CA Articleship Leaves Allowed, Calculation of Excess Leave

CA Articleship Leaves Allowed, Calculation of Excess Leave, Find Terms and Conditions for Excess Leaves During Articleship Period as per ICAI. leaves allowed in articleship training,Regulation 59 of ICAI Act. Regulation 59 provides that an articled assistant shall earn leave at the rate of 1/6th of the period actually served excluding from such period, the period for which he has been on leave subject to a maximum of 156 in case of three years period of articled training. Leave due shall ordinarily be granted, if reasonable notice has been given to the Principal by the trainee.

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CA Articleship Leaves Allowed, Calculation of Excess Leave

In Simple Language An article assistant is eligible for taking leave equivalent to 1/6th of the articleship period served by him.

Maximum Leaves Available to articles Assistance –  156 Days

Wrong Method for Calculation of Excess Leaves

  • Total No. of Days Served:- 365 X 3 = 1095
  • Leaves allowed – 1095/6 = 182.5 (This is Completely Wrong Method for Calculation of excess Leaves)
  • Check Write Method of Calculation of Excess leaves from Below Examples.

Examples of computation of leave for 3 years of articleship training

Case I

A. Total number of days served (365×3) = 1095

B. Less: Total leave taken (other than weekly holidays) = 188

C. Actual Period served = 907

D. Entitlement of leave (1/6th of the actual period served) = (907/6) = 151

Excess Leave: (B – D) = 37

Case II

A. Total number of days served = 700

B. Less: Total leave taken (other than weekly holidays) = 140

C. Actual Period served = 560

D. Entitlement of leave (1/6th of the actual period served) = (560/6) = 93

Excess Leave: (B-D) 47

Case III

A. Total number of days served (365 × 3) = 1095

B. Less: Total leave taken (other than weekly holidays) = 137

C. Actual Period served = 958

D. Entitlement of leave (1/6th of the actual period served) = (958/6) = 160

Excess Leave: (B-D) NIL

Leave to an Articled Assistant

  • For the purposes of preparing for the examination of the Institute, the articled assistant shall be granted leave for three months or to the extent of leave due, whichever is less, provided an application for the leave has been made at least 15 days in advance to the Principal.
  • The days on which articled assistant appears for the examination conducted by the Institute (including intervening holidays) are counted as a period actually served under Articles.
  • The attendance by an articled assistants, with the consent of the Principal, at a conference including courses on ITT and GMCS or seminars organised by the Institute, including a Regional Council or a Students’ Association or a Branch of a Regional Council for the benefit of articled assistants, is treated as a part of the training as period actually served under articles.
  • The Principal shall also encourage articled assistants during the practical training to attend conferences, seminars, etc., relevant to the chartered accountancy course.
  • The details of the Seminars/Conferences attended by the articled assistant should be submitted to the Institute alongwith the Diary/Summary Report of Diary on completion of the Training period.
  • • An articled assistant who takes leave in excess of the leave to which he / she is entitled is required to serve for a further period equivalent to the excess leave taken by him / her
  • Leave not earned may also be granted by the principal subject to the condition that the total leave to be taken by the articled assistant shall not exceed 1/7th of the total period of his actual service, together with the leave due under such regulation (2) of Regulation 59 as above.

Treatment for Taken Excess Leave as Per ICAI

An articled assistant who has taken leaves in excess of the maximum leaves allowed by ICAI, he would be required to serve additional period of articleship so as to compensate the excess leaves taken. For this purpose a supplementary deed of articles in form No. “107” should be executed in triplicate with the same employer in continuation of the previous training on a non-judicial stamp paper or special adhesive stamp of the requisite value should be affixed on the supplementary deed form. The supplementary deed in duplicate along with form No. 108 for the period already served, should be sent so as to reach the office of the Institute within 60 days of the expiry of the normal terms of articles.

In case there is a break in the continuity of training and / or there is a change in the employer , an agreement, in form “107” would not be valid. In such a case, a fresh agreement in FORM “102” should be entered into and the particulars in form “103” should be sent to the office of Institute for registration within 30 days of the commencement of training.

A member may be granted an additional vacancy to engage an articled assistant whose normal term of training is over and he/she [the articled assistant) is found to have taken excess leave which is to be made up by an additional period of articles. It is the duty of the employer in such a case to ensure that the articled assistant completes the period of training under him including the period of excess leave. The benefit of an additional vacancy in such cases is given only where it could not have been reasonably anticipated that the articled assistant would have to serve an
extra period on account of the excess leave taken. Such additional vacancy may be given to the previous employer
or to any other chartered accountant entitled to train articled assistant(s).

Note:

1. The form should be submitted to the office of the Institute within 60 days. In case of delay in filing the form beyond the stipulated period, it has to be accompanied by a request for condonation and appropriate condonation fee as per the following schedule:

(i) Delay upto 30 days beyond the initial period = Rs. 100/-

(ii) Delay between 31 days – 180 days = Rs. 300/-

(iii) Delay beyond 181 days = Rs. 1000/-

Click Here to Download Form 107

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7 comments

  1. In case 1, you had divided it by 6 which is wrong. as it is total period and not actual period served. when you calculate total period it should be divided by 7 and not by 6. Eligible leave allowed will be 1/6 of the period of Actual Period Served (excluding leave) or 1/7 of Period served (including leave). if you check in following example answer of Extension/excess leave is same which show it is correct to divide by 1/7 when 365 days-
    Total period taken and 1/6 when actual days served.

    Total Period 365 days a year

    TOTAL DAY 365×3 1095
    LEAVE 260
    NET DAYS SERVED 835
    ELIGBLE LEAVE 1/7 119
    EXCESS-EXTENSION 141

    TOT(365X3) 1095
    SUNDAY(52X3) 156
    LEAVE TAKEN 260
    ACTUAL DAYS SERVED 679

    ACTUAL DAYS SERVED 679
    NET=LEAVE-SUN-42 218
    NET DAYS SERVED 461
    ELIGBLE LEAVE 1/6 77
    EXCESS-EXTENSION 141

  2. I have taken total leaves of 159 days instead of 156 days. Should I still serve the excess 3 days in form 107

  3. My articles are terminated offer 1.4months.my previous auditor leave mention in 109form 125 days.i have completed remaining period on new auditor.the above leaves are set off in new auditor?

    Please reply quickly

  4. I total leave taken is beyond six month but that days includes exam days,gmcs days,&advance itt also so can I further eligible for excess leave

  5. Hi guys , i have calculated my excess leave which comes to 16 days. Please clarify that will I have to serve 16 days excess only OR it is 16 x 6 = 96 days (since 1 day leave is allowed for 6 days served) Pls reply me on urgent basis.

  6. Kindly clarify what ‘weekly holidays’ mean. Does it include saturday and sunday? ( my firm works a five days a week)

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