Chapter 1-Mia by-laws on Professional Conduct and Ethics

Introduction

Latest revision come into effect on January 2011. MIA By-laws are issued in pursuant to Section 10(a) of the Accountant Act 1967, binding to all members of MIA.

The new By-Laws revoked and supersedes the previous By-Laws issued and operative since April 1990.

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Aim of By-Laws:

Set a standards of conduct for members in view of the professional responsibilities and duties owed by all members whether in public practice or otherwise, to their clients, employers, the authorities and the public.

Since accountancy profession play significant role in society, the by-laws hope to promote members to exhibit the highest standards of professionalism and professional conduct that are expected of the profession.

Member: refers to person who is registered with the institute (MIA) in accordance with the Accountant Act 1967 either as chartered accountant, licensed accountant or an associate member.

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As professional, members MUST at all times, discharge their responsibilities with integrity, objectivity, impartiality, due professional care and be free from the influence of any consideration which might appear to be in conflict with these criteria.

BREACH OF BY-LAWS:Give rise to a complaint of UNPROFESSIONAL CONDUCT against the member concerned. He/ she may be required to answer before the Investigation and Disciplinary Committee of the institute (MIA).

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PART I

PART A: APPLICABLE TO ALL MEMBERS

Note:Consists of 3 parts. Part A is on fundamental principles + conceptual framework, Part B and C describes how conceptual frameworks applies in situations.

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Fundamental principles (A100.1-A100.18)

Fundamental Principles

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Integrity

Objectivity

Professional Competence and Due Care

Confidentiality

Professional behavior

Fundamental principles (A100.1-A100.18)

In accepting/ continuing professional assignment or occupation, a member SHALL ALWAYS ACT with integrity, objectivity, independence and impartiality.

Carry out professional work with proper regard for TECHNICAL AND PROFESSIONAL STANDARDS expected. Member SHALL NOT undertake/ continue professional assignment that he/ she is not PROFESSIONALLY COMPETENT to perform unless he/ she obtains advice and assistance that will enable him/ her to complete the assignment in a competent, efficient and timely manner.

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…..Fundamental Principles (A100.1-A100.18)

Member SHALL CONDUCT THEMSELVES with courtesy and consideration towards all with whom he comes into contact in the course of his professional work.

A member shall uphold professional behavior, SHALL CONDUCT THEMSELVES in a manner consistent with the good reputation of the profession and the Institute and SHALL REFRAIN from acting in a way/ manner as to lower the dignity or honour or to discredit the profession.

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….Fundamental principles (A100.1-A100.18)

Threats may affect compliance with the five (5) fundamental principles.

1. Self-interest threat (financial or other interest influencing judgment or behavior)

2. Self-review threat (professional accountant will not appropriately evaluate results of previous judgment made by professional accountant or others etc, on which the accountant will rely when forming judgment as part of current service).

3. Advocacy threat (professional accountant may promote client’s position to the point of compromising objectivity)

4. Familiarity threat (due to long, close relationship with client, sympathetic to their interests)

5. Intimidation threat (deterring from acting objectively because of pressure, undue influence etc)

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Members need to safeguards against or eliminate or reduce the threats via actions and other measures to an acceptable level:

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Safeguards created by profession, legislation or regulations

Safeguards in the work environment


Safeguards created by profession, legislation or regulations include:

1. Educational, training and experience requirements for entry into the profession.

2. Continuing professional development requirements.3. Corporate Governance regulations.4. Professional standards.5. Professional or regulatory monitoring and disciplinary procedures.6. External review by a legally empowered third party of the reports,

communications or information produced by a professional accountant.

(Note: Part B and C (of Part I By-laws) discuss on safeguards in the work environment)

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A professional accountant may need to resolve a conflict in complying with the fundamental principles. Relevant to the resolution process, factors such as:

1. Relevant facts.2. Ethical issues involved.3. Fundamental principles related to the matters in question.4. Established internal procedures.5. Alternative course of action.

(Note: after exhausting all relevant possibilities, the ethical conflict remains unresolved, a professional accountant SHALL where possible, REFUSE TO REMAIN ASSOCIATED with the matter creating the conflict (eg: withdraw OR resign altogether from the engagement or from the firm or from the employing organization)

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Integrity and Objectivity (A110.1-110.3)

Members should be straightforward, honest, sincere in their approach to professional work (fair dealing and truthfulness).

Objectivity means members are obligated to be fair, intellectually honest and free of conflicts of interest. Avoid any prejudice, bias or influences of others to override objectivity.

Need to be, and be seen to be, free in each professional assignment undertakes. (examples: pressures exerted on members, gifts offering, entertainment significantly influencing professional judgment).

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… Integrity and Objectivity (A110.1-110.3)

No member shall make, prepare, attest to or certify any statements which he knows to be:

False, incorrect or misleading OR

Open to misconstruction by reason of any error, omission or suppression of a material factor otherwise

OR Contains statements or information furnished recklessly.

(Note: Take steps to be disassociated from that information)

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Professional Competence and Due Care (A130.1- A130.6)

Members need to improve professional services, keep professional knowledge up-to-date, and bring due care and diligence in discharging duties to clients or employers.

Maintain professional knowledge and skills to ensure client or employer receives the advantage of competent professional service. Keep up-to-date with developments in practices and techniques, comply with laws, rules, regulations, professional standards in force and guidelines and by-laws prescribed.

(Diligence: responsible to act in accordance with requirements of assignment, careful, thorough and on a timely basis).

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Professional Competence and Due Care (A130.1- A130.6)

Need to enhance professional competence, comply with the Continuous Professional Education (CPE) requirements.

Professional Competence may be divided into 2 phases:

1. Attainment of professional competence

2. Maintenance of professional competence

Note: where appropriate, make clients, employers and other users aware of the limitations inherent to the services.

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Confidentiality (A140.1- A140.8)

A member acquiring or receiving any confidential information in the course of his professional work SHALL NOT USE or appear to use that information for his personal advantage or the advantage of a third party.

Information acquired or received, confidential to client/ employer shall not be disclosed EXCEPT where: Consent has been obtained from proper sources (eg: client,

employer) OR There is legal right or duty to disclose OR Disclosure is compelled by process of law.

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Confidentiality (A140.1- A140.8)

Maintain confidentiality even in social environment, alert of inadvertent disclosure to close or immediate family member.

Ensure staff under control or persons from whom advice and assistance obtained RESPECT the accountant’s professional duty of confidentiality.

Note: Shall not use or disclose information either acquired or received as a result of professional or business relationship EVEN after change of employment or acquires new client.

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Professional behavior + Advertising, marketing and promotions (A150.1- A150.3)

Comply with relevant laws and regulations. Avoid actions that will discredit the profession.

In advertising, promotion or marketing themselves or their work, do not bring the profession into disrepute. Materials must be professionally dignified and in good taste AND follow relevant regulations.

Note: Be honest and truthful, avoid exaggerated claims on services offered, qualifications or experience possessed, unsubstantiated comparisons to the work of others)

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…Acts Discreditable to the Profession

Include as “discreditable” or “unprofessional” are gross carelessness, neglect and incapacity in performance of professional duties, impropriety in professional conduct and also conduct unbecoming of an accountant.

Conduct termed as ‘discreditable” include but not confine to the following:

Making, permitting or directing others to make false and misleading entries in financial statements or records of entities.

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….. Acts Discreditable to the Profession

…Conduct termed as ‘discreditable” include but not confine to the following:

Assisting in any manner any of his clients to evade tax.

Willfully and with the attention to defraud issue any cheque or becoming a party to the issuance of any cheque.

Negligently, carelessly or incompetently carrying out professional work.

Acting in any manner significantly threatens or appear to be threatening his objectivity or integrity or professional independence.

Making, preparing, attesting or certifying any statements or declaration which he knows to be false, incorrect or misleading, or open to misconstruction by reason of any error, omission, or suppression of material fact or otherwise.

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...Acts Discreditable to the Profession

…Conduct termed as ‘discreditable” include but not confine to the following:

Pleading guilty for or has been found guilty of, acting fraudulently or dishonestly in any criminal proceedings before a court of law in Malaysia or any country whose judgments are registerable in Malaysia.

Being found to have acted fraudulently or dishonestly in any way, or negligently or carelessly in his professional work, in any civil proceedings in a court of law in Malaysia or in any country whose judgments are registerable in Malaysia.

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PART I

PART B: APPLICABLE TO PROFESSIONAL ACCOUNTANTS IN PUBLIC PRACTICE

Note: A professional accountant (PA) in public practice shall not knowingly engage in any business, occupation or activity that impairs OR might impair integrity, objectivity, good reputation of profession resulting in incompatibility with the fundamental principles.

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Threats and Safeguards (B200.1-B200.15)

Examples of circumstances that create self-interest threats:

1. A member of assurance team having direct financial interest in or significant close business relationship with the assurance client.

2. A firm having undue dependence on total fees from client3. A firm being concerned about possibility of loosing a significant

client.

(More: Para 200.4)

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Examples of circumstances that create self-review threats:

1. A firm issuing an assurance report on effectiveness of financial systems operation after designing or implementing the systems.

2. A member of the assurance team being, or having recently been, a director or officer of the client.

(More: Para 200.5)

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Examples of circumstances that create advocacy threats:1. The firm promoting shares in an audit client.2. A PA acting as advocate on behalf of an audit client in litigation or

disputes with third parties.

Examples of circumstances that create familiarity threats:1. A member of engagement team having close or immediate family

member who is a director or officer of the client.2. A PA accepting gifts or preferential treatment from client, unless

the value is trivial or inconsequential.3. Senior personnel having long association with the assurance

client.

(More: Para 200.6 and 200.8)

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Examples of circumstances that create intimidation threats:

1. A firm being threatened with dismissal from a client engagement.2. A firm being threatened with litigation by the client.3. A firm being pressured to reduce inappropriately the extent of

work performed in order to reduce fees.4. A PA being informed by a partner of the firm that a planned

promotion will not occur unless the accountant agrees with an audit client’s inappropriate accounting treatment.

(More: Para 200.8)

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Work environment safeguards

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Firm-wide safeguards

1.Leadership of firm stresses the importance of compliance with fundamental principles.2.Establish expectation that members of assurance team will act in the public interest3.Policies and procedures to implement and monitor quality control of engagements(More: Para 200.13)

Engagement specific safeguards

1.Having a PA who was not involved with non-assurance service review the non-assurance work performed.2.Consulting an independent third party (eg; regulatory body, committee of independent directors).3.Rotating senior assurance team personnel4.Disclosing to those charged with governance of client, the nature of services provided + extent of fees charged.

(More: Para 200.13)

Threats and Safeguards (B200.1-B200.15) Examples of safeguards within client’s systems and

procedures:

1. Client requires persons other than management to rectify or approve the appointment of firm to perform an engagement.

2. Client has competent employees with experience and seniority to make managerial decisions.

3. The client has implemented internal procedures that ensure objective choices in commissioning non-assurance engagements.

4. Client has a corporate governance structure that provides appropriate oversight and communications regarding firm’s services.

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Professional Appointment (B210.1-B210.14)

Client Acceptance

1. Before accept, consider threats, apply safeguards.

2. Where it is not possible to reduce threats, PA in public practice shall decline to enter into client relationship.

3. It is recommended that a PA review acceptance decisions periodically for recurring clients engagements.

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Professional Appointment (B210.1-B210.14) Engagement Acceptance

1. Provide only service that PA is competent to perform.2. Consider whether acceptance will create any threats to

compliance with fundamental principles.3. Minimize threats, apply safeguards such as:

Acquiring understanding of client’s business, requirements of engagement, purpose, scope, nature etc.

Acquiring knowledge of relevant industry Assigning sufficient staff with competencies. Using expert where necessary. Agree to realistic time frame, comply with quality control policies.

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Changes in Professional Appointment (B210.1-B210.14)

If PA is asked to replace another PA OR is considering tendering for an

engagement currently held by another, shall determine whether there are any reasons (professional or otherwise), for not accepting the engagement. (eg: asking existing accountant)

A PA may be asked to undertake work complementary or additional to work of existing accountant. Be cautious of lack or incomplete information.

Remember: existing accountant bounded by confidentiality. Whether permitted or required to discuss client’s affairs with proposed accountant depend on nature of engagement AND:

1. Client’s permission has been obtained or2. Legal or ethical requirements relating to communication + disclosure abide

by.

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……Changes in Professional Appointment (B210.1-B210.14)

To initiate discussion with existing accountant,

1. if client’s permission (written is better) is refused, PA shall decline the appointment.

2. if client’s permission (written is better) is obtained:

Existing accountant provides information honestly and unambiguously.

Proposed accountant if not able to communicate with existing, obtain through other means

▪ Inquiries of third parties▪ Background investigations of senior management etc.

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……Conflicts of Interests (B220.1-B220.6) Take reasonable steps to identify circumstances that pose a

conflict of interests.

Depending on situations giving rise to conflict, application of one of the following safeguards may be necessary:

1. Notify client of firm’s business interest or activities (and obtain their consent).

2. Notify all known relevant parties that PA is acting for two or more parties (and obtain their consent)

3. Notify client that PA does not act exclusively for any one client in the provision of proposed services (and obtain their consent to so act).

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……Conflicts of Interests (B220.1-B220.6) Safeguards against conflict:

1. Use separate engagement teams2. Procedures to prevent access to information (confidential and

secure data filing).3. Clear guidelines for members4. Use of confidentiality agreements signed by employees and

partners of firm5. Regular review of application of safeguards by senior

individual not involves with relevant client engagements.

(Note: if conflict cannot be resolved, options include not accepting specific engagement, resign from one or more conflicting engagements).

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Fees and Other Types of Remuneration (B240.1- B240.4)

Professional fees charged by members in public practice shall be a fair reflection of value of work performed for client, taking into account: Skill and knowledge required for the type of work involved. Level of training and experience of the persons necessarily engaged

on the work. The time necessarily occupied by each person engaged on the

work. The degree of responsibility and urgency that the work entails.

No member shall charge an unrealistically low professional fee (threat to compliance of professional competence and due care as it may be difficult to perform engagement accordingly).

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….Fees and Other Types of Remuneration (B240.1- B240.4)

Except if there are genuine ground for setting lower, any fee proposal of less than 90% of the fee previously charged shall be taken as prima facie evidence of a likelihood that a compromise or lowering of professional standards will result in the carrying out of the assignment.

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Referral Fees (B240.5-B240.8)

PA in public practice may receive s referral fee or commission relating to a client. Eg: a fee may be received for referring a continuing client to another professional accountant or expert when PA does not provide the specific service required.

May also receive a commission from a third party (eg: software vendor) in connection of sale of goods or services to a client.

Reminder: payment of such fee may creates self-interest threat to objectivity and professional competence and due care. Safeguards: Disclosure of arrangement to client, obtain advance agreement in connection of sale etc.

At all times, a member who accepts a referral from another member in practice will not do anything that will impair the position of that member in the continuing work for the client.

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Advertising or Marketing Services (B250)

Reminder: when PA solicits new work through advertising or other forms of marketing, there may be threats to compliance with fundamental principles.

Don’t make exaggerated claims, disparaging references to unsubstantiated comparisons to the work of another.

Tenders

Reminder: unsolicited request to make submission or submit a tender for professional services may give rise to potential threats. Eg: fees being quoted so low is a self-interest threat to professional competence and due care. Safeguards: Disclosure of arrangement to client, obtain advance agreement in connection of sale etc.

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…Advertising, Publicity and Solicitation

Any advertisement, publicity or solicitation by a member or by a member firm whether by that member or the firm or otherwise shall:

Be conducted in manner consistent with the good standing and reputation of the accountancy profession and not contain anything that is likely to bring discredit to the member, to the institute or the accountancy profession.

Contain only matters of fact which are true, and the manner of notification must not be misleading or deceptive.

Be in good taste and professionally dignified.

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…Advertising, Publicity and Solicitation

Any advertisement, publicity or solicitation by a member or by a member firm whether by that member or the firm or otherwise shall:

Not contain exaggerated claims of the services offered, the qualifications possessed or the experience gained.

Avoid belittling, or claiming superiority over, or denigrate the work of other members or member firms.

Not contain unjustified claims to be an expert or specialist in a particular area.

Be carried out in accordance with the relevant legislation, where applicable.

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Gifts and Hospitality (B260)

Reminder: when PA in public practice, an immediate or close family members are offered gifts or hospitality from client, there may be threats to compliance with fundamental principles (eg: self-interest or familiarity threat to objectivity) if gifts are accepted.

Existence + significance of any threat will depend on nature, value and intent of the offer. Eg: if consider trivial + inconsequential, may conclude that offers are made in the normal course of business without specific intent to influence.)

Don’t accept offer if threats cannot be eliminated or reduced to an acceptable level.

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Custody of Client Assets (B270)

1. A PA in public practice shall not assume custody of client’s monies or other assets unless permitted to do so by law AND if so, in compliance with any additional legal duties imposed on PA in public practice holding such assets.

2. A member is strictly accountable for all clients’ monies received by him.

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…Custody of Client Assets (B270)

Such money shall be kept separate from all other monies in the hands of the member/ his firm and shall be applied for the purpose of the client a (for which they are intended).

Every member shall at all times maintain records so as to show clearly the money he has received, held or paid on account of his clients, and the details of any other money dealt with by him through a client account, clearly distinguishing money of each client from money of any other client and from his own money.

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B280-291 Objectivity and Professional Independence

Please read details of Part B 280-291 in the MIA By-Laws printed materials. They are important guide to

professional accountants in public practice. Some of the issues have been discussed in earlier sections of this

power point slides.

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Independence

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In MindPermits expression of

conclusion without being affected by influences that compromise professional

judgment, thus allowing auditor to act with integrity, exercise objectivity and professional

skepticism.

In AppearanceAvoidance of facts and

circumstances that are so significant that a reasonable and

informed third party would be likely to conclude based on specific facts

and circumstances, the firm’s or member of audit team’s integrity,

objectivity or professional skepticism has been compromised.


A member in public practice shall not knowingly consent to be appointed, and shall not knowingly act as auditor of any company and shall not prepare for or on behalf of a company, any report required under Companies Ac 1965 to be prepared by an approved company auditor if:

He is not an approved company auditor. He is indebted to company or corporation deemed to be related

to that company amount exceeding RM2,500. He is an officer, a partner, employer or employee of the company. He is a partner or employee of an employee of an officer of the

company. He is a shareholder of a corporation whose employee is an officer

of the company.

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…B280-291 Objectivity and Professional Independence

He is responsible or he is the partner, employer or employee of a person responsible for keeping the register of members or register of holders of debentures of company.

Any immediate member of his family is :▪ an officer, a partner, employer or employee of the company.▪ a partner or employee of an employee of an officer of the

company.▪ a shareholder of a corporation whose employee is an officer

of the company.(The above prohibition shall not apply where the relevant member of the member’s immediate family is an employee of the company who is not a key management personnel of the company i.e. a person having authority and responsibility for planning, directing and/or controlling the activities of the company).

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A member in public practice or his firm shall not knowingly accept appointment as auditor or reporting accountant of a company or other entity if:

He or his partner(s) holds directly or indirectly any interest in the company or other entity.

Any member of the immediate family of the member or that of his partner(s) holds directly or indirectly any interest in the company or other entity.

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He is or was, within the period concerned, or within the preceding period of 12 months:▪ An officer or employee of the company or other entity or▪ A partner of or in the employment of an officer or employee of

the company or other entity

He has a direct or indirect material financial interest (other than fees due to him) in the company or other entity.

Note: The prohibition regarding immediate family above, shall not apply if interest held by immediate family does not give rise to a significant threat to professional independence, integrity, objectivity of the member or his firm or professional independence, integrity, objectivity are appropriately safeguarded.

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A member or his firm shall not knowingly accept appointment as auditor or reporting accountant of a company or other entity if that member or his firm also provides public practice services other than audit services (non-audit services) to that company or other entity, whereby the provision of such services would create a significant threat to the professional independence, integrity and objectivity of the member or his firm.

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No member in public practice shall give any assistance or his services by the use of his name or in any other manner to advance or promote any illegal activity of a client.

A member in public practice shall inform a client of the nature of any business connections, affiliations or interests which might influence his judgment or impair his impartiality in the provision of services to such client.

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PART I

PART C: C300-C350 Professional Accountants in Business

Please read details of Part C 300-C350 in the MIA By-Laws printed materials. They are important guide to

professional accountants in business. It describes how conceptual framework in Part A is to be applied by

professional accountants in business. Some of the issues have been discussed in earlier sections of this power point

slides.

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…C300-C350 Professional Accountants in Business

1. A professional accountants in business may be a salaried employee, a partner, a director (executive or non-executive), an owner manager etc. investors, creditors, employers and general business community as well as governments and the public at large may rely on the work of professional accountants.

2. They may be responsible for preparing and reporting on financial and other information which employing organizations and other third parties rely on.

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…C300-C350 Professional Accountants in Business

Reminder:

A professional accountant in business shall not knowingly engage in any business, occupation, activity that impairs or might impair integrity, objectivity or good reputation of profession or going against the fundamental principles.

Where he or she believes that unethical behavior or actions continue to occur within the employing organization, consider seeking legal advice. Under extreme situations, a PA in business may conclude that it is appropriate to resign from employing organization.

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PART II

PART A: APPLICABLE TO ALL PROFESSIONAL ACCOUNTANTS

Note:Consists of 2 parts. Part A for all professional accountants AND Part B for members of public practice.

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Part II A400-A410 Induction Course upon Admission and Continuing Professional Education (CPE)

Once admitted as members of MIA, are required to attend an Induction Course organized by the institute within six months of admission (except for reasons where MIA grant postponement under its absolute discretion)

CPE is imposed to maintain professional competence and ensure exercise of due care at all times and also to cater to the rapidly changing environment.

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Part II A410 Continuing Professional Education (CPE)

All professional accountants need to complete AT LEAST 120 CPE credit hours of relevant CPE learning for every 3

calendar years period.

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60 CPE hours structured verifiable (at least 20 within

one calendar year)Eg: courses and conferences,

studies, participation in programes etc

UnstructuredEg: reading technical, professional literature, use of audio tapes, correspondence course, participation in meetings + discussion groups.

Descriptions and Designatory Letters (Part II B 420)

Every member in describing himself as accountant in Malaysia shall use the following designatory: Chartered Accountant (C.A.(M)) Licensed Accountant (L.A.(M)) Associate Member (A.M.(M))

Can use in conjunction to indicate: Membership of other professional bodies. Possession of academic degrees or diplomas of higher learning. Possession of civil or military honours or decorations.

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…..Descriptions and Designatory Letters (Part II B 420)

Every member in public practice shall describe his firm, as a firm of “Chartered Accountant” (s) or as a firm of “Licensed Accountant” (s) as appropriate in signing any reports or other documents in professional capacity either as an individual or on behalf of firm.

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Attention to Correspondence and Enquiries (Part II B440)

Every member must reply to professional correspondence and enquiries expeditiously.

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PART II

PART B: APPLICABLE TO MEMBERS IN PUBLIC PRACTICE

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Method of Practice (Part II B500)

A member shall not use a trade or association name or any other impersonal or fictitious names under which to practise the profession.

No member can practise as “CA” or “LA” other than: In his own name or In the name or names of his partner or partners (also CAs or LAs)

or In the name of a firm existing at the time of the coming into

operation of the Act or formed thereafter provided that the partners in Malaysia are eligible to be registered as “LA” or “CA”.

Note: Before commencement of practice, apply to the institute for approval of proposed name of intended firm or practice.

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…Method of Practice (Part II B500)

Upon application of proposed name, council must be satisfied that proposed name does not duplicate existing firm and is not a name which in the opinion of council, is undesirable. Decision of council is final.

No member shall allow name of his firm to be used by any organization to conduct business that is incompatible to public practice by members of the institute or bring disrepute to the profession.

No member shall allow non-member to practise in partnership with him or to practise in his name as CA/ LA (should not assist in any means someone who claim to be a member in contravene to Act).

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A member who is not entitled to be a member of public practice shall not:

Hold himself out to be a member in any manner whatsoever

Provide public practice services as CA, auditor, tax consultant etc or any services likely to lead persons to infer that he is a member or qualified to practise the profession (except authorized to be tax consultant/adviser under Income Tax Act 1967).

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No member shall allow his firm (including branches) to be under management and control of non-member of the institute.

If control + management under non-member, a member shall comply by: Appointing a member to manage and control the said branch of

firm or Dissolving the said branch of the firm.

No member shall report or express opinion on financial statements examined by a person other than a member of his firm or of his staff, UNLESS the other person is also a member in public practice ) except for entities which are incorporated/ operating outside Malaysia).

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A member may (subject to these by-laws) participate whether as director and/ or shareholder in limited or unlimited company which offers taxation, tax advice, tax consultancy provided in doing so:

The member and company does not contravene any written law; and

The company is not in any way described as CAs or LAs.

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Every member in public practice shall: Register his firm with the institute (inform in writing stating

name and address of firm, branches etc). Inform any changes within 1 month thereafter. If firm associated with any other firm (whether local or

overseas), register such association supported with evidence. Upon registration, lodge an annual return with the institute by

31 January of each calendar year despite there may be no changes in particulars to his firm.

Note: Upon registration, institute will issue firm a certificate which states firm’s registration number, that firm is a member firm of institute, name is to be displayed at firm’s premises, surrender upon dissolution or change of name.)

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A member may insert the logo of institute on top of letterhead of his firm whereby: The word “Member firm of Malaysian Institute of Accountants”

shall be inserted under the logo Logo shall either be in full colour or in black and white and in

accordance with MIA guidelines issued from time to time.

Every member shall state his/ her firm’s number immediately after or below the firm’s name, in official letters, accounts, invoices, official notices, publications, bills of exchange, cheque, receipts and other like documents issued by firm.

Note: if firm provide audit services, firm number refers to what was allocated by CCM when firm was first registered. Firm providing other than audit services (public practice services), number as allocated by institute.

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Professional indemnity Insurance (Part II B510)

Every member in public practice should ensure that firm carries and maintain a policy of professional indemnity insurance (purchased from licensed insurance companies).

Minimum coverage of RM100,000.00 upon commencement of public practice.

Proof of coverage needed for purpose of annual renewal of member’s practising certificate.

Where a member carries on practice under more than one firm, have separate policies each.

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Incapacity or Death of Sole Practitioner (Part II B520)

A member who is sole practitioner shall enter into arrangement to enable his practice to continue with minimum disruption in the event of death or incapacity, in either the following ways:

Entering into agreement with another sole practitioner or with a member firm OR

By satisfying the Council that other adequate provision has been made.

Members need to ensure their executors and family member will be aware, of the arrangement made for the management of practice.

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Chapter 1-Mia by-laws on Professional Conduct and Ethics

Documents

power point

professional

part ii b500

c350 professional

laws printed

knowingly

obtain advance

approved company