019. Hence, no further exemption can be claimed by such a candidate in May 2019.

    Q6. I have scored 60+ Marks in Paper I of Group I in May 2019 and was allotted exemption in the same attempt but desire to appear in Group II in Nov 2019. If I scored 60+ marks in any paper in Group II in this attempt. Whether I’ll be eligible to claim such?

    Ans. Yes, the rules stated above are group-wise and not course wise. Hence if you scored 60+ Marks in any paper of Group II in Nov 2019, you will be allotted exemption in such paper.

    Q7. I have scored 60+ Marks in Paper I in May 2019 and was allotted exemption in respect of the same. Further, I have applied for both groups in Nov 2019. Whether I’ll be eligible for the rank in Nov 2017 Examination?

    Ans. No, the students who desire to attain a rank have to qualify all the papers in one sitting without any carried forward exemption and also qualify for such examination by placing their name in the top 50 students.

    Conclusion – In the above article, we have discussed the Intermediate and CA Final Passing percentage requirements and the rules stated by ICAI in respect of exemption in CA Papers. Besides that, we have also discussed the queries of students related to such rules.

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