COA Taxes

Many condo associations find taxes hard to calculate and understand. Let Clark Simson Miller step in to help your condo association prepare tax returns.

Are Condominium Owners Associations (COAs) Required to File Returns?

Much like homeowners associations, condo associations are typically set up as nonprofit corporations. But, this nonprofit status doesn’t automatically equate to tax-exempt status. In the eyes of the Internal Revenue Service, COAs are corporations that must file tax returns, even if no tax is necessarily owed.

Federal and State COA Taxes

Condo associations can file one of two possible federal tax forms:

  • Form 1120. Using this form, all of the condo association’s net income is subject to taxation. It taxes income at a lower rate but is generally more time-consuming and tedious to prepare.
  • Form 1120-H. The IRS created this form to serve community associations. It removes a lot of the prerequisites of Form 1120, making it easier to complete. But, COAs must meet certain requirements to qualify for the use of this form.

As for state tax returns, the requirements and forms can change depending on the state. Furthermore, a select few don’t collect income taxes from corporations at all.

The Benefits of Professional COA Tax Help

Tax time is always a source of stress for condo associations, but it doesn’t have to be that way. With the help of tax professionals like Clark Simson Miller, your COA board can focus on other aspects of your community with assurance that your tax needs are met.


With Clark Simson Miller, your COA can look forward to the following benefits:

  • Compliance with federal and state tax codes
  • Accurately completed forms including all necessary extensions and schedules
  • Filed tax returns on or before the deadline
  • Review of past tax returns and amending them if needed
  • Expert advice on tax information and practices that helps you save money
  • Avoid IRS audits as a result of inaccurate tax returns
  • Easy and convenient approach to tax preparation and filing

Every Condo’s Best Bet

Clark Simson Miller has years of experience providing COA tax preparation assistance. Our tax professionals are fully trained and qualified to prepare your federal and state returns with accuracy and efficiency. Entrust your COA’s tax needs to an established and reliable partner like us.

Call Clark Simson Miller today at 865.315.7505 to learn more or contact us online to request a proposal for help with COA taxes.

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