"We can now resume fundraising activities to provide support for veterans and their families in the Yass Valley," Yass RSL Sub-Branch honorary secretary John Heggart said.

Fundraising activities such as sausage sizzles, cake stalls, meat raffles, trivia nights and auctions were voluntarily suspended by RSL NSW in August 2017.

The ban was imposed following the Bergin Inquiry into concerns that publicly raised money was being misused by some leading members of NSW RSL and affected all 350 NSW sub-branches.

"Let me assure you that the Yass RSL Sub-Branch has always done the right thing when it comes to fundraising," Mr Heggart said.

"[But] the restriction on our fundraising has meant we have not been able to collect much-needed funds in the usual ways."

The ban was put in place to protect volunteers who could have faced penalties to do with RSL NSW' compliance failures.

RSL NSW said it had alerted members to compliance issues and was providing them with guidance to better manage fundraising at a local level.

RSL sub-branches can begin fundraising again as soon as they've been given the go-ahead from NSW Fair Trading.

Mr Heggart said the Yass RSL Sub-Branch was in the process of applying to Fair Trading.

RSL NSW said it hopes lifting the ban will restore community trust in the veterans charity.