ICAI Extends Time for Transfer of Deceased Proprietor’s Goodwill to Three Years.

ICAI has announced an increase in the permitted time for transferring the goodwill of a proprietary CA firm following the death of a member—from one year to three years. The measure provides substantially more time to the legal representative or eligible successor to preserve and transfer the professional goodwill of the practice.

Key takeaways: Legal heirs and successor members should document the proprietary practice, client transition, firm name, professional liabilities and goodwill arrangement. The detailed ICAI conditions should be reviewed before executing any transfer. CA Sansaar