Prof. R. Soemardjo Tjitrosidojo and four first graduates of the Faculty of Economics, University of Indonesia, Drs. Basuki T. Siddharta, Drs. Hendra Darmawan, Drs. Tan Tong Joe, and Drs. Go Tie Siem, founded the Indonesian Institute of Accountants (now - Institute of Indonesia Chartered Accountants / IAI) on December 23, 1957.

On April 7, 1977, twenty years after IAI was established, Drs. Theodorus M. Tuanakotta formed the Public Accountants Section as a forum for public accountants in Indonesia to carry out public accountant development programs.

In the VII IAI Congress in 1994, IAI members agreed to give autonomy rights to public accountants by changing the Public Accountants Section to the Public Accountants Compartment. This is to respond to developments in the capital market and banks in Indonesia, which require changes in the Financial Accounting Standards and Public Accountants Professional Standards which are equivalent to international standards.

On May 24, 2007 the Indonesian Institute of Certified Public Accountants or Institut Akuntan Publik Indonesia (IAPI) was officially established. This establishment was decided through the Extraordinary General Meeting of IAI - Public Accountants Compartment. This organizational change is intended to meet the requirements of the International Federation of Accountans (IFAC) regarding the profession and ethics of public accountants. At present, IAPI is an associate member of IFAC.

The issuance of Minister of Finance Decree Number 443 / KMK.01 / 2011 concerning the Determination of  IAPI as an Association of Public Accountants Profession authorizes IAPI to carry out Public Accountants Professional Exams, drafting and establishing Professional Standards and Ethics for Public Accountants, and organizing Continuing Professional Development, as well as Reviewing the Quality of Public Accountants’ services.