Nonprofit Law/nonprofit


Can my condominium association register as a nonprofit federally?
We have been a nonprofit at the state level since 2004, and our corporation collects only monthly fees from the owners of condos (no other income) and provides only those services related to the cleaning and repair of our common areas, and other common expenses, such as utilities and insurance.
We have one employee and are self-managed by a volunteer board of directors. No profits are earned or distributed by the association.

Thank you,


Yes. See

"IRC 528... provides an elective exemption for certain homeowners
associations that are described in IRC 528(c). This Code provision
was enacted because many homeowners associations found it difficult
to meet the requirements for exemption under IRC 501(c)(4)."
Homeowners Associations are not mentioned as one of the types of
organizations that would qualify under 501(c)(3) - as it give
private, instead of community benefits. Also donations to it are not deductible.

Harvey Mechanic, Attorney at Law -

P.S. This response is intended to be a general statement of law, should not be relied upon as legal advice and does not create an attorney/client relationship.  

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Harvey Mechanic


DO NOT GIVE ME INFORMATION THAT YOU WANT KEPT CONFIDENTIAL. I am an attorney and I volunteer time to answer general questions about U.S. Federal income tax issues of nonprofit 501(c)(3) public charities only. Those questions could be about establishing and maintaining legal requirements for such non-profit organizations in the United States, including Internal Revenue service filings and requirements. I will not be working on this free forum to answer questions about Nonprofit's possible unrelated or for-profit businesses or how to fill out forms. This forum is only for general questions about federal tax law, not as the law applies to your specific situation. If you do not make your question public then I will not be spending much of my donated time on answers that would not benefit the public. If you have other questions, please contact me at I will reply from my email. In any case, do not reveal confidential information to me until after I have contracted with you to provide personal legal services. My responses on this forum are intended to be general statements of law, should not be relied upon as legal advice, and do not create an attorney/client relationship. For me to consider your individual situation and how the law applies, I would need to gather extensive information about the situation. To search my previous answers you can do a Google search by "" without the quotes and then add your search terms before hitting enter.


I have been practicing law and especially the law of nonprofit organizations since 1990 when I was admitted to the New York Bar and I have maintained my status with the Bar since that time.


B.S. Columbia University in New York City, 1970

J.D. (Law Degree) Brooklyn Law School, 1990 -- Cum Laude.

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