Understanding Section 36 of the Co-operatives Act [Chapter 24:05]

Every registered cooperative in Zimbabwe is legally required to submit annual returns to the Registrar of Co-operatives. This article explains the requirements under Section 36 of the Co-operatives Act and provides practical steps to help your co-op comply, avoid penalties, and remain in good standing.

📜 What the Law Says – Section 36 in Brief

Section 36(1):
Every registered society shall submit to the Registrar, not later than six months after the close of its financial year, an annual report on its activities during the year, together with two certified true copies of the audited financial statements and the audit report for that year.

This means that if your financial year ends on December 31, your co-op must submit all required documents by June 30 of the following year.

✅ What Your Co-op Must Submit

1. Annual Report
   A narrative document outlining:

   • Major activities, achievements, and challenges

   • Membership growth and participation

   • Leadership changes, if any

   • Community impact

   • Key plans for the next year

2. Audited Financial Statements

   • Balance Sheet (Statement of Financial Position)

   • Income & Expenditure Statement (Profit & Loss)

   • Cash Flow Statement

   • Notes to the Financial Statements

3. Audit Report

   • Prepared and signed by a registered Public Auditor or Cooperative Auditor

   • Must give an opinion on the fairness and compliance of the financial statements

4. Two Certified True Copies

   • These should be stamped and signed as true copies of the originals by the auditor or a board member.

🕰️ Deadlines

Your co-op must submit these documents within six months of the end of its financial year.

Failure to submit may lead to penalties, suspension, or deregistration.

👥 Hold Your AGM (Annual General Meeting)

Before submission to the Registrar, your co-op must hold an Annual General Meeting (AGM) where:

• The audited financials are presented and adopted

• The annual report is approved by members

• Elections (if due) are held

• Key resolutions are recorded in the minutes

Make sure to:

• Notify members of the AGM in advance

• Keep signed attendance registers

• Record detailed minutes

🧑‍💼 Who Can Audit Your Co-op?

Your auditor must be:

• A Registered Public Auditor with the Public Accountants and Auditors Board (PAAB)

• OR a Certified Cooperative Auditor approved by the Ministry responsible for cooperatives