Section 2 COST AND WORKS ACCOUNTANTS ACT 1959
Definitions and interpretation.
2. (1) In this Act, unless the context otherwise requires,—
| (a) | “associate” means an associate member of the Institute; | |
| 1[(aa) | “Authority” means the Appellate Authority referred to in section 22A; | |
| (aaa) | “Board” means the Quality Review Board constituted under section 29A;] | |
| (b) | “cost accountant” means a person who is a member of the Institute; | |
| (c) | “Council” means the Council of the Institute; | |
| (d) | “dissolved company” means the Institute of Cost and Works Accountants registered under the Companies Act, 1956 (1 of 1956); | |
| (e) | “fellow” means a fellow of the Institute; | |
| 2 [ (ea) | “firm” shall have the meaning assigned to it in section 4 of the Indian Partnership Act, 1932 (9 of 1932), and includes,— |
| (i) | the limited liability partnership as defined in clause (n) of sub-section (1) of section 2 of the Limited Liability Partnership Act, 2008 (6 of 2009); | |
| (ii) | the sole proprietorship, |
| registered with the Institute; ] | ||
| (f) | “Institute” means the Institute of Cost 4[***] Accountants of India constituted under this Act; | |
| 1[(fa) | “notification” means a notification published in the Official Gazette;] | |
| 3 [ (fb) | “partner” shall have the meaning assigned to it in section 4 of the Indian Partnership Act, 1932 (9 of 1932) or in clause (q) of sub-section (1) of section 2 of the Limited Liability Partnership Act, 2008 (6 of 2009), as the case may be; | |
| (fc) | “partnership” means— |
| (A) | a partnership as defined in section 4 of the Indian Partnership Act, 1932 (9 of 1932); or | |
| (B) | a limited liability partnership which has no company as its Partner; ] |
| (g) | “prescribed” means prescribed by regulations made under this Act; | |
| (h) | “President” means the President of the Council; | |
| (i) | “Register” means the Register of members maintained under this Act; | |
| 2[(ia) | “specified” means specified by rules made by the Central Government under this Act; | |
| 3 [ (iaa) | “sole proprietorship” means an individual who engages himself in the practice of cost accountancy or offers to perform services referred to in clauses (ii) to (iv) of sub-section (2);] | |
| (ib) | “Tribunal” means a Tribunal established under sub-section (1) of section 10B;] | |
| (j) | “Vice-President” means the Vice-President of the Council; | |
| (k) | “year” means the period commencing on the 1st day of April of any year and ending on the 31st day of March of the succeeding year. |
(2) Save as otherwise provided in this Act, a member of the Institute shall be deemed “to be in practice” when, individually or in partnership with one or more members of the Institute in practice 3[or in partnership with members of such other recognised professions as may be prescribed], he, in consideration of remuneration received or to be received,—
| (i) | engages himself in the practice of cost 4[***] accountancy; or | |
| (ii) | offers to perform or performs services involving the costing or pricing of goods or services or the preparation, verification or certification 3[or auditing] of cost accounting and related statements or holds himself out to the public as a cost accountant in practice; or | |
| (iii) | renders professional services or assistance in or about matters of principle or detail relating to cost accounting procedure or the recording, presentation or certification of costing facts or data; or | |
| (iv) | renders such other services as, in the opinion of the Council, are or may be rendered by a cost accountant in practice, |
and the words “to be in practice”, with their grammatical variations and cognate expressions, shall be construed accordingly.
Explanation: A member of the Institute who is a whole-time salaried employee of any person shall not be deemed to be in practice within the meaning of this sub-section.
1. Inserted by the Cost and Works Accountants (Amendment) Act, 2006, w.e.f. 8-8-2006.