Changes to laws affecting incorporated associations in Western Australia

Background

Incorporated associations in Western Australia must comply with the provisions of the Associations Incorporation Act 1987 (WA) (Act). The Department of Commerce has indicated that a review of the Act is almost complete and a Bill, that will make a number of changes to how associations are regulated, will shortly be introduced into parliament. This briefing paper identifies the key areas of change and how the reforms will affect associations.

Financial reporting

The Bill will introduce new revenue-based financial reporting requirements:

• Tier 1 associations (revenue of less than $250,000) can elect to prepare basic financial statements with no independent review or audit;