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CHAPTER 61:05
ACCOUNTANTS

ARRANGEMENT OF SECTIONS

    SECTION

 

PART I
Preliminary

    1.    Short title

    2.    Interpretation

 

PART II
Establishment and functions of the Botswana Institute of Chartered Accountants

    3.    Continuation of establishment of Institute

    4.    Seal of Institute

    5.    Objectives of Institute

    6.    General functions and powers of Institute

 

PART III
Administration of the Institute

    7.    Council of Institute

    8.    Institute to elect members of Council

    9.    Powers of Council

    10.    Tenure of office

    11.    Minister's power to appoint members required to be elected

    12.    Disqualification, removal and resignation

    13.    Filling of vacancies

    14.    Co-opted member

    15.    President and Vice-President of Institute, and Audit Committee Chairperson

    16.    Reports to Minister

    17.    Remuneration and allowance

 

PART IV
Meetings and Proceedings of the Council

    18.    Meetings of Council

    19.    Committees of Council

    20.    Meetings of committees of Council

    21.    Disclosure of interest

    22.    Confidentiality

 

PART V
General Meetings of the Institute

    23.    General meeting

    24.    Special general meeting

    25.    Convening and procedure of meetings

 

PART VI
Chief Executive and other staff of the Council

    26.    Chief Executive

    27.    Appointment of staff of Institute

 

PART VII
Membership and Registration by the Institute

    28.    Classes of membership

    29.    Register

    30.    Registration of certified professional accountant or chartered accountant

    31.    [Repealed.]

    32.    Refusal to register a certified professional accountant or chartered accountant or certified auditor

    33.    Registration of member firm

    34.    Change of particulars

    35.    Certificate of registration

    36.    Renewal of registration

    37.    Cancellation or suspension of registration

    38.    Restoration of name to register

    39.    Registered students

    40.    Register to be prima facie evidence

    41.    Offences in connection with registration

 

PART VIII
Disciplinary and other Inquiries

    42.    Appointment of Disciplinary Committee

    43.    Disciplinary powers of Committee

    44.    Disregard of summons, etc.

    45.    Powers of Committee at Inquiry

    46.    Unfit to practise

    47.    Independent Accounting Appeals Committee

    47A.    Secretary of Appeals Committee

    47B.    Co-option of experts

    47C.    Proceedings of Appeals Committee

    48.    Appeal against decision of Disciplinary Committee

    49.    Appeal against decision of Appeals Committee

    50.    Publication of outcome of proceedings

 

PART IX
Financial Provisions

    51.    Revenues of Institute

    52.    Financial year

    53.    Accounts and audit

    54.    Annual report

 

PART X
Miscellaneous Provisions

    55.    Indemnity

    56.    Offences and penalties

    57.    Regulations

    58.    Repeal of Cap. 61:05

    59.    Savings

    60.    [Repealed.]

        SCHEDULE

Act 16, 1988,
G.N. 103, 1990,
Act 12, 2010,
S.I. 21, 2011,
Act 8 of 2020,
S.I. 110, 2021.

An Act to regulate and provide for the development of the accounting profession; to continue the establishment of the Botswana Institute of Accountants under the new name of the Botswana Institute of Chartered Accountants; to provide for the registration of the accounting and auditing profession; and for matters incidental thereto.

[Date of Commencement: 1st April, 2011.]

PART I
Preliminary
(ss 1-2)

1.    Short title

    This Act may be cited as the Accountants Act.

2.    Interpretation

    In this Act, unless the context otherwise requires—

    "accountant" means a person that performs or holds himself or herself out to perform professional accountancy services or other accountancy services for a salary or fee;

[8 of 2020, s. 3(a).]

    "accounting technician" means a person who is not a chartered accountant or a certified professional accountant but satisfies the Institute’s membership requirements as provided for in the Rules of the Institute;

[8 of 2020, s. 3(c).]

    "annual report" means the document that an entity issues on an annual basis of its affairs, including its financial statements together with the audit report thereon, and the report from its Board of Directors;

    "Appeals Committee" means the Independent Accounting Appeals Committee established under section 47(1) of the Act;

[8 of 2020, s. 3(c).]

    "audit" means an examination of the financial statements of an organisation to form an opinion on whether the—

    (a)    information presented in the financial statements, taken as a whole, reflect the true and fair financial position of the organisation including its assets and liabilities at a given date and its profits and losses for the given period; and

    (b)    the financial statements are prepared in accordance with the applicable financial reporting standards;

    "auditor" means a certified auditor, whether independently or as a partner of an audit firm or an employee of the Government that provides audit services to a private or public entity;

    "audit firm" ...;

[8 of 2020, s. 3(b).]

    "auditing standards" means the auditing standards issued under the Financial Reporting Act (Cap. 46:10);

    "Authority" means the Botswana Accounting Oversight Authority established under the Financial Reporting Act;

    "Botswana Chartered Accountancy Qualification" means the professional accountancy qualification established by the Institute under section 6, a holder of which shall have successfully completed the professional accountancy qualification examination conducted or arranged for conduct by the Institute.

[8 of 2020, s. 3(c).]

    "Botswana Professional Accountancy Qualification" ...;

[8 of 2020, s. 3(b).]

    "branch of accountancy profession"

    (a)    means an assemblage of the accountancy profession distinguishable by the nature of its professional activities and specialisation and accredited by the Authority as a branch of the accountancy profession under the Financial Reporting Act; and

    (b)    includes any of the following assemblages of the accountancy profession as may be accredited by the Authority to be a branch of the accountancy profession—

        (i)    audit and assurance services,

        (ii)    management accounting,

        (iii)    public sector accounting,

        (iv)    internal audit, and

        (v)    any other assemblage of the accountancy profession as the Council may by resolution determine;

    "certified auditor" means the certified professional accountant or chartered accountant registered as an auditor in accordance with section 31;

    "certified professional accountant" means a member of the Institute who is not a chartered accountant but who is a member of an IFAC recognised accountancy body and satisfies any Institute requirements;

[8 of 2020, s. 3(c).]

    "chartered accountant" means a member of the Institute who has attained membership by virtue of possessing the Botswana Chartered Accountancy Qualification or through transitional arrangements with, the former Botswana Institute of Accountants;

[8 of 2020, s. 3(c).]

    "Code of Conduct and Ethics" means the Code of Professional Conduct and Ethics for Certified Professional Accountant or Chartered Acccountant referred to in section 6(1)(d);

    "continuous professional development" means relevant career enhancement training where, in order for a member to be in good standing he or she must acquire the minimum number of verifiable and non-verifiable hours in a year, as provided for in the rules of the Institute;

[8 of 2020, s. 3(c).]

    "entity" means any person or body of persons, whether incorporated or unincorporated;

    "IFAC" means the International Federation of Accountants or its successor body;

    "immediate family", for the purposes of this Act, means a spouse, minor children, father and mother;

    "independence" means independence of mind, independence in appearance, or both;

    "independence of appearance" means the avoidance of facts and circumstances that are so significant that a reasonable and informed third party, having knowledge of all relevant information, including any safeguards applied, will reasonably conclude that the integrity, objectivity or professional scepticism of a firm or a member of the audit team had been compromised;

    "independence of mind" means the state of mind that permits the provision of an opinion without being affected by influences that compromise professional judgment, allowing an individual to act with integrity, and exercise objectivity and professional scepticism;

    "Institute" means the professional accountancy body known as the Botswana Institute of Chartered Accountants established under section 3;

    "material irregularity" means an irregularity that, by itself, or in combination with other irregularities, results in a mis-statement of the financial statements of an entity, or in its financial statements not fairly presenting the operations and financial condition of the entity and that, if properly presented would affect a financial or investment decision of the user;

    "member" means a person registered as a Member of the Institute in accordance with section 28, and includes a certified professional accountant or chartered accountant or certified auditor registered under section 30 and 31;

    "member firm" means a body corporate, a partnership or an individual which or who provides professional accountancy services or other accountancy services and is registered in accordance with section 33;

[8 of 2020, s. 3(a).]

    "member in good standing" means a member appearing in the Register of Members of the Institute and who is compliant with continuous professional development requirements and whose fees due to the Institute are fully paid up;

[8 of 2020, s. 3(c).]

"other accountancy services" means services provided by accounting technicians.

[8 of 2020, s. 3(c).]

    "President" means the person elected to be the President of the Institute under section 15;

    "professional accountant" ...;

[8 of 2020, s. 3(b).]

    "professional accountancy services" means services provided by a certified professional accountant or a chartered accountant;

[8 of 2020, s. 3(a).]

    "repealed Act" means the Accountants Act repealed under section 58.

PART II
Establishment and functions of the Botswana Institute of Chartered Accountants
(ss 3-6)

3.    Continuation of establishment of Institute

    (1) The Institute known as the Botswana Institute of Accountants, established under the repealed Act is hereby continued under the new name of the Botswana Institute of Chartered Accountants.

    (2) The Institute shall be a body corporate with perpetual succession and a common seal, capable of suing and being sued in its own name and, subject to the provisions of this Act, of performing such acts as bodies corporate may by law perform.

    (3) All rights, obligations, assets and liabilities which have accrued to the Institute in terms of the repealed Act shall, upon this Act coming into force, simultaneously pass and accrue to the Institute and be dealt with in terms of this Act.

4.    Seal of Institute

    (1) The seal of the Institute shall be such device as may be determined by the Institute and shall be kept by the Chief Executive.

    (2) The affixing of the seal shall be authenticated by the President or Vice-President and the Chief Executive or any other person authorised in that behalf by a resolution of the Council.

    (3) Any contract or instrument which, if entered into or executed by a person not being a body corporate would not be required to be under seal, may be entered into or executed without seal on behalf of the Council by the President or any other person generally or specifically authorised by the Council in that behalf.

5.    Objectives of Institute

    The principal objectives of the Institute shall be to—

    (a)    establish the Botswana Professional Accountancy Qualification;

    (b)    provide registration of accountants in all branches of the accountancy profession accredited by the Authority under the Financial Reporting Act (Cap. 46:10);

    (c)    promote high quality accounting, auditing and financial reporting standards and practices, in line with internationally accepted standards;

    (d)    promote the development of the accounting profession;

    (e)    supervise the accountancy profession in the public interest;

    (f)    promote the highest standards of professional ethics and business conduct of, and enhance the quality of services offered by certified professional accountant or chartered accountant;

    (g)    protect the public by ensuring the highest standards of professional accountancy services;

    (h)    ensure the professional independence of accountants;

    (i)    determine the eligibility criteria to become a member of the Institute;

    (j)    arrange for the assessment of candidates seeking certification as members;

    (k)    promote, maintain and increase the knowledge, skills and competence of members of the Institute and students;

    (l)    ensure that members obtain the necessary technical and ethical guidance that enables them to meet the needs of the community in areas in which they have special knowledge and expertise;

    (m)    maintain and monitor high quality practical training at all levels of the profession;

    (n)    seek public recognition of a broad range of skilled services that certified professional accountant or chartered accountant and accounting technicians can provide;

    (o)    promote and protect the objectives and sustainability of the Institute and of the accounting profession;

    (p)    maintain the legitimate professional rights of its members;

    (q)    advance the theory and practise of accountancy in all aspects;

    (r)    develop and maintain effective working relationships with Government and with other national, regional and international accountancy bodies;

    (s)    contribute to the international developments of accounting and auditing standards;

    (t)    keep abreast of and disseminate to its members international developments affecting the accounting profession; and

    (u)    protect the interests of its members.

6.    General functions and powers of Institute

    (1) Subject to the provisions of this Act, the Institute shall carry out the following functions—

    (a)    establish, develop and implement the Botswana Chartered Accountancy Qualification in accordance with such requirements and conditions as the Institute shall determine under its rules, with the approval of the Minister;

[8 of 2020, s. 4(a).]

    (b)    establish branches of the accountancy profession accredited by the Authority under the Financial Reporting Act (Cap. 46:10);

    (c)    provide registration of accountants in all branches of the accountancy profession established, including—

        (i)    ...,

[8 of 2020, s. 4(b)(i).]

        (ii)    management accounting,

        (iii)    public sector accounting,

        (iv)    internal audit, and

        (v)    any other branch as the Council may determine;

    (d)    establish, publish and review a Code of Professional Conduct and Ethics for Certified Professional Accountant or Chartered Accountant, which shall be consistent with and contain all the principles on the subject issued by the International Federation of Accountants, or its successors;

    (e)    keep and maintain—

        (i)    a Register of Certified Professional Accountant or Chartered Accountant,

        (ii)    ...,

[8 of 2020, s. 4(b)(ii).]

        (iii)    a Register of Member Firms, and

        (iv)    such other registers as the Institute may deem necessary for the purposes of this Act;

    (f)    lay down the requirements for different classes of its membership;

    (g)    consider any application for registration made under this Act for different classes of its membership;

    (h)    register as members of the Institute persons who qualify to be certified professional accountant or chartered accountant, member firms or such other class of membership as the Institute may establish in its rules;

[8 of 2020, s. 4(b)(iii).]

    (i)    conduct or arrange for the conduct of such examinations as it deems necessary, including a Botswana Professional Qualification Examination, with focus on an adequate level of practical training, for the purposes of registering certified professional accountant or chartered accountant;

    (j)    determine practical training requirements for the purpose of granting full membership;

    (k)    conduct, or arrange for the conduct of training programmes for members of the profession;

    (l)    oversee, monitor and supervise the qualifications, and selection of mentors of practical training programmes;

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