Changes to the Associations Incorporation Act

What is the purpose of the amendments to the Associations Incorporation Act?

The amendments implement recommendations from a statutory review tabled in Parliament in March 2023. They aim to modernise the Act, reduce compliance burdens, and improve member engagement and governance.

Why is the name of the Act still the Associations Incorporation Act 2015?

The amendments were made to the existing legislation rather than replacing it. It is standard practice to retain the original name when updating laws.

Who do the changes apply to?

All WA incorporated associations registered under the Associations Incorporation Act 2015.

Do incorporated associations need to take any immediate action?

Yes, incorporated associations that have drafted their own rules (not the model rules) should review them to ensure compliance with new requirements, especially the new Schedule 1 item 6A, which requires specifying which role or member is responsible for ensuring the incorporated association’s compliance with reporting obligations.

Which provisions are in effect now and which are delayed?

Most provisions commenced on 23 August 2025. 

However, provisions relating to name reservation and member register access (clauses 5, 12–14, 26) will commence later by proclamation. See changes pending commencement section below for further details.

Why aren’t all the provisions in effect?

Some of the changes require supporting regulations and administrative processes. These will be finalised before the remaining provisions commence.

What are the most significant changes to the Association Act?

Key changes include:

• Allowing associations to reserve a name for up to three months.
• Default permission for electronic attendance and voting at meetings.
• Restricting access to personal information in the member register in prescribed circumstances.
• Allowing fixed-term auditor appointments (2–5 years).
• Providing expelled members with appeal rights to the State Administrative Tribunal.
• Empowering the Commissioner to cancel incorporation without waiting 12 months if an association is inactive or if it is in the public interest.
• Providing access to small business restructuring under the Corporations Act 2001 (Cth)

Do the changes require amendments to the incorporated association’s rules?

Yes. Schedule 1 has been expanded to include item 6A which requires incorporated associations to set out who is responsible for ensuring compliance with reporting obligations in their rules. 

Changes to rules may be required if associations wish to opt into the following legislative changes:

• appoint an auditor or reviewer for a fixed term; or
• opt out of electronic meetings.

Why was the Schedule 1 changed?

To address the high rate of non-compliance with annual reporting obligations. 

Have the reporting obligations changed?

No. Incorporated associations must still:

• Lodge an annual information statement within six months of their financial year ending.
• Notify Consumer Protection of changes to contact details within 28 days.
• Lodge special resolutions to alter the rules within one month.

Can associations include additional governance requirements in their rules?

Yes. New section 23A confirms that incorporated associations can include additional requirements in their rules, provided they do not conflict with the Act. 

What is an example of valid additional rules?

Small associations that are not required to have accounts audited or reviewed under the Act’s Tier 1 reporting requirements can have rules requiring audited financial statements even though the Act does not mandate it.

What is an example of an invalid additional rule?

Invalid or inconsistent rules might include rules that:

• allow for the distribution of income or property to members;  
• deny members access to the member register; or
• require the AGM to be held within four months of the financial year end (instead of six).

Why has the list of eligible recipients for surplus property been expanded?

Consultation determined that the following not-for-profit entities could be considered appropriate beneficiaries:

• associations incorporated in other states and territories;
• Aboriginal and Torres Strait Islander Corporations;
• religious organisations incorporated by or under a written law; and
• entities endorsed as deductable gift recipients.

What do the new provisions for electronic meetings mean?

Electronic attendance and voting at meetings is now the default.

Associations only need to change their rules if they want to opt out of this and require in-person meetings.

What does ‘instantaneous communication’ mean for holding meetings electronically?

It refers to any real-time audio or audio-visual method that allows members to participate and vote on during meetings. For example, by telephone or video conference.

What’s changed about appointing auditors or reviewers?

Auditors or reviewers were previously appointed.  Associations can now appoint auditors or reviewers for a fixed term of between two and five years.

Do I need to amend the rules to appoint for a fixed term?

Yes. The fixed term must be clearly stated in the rules.

Can an auditor be removed before the end of their fixed term?

Only in specific circumstances such as resignation, insolvency, or by resolution at a general meeting.

Have our reporting obligations changed?

No. Associations must continue to:

• provide financial statements to members at their AGM;
• include copies of the reviewer or auditors reports if applicable;
• lodge an annual information statement with Consumer Protection; and
• notify Consumer Protection of changes to address and rule amendments.

What is small business restructuring and how does it apply to associations?

Incorporated associations with liabilities under $1 million can now access restructuring under the Corporations Act. This allows them to work with a restructuring practitioner to develop a plan and avoid liquidation.

What’s the difference between restructuring and voluntary winding up?

Restructuring aims to help viable incorporated associations recover from financial distress and continue operating. Winding up is the process of closing an association and distributing its assets.

What’s the difference between involuntary cancellation and voluntary winding up?

Voluntary winding up is initiated by members via special resolution. Involuntary cancellation is initiated by the Commissioner for Consumer Protection for various grounds such as inactivity, lack of membership, ineligibility for incorporation or public interest concerns.

What has changed about the grounds upon which an associations incorporation can be involuntarily cancelled?

The existing grounds have been expanded to include:

• Public interest concerns.
• Where an association has not been operating.

The 12 month period of in-operation has been removed, allowing an order to be made to cancel an association’s incorporation without having to wait for a year of dormancy.

What is the process for involuntary cancellation?

An incorporated association may be issued a show cause notice if the Commissioner for Consumer Protection is satisfied that one or more grounds to act apply. 

If no response or cause against proceeding is received, a notice of proposed cancellation is issued. If the proposal to cancel is not appealed in the SAT within 28 days, a final cancellation order is made.

Why has the inclusion of additional member information in the register been allowed?

Some incorporated associations wish to include additional information within their member register, such as class of membership or contact details for a guardian if the members are minors.

With this amendment, incorporated associations may include extra details, provided that the minimum requirements (members name and one form of address: either residential, postal or email) are met.

The rules should explain what additional information, if any, is to be kept in the register.

Why do other members have access to the register?

The Act gives members the right to inspect the register of members and make a copy of any part of its contents to support democratic participation.

Has a time limit been imposed in relation to inspection of a member register?

Yes. Associations must provide access within 30 days or earlier if a shorter period is stated in the rules.

Can members restrict access to their personal information in the members register?

Yes, if a prescribed circumstance applies. The secretary must approve the member’s request to restrict access if those circumstances exist. These prescribed circumstances will be provided for in the amended regulations. 

What are the prescribed circumstances?

These are still being developed and will be set out in the regulations. They may include:

• Where an individual has been granted a family violence or personal safety orders.
• Their name is withheld from the electoral roll.
• The member is a child.

What happens if a member’s contact details are restricted?

Only the secretary and the Commissioner for Consumer Protection is entitled to access the information.

Upon request by a restricted member, the secretary must pass on relevant information to the protected member within 14 days of a request, ensuring they can still participate in the incorporated association’s activities.

Can I start applying the changed membership provisions now?

No. These provisions will only apply once the regulations are updated. Until then you must continue to follow the current requirements.

Can a former member challenge their expulsion?

Yes. Expelled members can now apply to the State Administrative Tribunal for review within six months of expulsion.

What is name reservation and why is it useful?

Associations can reserve a name for up to three months when incorporating or changing their name. This ensures the name remains available during the application process.

How much is the fee for a name reservation?

The fee will be set by regulation and will be consistent with fees charged for similar functions. 

On what basis may a name reservation be refused?

A name reservation may be refused if:

• the application is made for an improper purpose; or
• the proposed name is offensive, misleading, the same or similar to another incorporated association/business/body corporate; or
• other prescribed reason.

What might be considered an improper purpose?

Making applications to reserve multiple names because they have not actually reached a decision about what name to use; or ‘reserving’ a name to prevent another group from using it are examples of improper purposes.