Associations must keep records that correctly record and explain their financial transactions and financial position.
Tier 1 associations (see below for definition) must ensure their financial records are sufficient to enable financial statements to be prepared in accordance with the Australian Accounting Standards.
Where any of the financial records are kept in a language other than English, an English translation must also be kept with the documents.
An association's reporting obligations under the Associations Incorporations Act 2009 (the Act) is based on its status as either a Tier 1 (large) or Tier 2 (small) association.
Tier 1 associations are those whose total revenue as recorded in the income and expenditure statement (i.e. gross receipts) for a financial year is more than $250,000 (excluding GST) or current assets* are more than $500,000.
For more information, visit the Tier 1 association's financial reporting page on the Fair Trading website.
Tier 2 associations are those whose total revenue as recorded in the income and expenditure statement (i.e. gross receipts) for a financial year is $250,000 (excluding GST) or less and current assets* are $500,000 or less.
For more information, visit the Tier 2 association's financial reporting page on the Fair Trading website.
*Current assets refers to assets (other than real property or assets that are capable of depreciation) held by the association as at the end of the association's last financial year. It includes amounts held in financial institutions, stocks and debentures.
The association must hold its annual general meeting (AGM) within 6 months after the end of the association’s financial year.
Before the AGM, the committee must:
At the AGM, the committee must present the financial statements to the AGM, together with the auditor's report for a Tier 1 association. The AGM minutes should include a copy of the financial statements, any auditor's report and a record of any resolution passed in relation to the financial statements or auditor's report.
After the AGM, the committee must:
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