On Friday, June 26, 2015, the Institute of Cost Accountants of India [ICAI (Cost)] has notified vide notification No. CMA (3)/2015 that all students who shall take admission to CMA Intermediate Course on and after first day of February, 2016 shall pursue course under the new “Syllabus 2016”.
[Updated] However, CMA Institute has clarified vide its Circular No. G/128/4/2015-16 dated December 24, 2015 that the “Syllabus-2016” will be implemented with effect from 1st August 2016 instead of February 2016 and the first examination under syllabus-2016 shall take place in June, 2017.
The notification was issued in pursuance of sub-regulation (b) of Regulation 20B and Regulation 31 of the Cost and Works Accountants Regulations, 1959 and by exercising the powers conferred by clause (a) of sub-section (2) of Section 15 of the Cost and Works Accountants Act, 1959.
New Syllabus-2016 for CMA Intermediate Course
Under the new syllabus 2016 of CMA Intermediate Level examination, each groups consisting of four papers has now been further segregated into “Module” of two papers. Accordingly, you may appear in Module/Modules as per your choice under new syllabus.
The First CMA Intermediate Examination under new “Syllabus 2016” shall be conducted in
December, 2016 June 2017 as well as the Last Examination under old “Syllabus 2012” shall be conducted in June 2017 December 2017.
You may understand the details of examinations which shall be conducted simultaneously under both Syllabi by the following table:
CMA Intermediate Course Examination
Term of Examination
Examinations to be held under
No Exam under Syllabus 2016
Syllabus 2016 (First Exam)
Syllabus 2012 (Last Exam)
June 2018 and onwards
No Exam under Syllabus 2012
Trainings and Quality Assessment Tests during CMA Intermediate Course:
You have to complete these compulsory training and assessment test before appearing for Intermediate examinations.
i) 100 hours Compulsory Computer Applications Training
ii) Communication & Soft Skills Training (Mandatory requirement) (3 days)
iii) On-line (24×7) Web-based Centralized Quality Assessment Test to seek eligibility (Mandatory Requirement to Qualify) with an eligibility criterion of 40% marks for appearing in Examinations.
PAPER-5: FINANCIAL ACCOUNTING
There are five sections in paper-5 of CMA Intermediate Course viz. A) Accounting – Basics, B) Preparation of Financial Statements, C) Self Balancing Ledgers, Royalties, Hire Purchase & Installment System, Branch & Departmental Accounts, and D) Accounting in Computerised Environment and Accounting Standards.
Section A (Accounting – Basics) [25 Marks]:
Section A of Paper-5 of CMA Intermediate Course carries 25% weightage. In this section there are two topics which has been discussed below.
1. Fundamentals of Accounting
Accounting – Meaning, Scope and Significance of Accounting – Accounting Principles, Concepts and Conventions – Capital and Revenue Transactions – Depreciation – Rectification of Errors.
2. Accounting for Special Transactions
Bills of Exchange – Consignment – Joint Venture – Insurance Claims (Loss of Stock and Loss of Profit)
Section B (Preparation of Financial Statements) [40 Marks]:
Section A of Paper-5 of CMA Intermediate Course carries 40% weightage. This section contains mainly two topics which has been sited below.
3. Preparation of Final Accounts of Profit Oriented organizations, Non-Profit Organizations and from Incomplete Records
(i) Preparation of Financial statements of Profit Oriented organizations: P&L Account, Balance Sheet.
(ii) Preparation of Financial Statements of Non-Profit making organizations: Preparation of Receipts & Payments Account, Income& Expenditure account and Balance Sheet.
(iii) Preparation of Financial Statements from incomplete records (Single entry)
4. Partnership Accounts
Admission, Retirement, Death, Treatment of Joint Life Policy, Dissolution of partnership firms including piece meal distribution, Amalgamation of partnership firms, Conversion of partnership firm into a company and sale of partnership firm to a company
Section C (Self Balancing Ledgers, Royalties, Hire Purchase & Installment System, Branch & Departmental Accounts) [20 Marks]:
In this section there are three topics, the contents of which has been described in detail hereunder.
5. Self-Balancing Ledgers
6. Royalty Accounts, Hire Purchase and Installment System.
7. Branch and Departmental Accounts.
Section D (Accounting in Computerized Environment and Accounting Standards) [15 Marks]:
Section D of Paper-5 of CMA Intermediate Course contain two topics which has been explained hereunder.
8. Computerized Accounting System – Features, Significance, Grouping of Accounts, Ledger hierarchy, Accounting Packages and their selection criteria
9. Accounting Standards (AS-1, AS-2, AS-6, AS-7, AS-9, AS-10)
PAPER – 6: LAWS AND ETHICS
There are four sections in Paper-6 of CMA Intermediate Course viz. A) Commercial Laws, B) Industrial Laws, C) Corporate Law, and D) Ethics.
Section A (COMMERCIAL LAWS) [30 Marks]:
Section A of Paper-6 of CMA Intermediate Course contains topics of the following five laws.
1. Indian Contracts Act, 1872
(a) Essential elements of a contract, offer and acceptance
(b) Void and voidable agreements
(d) Legality of object
(f) Constraints to enforce contractual obligations
(g) Quasi-contracts, contingent contracts, termination or discharge of contracts
(h) Special contracts: Indemnity and Guarantee; Bailment and Pledge; Laws of Agency
2. Sale of Goods Act, 1930
(b) Transfer of ownership
(c) Conditions and Warranties
(d) Performance of the Contract of Sale
(e) Rights of Unpaid Vendor
(f) Auction Sales
3. Negotiable Instruments Act, 1881
(a) Definition and features of NI
(b) Crossing, Endorsement and Material Alteration
(c) Acceptance, Assignment and Negotiation
(d) Rights and liabilities of Parties
(e) Dishonor of a Negotiable Instrument.
4. Indian Partnership Act, 1932
(a) Nature of Partnership
(b) Rights and liabilities of Partners
(c) Formation, Reconstitution and Dissolution of Firms
5. Limited Liability Partnership Act, 2008
a) Concept, formation, membership, functioning
SECTION B (INDUSTRIAL LAWS) [25 Marks]:
The Objects, Scope and Applicability of the following acts are covered under Section B of Paper-6 of CMA Intermediate Course.
6. Factories Act, 1948
7. Payment of Gratuity Act, 1972
8. Employees Provident Fund Act, 1952
9. Employees State Insurance Act, 1948
10. Payment of Bonus Act, 1965
11. Minimum Wages Act, 1948
12. Payment of Wages Act, 1936
SECTION C (CORPORATE LAWS) [35 Marks]:
This Section covers topics related to the Companies Act, 2013 which carries 35% weightage.
13. Companies Act 2013
a) Company types, promotion, formation and related procedures i.e. Section 1 to Section 122 of Companies Act, 2013
b) Director-Role, Responsibilities, Qualification, disqualification, appointment, retirement, resignation, removal, remuneration and powers, Director Identification Number
SECTION D (ETHICS) [10 Marks]:
Section D of the CMA Intermediate Course contain only one topic that is related to business ethic and the contents has been explained in detail as follows.
14. Business Ethics:
a) Ethics-meaning, importance, nature and relevance to business
b) Values and attitudes of professional accountants
c) Seven principles of public life-selflessness, integrity, objectivity, accountability, openness, honesty and leadership
d) Ethics in Business
PAPER – 7: DIRECT TAXATION
There are three sections in Paper-7 of CMA Intermediate Course viz. A) Income Tax Act Basics, B) Heads of Income and Computation of Total Income and Tax Liability, and C) Administrative Procedures and ICDS.
Section A (INCOME TAX ACT BASICS) [10 Marks]:
In this section there are two topics which has been sited below.
1. Introduction to Income Tax Act, 1961
a) Basic Concepts and definitions
b) Background, concepts, definitions
c) Capital and revenue – receipts, expenditures
d) Basis of charge and scope of total income
e) Residential Status and Incidence of Tax
2. Incomes which do not form part of Total Income [Sec.10, and 11 to 13A]
SECTION B (HEADS OF INCOME AND COMPUTATION OF TOTAL INCOME AND TAX LIABILITY) [70 Marks]:
Section B of Paper-7 of CMA Intermediate Course is very important as it carries 70% weightage. In this section there are five topics related to Income-Tax Act, 1961. The detail contents have been discussed below.
3. Heads of Income and Computation of Total Income under various heads
(a) Income from salaries
(b) Income from House property
(c) Profits and gains from Business or Profession
(d) Capital gains
(e) Income from other sources
4. Clubbing Provisions, Set-off and Carry forward of Losses, Deductions
(a) Income of other persons included in Assessee’s Total Income
(b) Aggregation of Income and Set off or Carry Forward of Losses
(c) Deductions in computing Total Income
(d) Rebates & Reliefs
(e) Applicable Rates of Tax and Tax Liability
5. Assessment of Income of different persons
(a) Taxation of Individuals including Non-residents
(b) Hindu Undivided Family
(c) Firms, LLP, Association of Persons
(d) Co-operative Societies
(e) Trusts, Charitable and Religious Institutions
6. Corporate Taxation
(a) Classification, tax incidence, computation of taxable income and assessment of tax liability
(b) Dividend Distribution Tax (DDT)
(c) Minimum Alternate Tax (MAT)
(d) Other special provisions relating to companies
7. TDS, TCS and Advance Tax
(a) Tax Deduction at Source
(b) Tax Collection at Source
(c) Advance Tax
SECTION C (ADMINISTRATIVE PROCEDURE AND ICDS) [20 Marks]:
In this section there are two topics, the contents of which are explained hereunder.
8. Administrative procedures
a) Return Filing and Refund procedures
b) Demand, Recovery, Assessment, appeal, revision, and settlement.
c) Special Procedure for Assessment of search cases
d) E-commerce Transaction and liability in special cases
e) Penalties, fines and prosecution