The combined trust account (CTA) is a statutory pooled account maintained at the head office of each approved bank. Section 53 of the Legal Practitioners Act
1981 (Act) provides that twice each year, within 14 days after 31 May and 30 November money must be deposited from each law practice’s general trust account into the CTA.
The amount of the required deposit is calculated by means of a formula provided in the Act. Members can use the Law Society Combined Trust Account Calculator to assist in calculating the required deposit by clicking on the button below.
A deposit is not required if the lowest aggregate balance during the calculation period is less than $10,000; or if it is known that the funds will be required to meet an immediate claim, or maintain a reasonable balance.
If the required deposit amount is to be withheld, a written notice of withholding must be submitted to the Society by 14 June or 14 December. The notice of withholding must be submitted online by clicking
on the button below.
If the law practice fails to make the required deposit by the due date, or fails to provide a written notice of withholding it may be liable to pay interest on the outstanding amount, calculated at the prescribed rate for the period of default.
For further information, please refer to section 53 of the Act and the Society’s trust account handbook.
CTA Calculator (Members Only) Notice of Withholding