Recent content by zephyrus

My point is that no questions on the 1024a are even remotely indicative of the above discussion, so there would be no reason for the overworked examiner to ask for more information.

So you are saying that there can be no benefit to association members? This doesn't seem to be the way it is described in 557. If association members and non-members both receive benefit, which would be the case, I don't see that as being prohibited.

Have there been any court cases that support this view? As a practical matter, we could offer well testing to a few non-members, which would make this a non-issue. AFAIK, the only information that the IRS has, when deciding whether to grant tax-exempt 501(c)(4) status comes from the 1024a form...

We do not test all wells but the ones we pay for are all members of the HOA. Non-members sometimes test their own wells. I believe that a good argument can be made that testing member's wells benefits non-members as well. We also organize wild fire and flood mitigation for both members and...

Our community (HOA members and non-members) is not in a city or town, but rather isolated in a rural setting. We get water from wells and an HOA member's well has bearing on and is influence by a non-member well, so all members of the community benefit from water testing as well as the other...

I think you misunderstood my question, but I don't understand how water testing can be construed not benefiting "all the members of the community".

"whole community " includes non association members.

Can you give an example of something that we might do that makes us "set up to only benefit the members of the association"? All of the examples people listed above do not apply. I am not set on a 501(c)(4) but it appears that there is no alternative (see above).

If, in fact, we are not a 501(c)(4), given the restrictions (see above) for filing under 1120-H (i.e. we do not appear to qualify), how do we file?

We have no common green areas and sidewalks , provide no services and are not gated. We do not engage in exterior maintenance of private homes. All streets are public access. All money is spent only on items like water quality testing that only benefits the whole community. It's hard for me to...

I have no doubt that many do. The question is: must all?

Form 1120-H appears to be aimed at the more traditional HOA that has at least some taxable income, which we do not. The instructions spell out 3 specific types of applicable associations: a condominium management association, a residential real estate management association and a timeshare...

Publication 557 (p. 47) describes examples of a 501 (c)(4) organization. One example is a homeowner's associations such as ours and we appear to satisfy all the requirements that they list.

What is the name of your state? Nevada. We have a voluntary HOA where there is no income other than voluntary dues and that there is no common property owned and/or maintained by the association. In addition, it doesn't engage in exterior maintenance of private homes. It does enforce covenants...