1. Accounting requirements
Unlike incorporated associations legislation in most other Australian states, there is no requirement in Western Australia for associations to lodge accounts and financial statements on a regular basis. The Commissioner for Consumer Protection can require accounts to be lodged in individual cases, but this is only done in extraordinary circumstances.
There are only two things incorporated associations must do to comply with the accounting requirements of the Act:
- keep true and accurate accounting records that explain the financial transactions and the financial position of the association in a manner that can be conveniently and properly audited; and
- submit accounts at each AGM, showing the financial position of the association at the end of the immediately preceding financial year.
Taxation and industrial legislation may also require financial records to be kept. In addition to these legal obligations, an association's management committee would usually need clear, accurate and up-to-date financial information to ensure the association is viable and operating efficiently.