Mo Money, Mo Problems? No Biggie for a Homeowner’s Association, Right? (NC)

Almost all community associations in North Carolina are formed as non-profit corporations, which are taxed as corporations. This means community associations should file an IRS Form 1120 (“U.S. Corporate Income Tax Return”) at the federal level. However, a community association may elect to be taxed as a “homeowners association” under Section 528 of the Internal Revenue Code of 1986, as amended (“Code”), and file a Form 1120-H (“U.S. Income Tax Return for Homeowners Associations”).     Read the article……………………………

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