Question:
Hello there,
I am wanting to determine where the requirement for Homeowners Associations to file a federal income tax return (Form 1020, or 1020-H) is documented. Does the IRS document this requirement?
I read in explanations online provided by several organizations that Homeowners Associations are required to file form 1020 or 1020-H, and that many HOAs think that they are not required to file because the income they receive from homeowner dues is tax exempt. However, these organizations maintain that HOAs are required to file with the IRS. Is this requirement documented? If so, where can I find it?
I reside in Washington State.
Thank you,
– Merlin
Answer:
Homeowners associations are required to file federal tax returns (either Form 1120 or Form 1120-H). Form 1120 is a form designed for corporations, though homeowners associations may also use it. On the other hand, Form 1120-H is a form specifically designed for HOAs and comes with certain benefits only available to HOAs. You can find out more information through the IRS website: https://www.irs.gov/
Disclaimer: We are not lawyers. The information provided on this website does not constitute legal advice.
