Obligations of Incorporated Associations

A number of documents must be lodged with the Registrar-General's Office following incorporation. Committees are advised to obtain a copy of the Associations Incorporation Act 1991 (the Act) and the Associations Incorporation Regulations. These may be purchased from :

ACT Government Shopfronts
Phone 132 281

COMMITTEE

A committee must be comprised of at least 3 members of the association (S.60).
Appointments to, or vacancies in, any position on the committee must be notified to the Registrar-General (Form A9) (S.62(1)).
S.63 restricts those who may be appointed. Pecuniary interests of committee members must be disclosed (S.65).

PUBLIC OFFICER

A public officer must be appointed. S.57 requires that person to be an ACT resident of at least 18 years of age.
If the address of the public officer changes, the Registrar-General's Office must be notified within 1 month (S.59).
If the public officer vacates the position, the committee is required to appoint a replacement within 14 days (S.64 (3)).
Under Section 63 (2) of the Associations Incorporation Act 1991 the onus is placed on a person who has been declared bankrupt to not "accept an appointment or act as the public officer or a member of the committee of an incorporated association". To assist incorporated associations ascertain or check whether persons being considered for appointment as 'public officers' of associations, or persons who are already 'public officers' have been declared bankrupt, reference can be made to the National Personal Insolvency Index website. This website is maintained by the Insolvency and Trustee Service Australia, access to which is through a commercial broker for which a fee may be payable. Reference to the site provides instructions.

CHANGE OF NAME

An incorporated association may, by special resolution, resolve to apply to the Registrar-General for approval to adopt a new name (Form RES) (S.38).

If the name is approved, the change will be effective from the date of issue of the certificate of incorporation in the new name. All documents including the common seal of the association should reflect the new name.

ALTERATION OF RULES

Rules may be altered by special resolution. A Form A8 signed by 2 committee members, must be lodged with the Registrar-General's Office within 1 month of the date of the special resolution (S.33).

NB Alterations to the rules are not effective until lodgement of a Form A8.

REGISTER OF MEMBERS

A register of the members must be maintained. The register must be made available for inspection by members at reasonable times, or at such times as are specified in the rules, at an address in the Territory nominated by the committee of the association or other address as provided for at S.72(a).

ACCOUNTS, PRESENTATION OF ACCOUNTS, AUDIT AND ANNUAL RETURNS

An association must keep accounting records so that true and fair accounts may be prepared on an accrual basis to reflect the net worth of the association rather than the cash position (S.71).

Under S.73, at each annual general meeting, the following documents must be presented by the committee for consideration -

the audited statement of accounts for the most recently ended financial year. The statement must not be misleading and must give a true and fair account of the income, expenditure, assets and liabilities of the association;
a copy of the auditor's report to the association in relation to the accounts for that financial year; and
a report, signed by two committee members, stating the name of each member of the committee, the principal activities of the association and the net profit or loss of the association.

The committee must ensure that the audit of accounts is completed at least 14 days prior to the Annual General Meeting (S.74 (1)).

The accounts must be audited by a person who is not an officer, partner, employer, employee or employee of an employee of an officer of the association and who has not prepared or assisted with the preparation of the accounts (S.74 (2)).

If the association -

has gross assets in excess of $150,000;
has gross income in excess of $150,000;
holds a licence issued under the Liquor Act 1975; or
has more than 1,000 members

the auditor must hold one of the following qualifications (Section 74 (3) of the Act & Regulation 12) -

Member, Institute of Chartered Accountants in Australia;
Member, National Institute of Accountants;
Member, Australian Society of Certified Practising Accountants; or
a person registered as an auditor under the Corporations Law;

After presentation of the records to the members and within six months of the end of the association's financial year, two current committee members and the auditor must lodge a Statement (Form AR) and the audited accounts with the Registrar-General (S.79).

The location of the register of members must be published in each annual return.

VOLUNTARY WINDING UP

An incorporated association may, by special resolution, voluntarily wind up (S.88).

Notice of the resolution must declare where assets are to be vested and whether the association holds title to or has any interest in land. The Notice should also specify any liabilities at the time of winding up. Surplus property of the association shall be vested in an association or an approved fund, authority or institution nominated in the rules or one that has been nominated in the special resolution. Where no such association is so nominated, the property is invested in the Registrar-General.

FEES AND PENALTIES

Fees apply to all documents required to be lodged under the Act. Fees are reviewed annually and current fees should be checked on this site prior to lodgement of documents.

Penalties ranging from $100 to $2000 may be incurred for non-compliance with the Act

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