Sections 27 and 28 explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
Section 27 deals with a chartered accountant in practice, or a firm, that has more than one office in India: each office must be in the separate charge of a member of the Institute, and a list of offices must go to the Council. Section 28 says who can start a prosecution under the Act. This article follows the text as per the Act as printed in the ICAI edition of 2022 (amended up to the Chartered Accountants, the Cost and Works Accountants and the Company Secretaries (Amendment) Act, 2022).
Where a chartered accountant in practice or a firm has more than one office in India, each office shall be in the separate charge of a member of the Institute, unless the Council exempts the practice in a suitable case. The practice must send the Council a list of its offices and the persons in charge, and keep the Council informed of changes. Under section 28, no person may be prosecuted under the Act except on a complaint made by or under the order of the Council or of the Central Government.
Who these sections affect
Section 27 matters to any practising member or firm that works from more than one place, including a partner who opens a second city office or a firm with a branch in a smaller town. It is also a practical check for clients and for firms planning a merger or an expansion. Section 28 matters to every person who may face a prosecution under the Act, including those covered by sections 24, 24A, 25 and 26.
If you are planning a branch or restructuring partners across offices, our partnership firm registration service and our guides can help you line up the firm's documents with the Act's requirements.
Section 27(1): each office under a member
Section 27(1) applies where a "chartered accountant in practice or a firm of such chartered accountants has more than one office in India". In that case, "each one of such offices shall be in the separate charge of a member of the Institute".
Four points of reading:
- "More than one office in India". The test is the number of offices, not the number of partners. A sole practitioner with two offices is within the sub-section.
- "Separate charge". Each office needs its own person in charge. The text does not say what "charge" involves day to day.
- "A member of the Institute". The person in charge must be a member. The sub-section does not say that he must hold a certificate of practice or be a partner; it says "member".
- The words "chartered accountant in practice or a firm of such chartered accountants". These were substituted in 1959 for "chartered accountant or a firm of chartered accountants". Our article on when a member is deemed to be in practice explains who is in practice.
The proviso
The Council may, in suitable cases, exempt any chartered accountant in practice or a firm from the operation of the sub-section. "Suitable cases" is not defined. The edition's footnote points to Council resolutions printed in Appendix No. (16); the Appendix is a compilation printed by ICAI beside the Act and is not part of the Act, so this article does not state its contents.
Section 27(2): the list of offices
Every chartered accountant in practice, or firm, maintaining more than one office shall:
- send to the Council a list of offices and the persons in charge thereof; and
- keep the Council informed of any changes in relation to it.
The sub-section says nothing about the form of the list, a time limit for sending it or a fee. If any such detail exists, it sits in the regulations, which are not part of the Act. A practice should therefore read the current regulations or write to the Institute before relying on a supposed deadline.
| Requirement | Section | Who it binds |
|---|---|---|
| Each office in separate charge of a member | 27(1) | CA in practice or firm with more than one office in India |
| Council may exempt in suitable cases | 27(1) proviso | The Council decides |
| Send list of offices and persons in charge | 27(2) | CA in practice or firm maintaining more than one office |
| Keep Council informed of changes | 27(2) | Same |
How section 27 meets other rules
Section 27 does not stand alone. A firm of members is also bound by the disciplinary Schedules; Part I of the First Schedule contains items on signing and partnerships, explained in our articles on the First Schedule items (1) to (4) and items (9) and (12).
Chapter IVA, on registration of firms with the Institute (sections 20A to 20D), is enacted by the 2022 Act but is not yet in force, as explained in our article on sections 20A to 20D. That chapter does not replace section 27, which is in force as printed. Where a firm is also a partnership under the general law, the Partnership Act has its own provision on branches; our note on sections 60 and 61 of the Indian Partnership Act, 1932 covers that.
Section 28: sanction to prosecute
The whole section reads: no person shall be prosecuted under this Act except on a complaint made by or under the order of the Council or of the Central Government.
Two practical effects follow.
- A private person cannot start a prosecution under the Act by lodging his own complaint. The complaint has to come from the Council or the Central Government, or be made under their order.
- The sanction is a gate, not a verdict. It allows a prosecution to start. It does not say the person is guilty.
Section 28 governs prosecutions, meaning offences such as those in sections 24, 24A, 25 and 26. Disciplinary proceedings under Chapter V follow their own route through the Director (Discipline); see our article on section 21.
A worked example
CA Priya Menon runs a practice in one city and opens a second office in another. Section 27(1) requires the new office to be in the separate charge of a member, and section 27(2) requires her to send the Council a list of both offices and the persons in charge, and to tell the Council of any later change of the person in charge. If the second office cannot be put under a member's charge, she should ask whether the Council's power to exempt in suitable cases applies, rather than assume it does.
Commencement note
Sections 27 and 28 are in force as printed; the 2022 Amendment Act did not change their text. Later amendments and notifications should be checked.
Need help with a firm that has several offices?
A new branch changes the paperwork of a practice. Our partnership firm registration team can help you align the partnership documents with the structure you plan to run under section 27.
Key takeaways
- More than one office in India means each office needs a separate member in charge.
- The Council may exempt in suitable cases; the Act does not define "suitable".
- A list of offices and persons in charge goes to the Council, with changes reported.
- No prosecution under the Act without a complaint by or under the order of the Council or the Central Government.
Read next
- Section 26: unqualified persons not to sign documents
- Sections 20A–20D: registration and register of firms
- Section 6: certificate of practice
- Cost Accountants Act, 1959: sections 28 and 29
Disclaimer: Based on the Chartered Accountants Act, 1949 as printed in the ICAI edition of 2022 (amended up to Act 12 of 2022), read with S.O. 2184(E) dated 10 May 2022, which brought only part of the 2022 amendments into force, as consulted on 3 October 2026. Regulations, rules, Council guidelines, later amendments and commencement notifications should be checked. This article is general information, not legal advice; check the official text before acting.