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By William S. Erlanger, CPA
Levy, Erlanger & Company LLP, CPAs 
(This article was previously printed in The Communicator, Volume 12, Issue 3) 

Not all homeowner associations file the same federal or state income and/or information returns. A homeowner association might be filing its federal income taxes on a Form 1120, Form 1120-H, Form 1120-H as a timeshare, Form 1120-C, Form 990 and/or Form 990-T. If that is not confusing enough, California also has different returns that a homeowner association might be using: Form 100, Form 199, and Form 109. 

California requires that homeowner associations electronically file all returns, while the IRS permits electronic filing, but only for certain returns. Oddly enough, while it requires electronic filing of returns, the state does allow mailing of checks for balance due or estimated taxes. The IRS, however, requires that almost all payments be made electronically.

Since Congress set about to tax corporations back in the...