Incorporation gives an association a legal identity and official status in return for accepting certain responsibilities. An incorporated association becomes a legally separate entity with the same powers as an individual. It can own property, sign leases, enter into contracts, and appear in court.
Incorporation is suitable for not-for-profit, voluntary, and community-based organisations. It allows the association to continue operating regardless of membership changes, apply for government grants, and accept gifts or donations, including automatic approval to solicit donations in Tasmania.
An association and its members are legally separate entites. Members are therefore generally provided protection from personal liability for the actions or debts of the association, provided members act in good faith and with due diligence.