Tax Services for Community Associations
Specialized Tax Preparation and Compliance
At Griffin Group CPA, we focus exclusively on providing tax services to community associations, including HOAs, condominiums, and mixed-use developments. Our dedicated expertise ensures accurate and compliant tax filings, tailored to the unique needs of your association.
- Federal Tax Return Preparation: We determine the most appropriate tax form for your association, considering factors such as taxable income, allowable deductions, and IRS guidelines.
- State Tax Compliance: Ensuring adherence to state-specific tax requirements for community associations.
- Revenue Ruling 70-604 Guidance: Advising on the adoption and implications of Revenue Ruling 70-604 to potentially defer excess member income.
- Tax Planning and Consultation: Providing strategic advice to minimize tax liabilities and plan for future fiscal responsibilities.
Our Tax Services Include:
Understanding Tax Forms for Associations
Our structured approach ensures a thorough and efficient review:
Most residential community associations file Form 1120-H annually, which typically exempts member assessment income from taxation. In certain circumstances, filing Form 1120 may be more advantageous, though it may subject member assessments to taxation if not properly managed. For associations with federal tax-exempt status under section 501(c), Form 990 or 990-T may be required.
What Constitutes Taxable Income?
For most associations, taxable income includes revenues from non-member sources.
- Interest and investment income
- Rental income from facilities or equipment
- Income from cell tower leases
- Proceeds from the sale of association-owned property Griffin Group Public Accountant
Required Documentation for Tax Preparation
To facilitate accurate and timely tax filings, please provide:
- Year-end financial statements
- General ledger details
- Records of taxable income, including interest and other non-member revenues
- Previous year’s tax returns and any related correspondence
Documentation of estimated tax payments or credits
Ready to Get Started?
Partner with Griffin Group CPA for your community association’s audit needs. Our specialized expertise and commitment to excellence ensure that your financial reporting is in trusted hands.