Labor has referred Pauline Hanson's One Nation party to the Australian Electoral Commission over allegations it breached political donation laws.

Former One Nation state treasurer Ian Nelson told the ABC's Four Corners program he warned Senator Hanson that a light plane she used must be disclosed as a political donation.

Mr Nelson said he understood party donor Bill McNee transferred money to buy the Jabiru aircraft to Senator Hanson's chief of staff, James Ashby.

He alleged Mr Ashby — who the plane is registered to — told him to list a separate donation from the donor as anonymous.

"He said, 'Well can't you just put anonymous donor?' And I said, 'No, you can't do that, I'll end up in jail'," Mr Nelson said.

Insurance documents also showed the plane, which bears the party logo and a caricature of Senator Hanson, was listed as being used for business purposes.

Under the Commonwealth Electoral Act 1918, political parties and candidates have to disclose donations of more than $13,200.

The inclusion of false or misleading information may result in a fine of up to $10,000.

Labor senator Murray Watt described the allegations as "very serious" in a letter to Electoral Commissioner Tom Rogers.

"It's very important that all political parties in Australia comply with election laws, especially in relation to donations," Senator Watt said.

"People are rightly concerned to make sure that outside donors aren't buying inappropriate influence."

Special Minister of State Scott Ryan has also spoken to Mr Rogers regarding the plane, but did not formally refer the matter to the AEC.

The referral follows a parliamentary investigation into political donations.

Mr Ashby told the ABC that the AEC could review the party's returns "whenever they see fit".

"The hours flown for party business on board my aircraft have been declared in accordance with the AEC rules," he said.