Talk:Liquidation and removal from the register

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Resolving to put SCANZ into liquidation (recommended section)

Part 5 of the Incorporated Societies Act 2022 sets out the procedures for liquidations.

It is useful to outline how your society would go about resolving to put it into liquidation.

Resolving to apply for removal from the register (recommended section)

Part 5 of the Incorporated Societies Act 2022 sets out the procedures for removing a society from the Register of Incorporated Societies.

It is useful to outline how your society would go about resolving to be removed from the register for example, if it has ceased to operate.

Surplus assets (mandatory section)

Under the Act a society must include a rule that describes how property will be disposed of if it goes into liquidation. It is important to note that the Act stipulates that “the surplus assets of the society after the payment of all costs, debts, and liabilities are disposed of to 1 or more not-for-profit entities,” which means that there can be no benefit to society members.

Societies must nominate 1 or more not-for-profit entities to which the society’s surplus assets may be distributed if it is liquidated or removed from the register. Instead of naming specific entities your society may nominate a class or description of not-for-profit entity.

The committee and society members must consider the purposes of the society when proposing a resolution to distribute surplus assets of the society. A society which is registered as a charity should therefore consider including a rule that specifies that the entity to which a distribution is made must also be a charity.