Tax Law (Questions About Taxes)/HOA - Applying for EIN
My community just took over the HOA from the developer. We learned that the developer did submit paperwork with the Secretary of State to incorporate the HOA, but a unique Tax ID was not obtained (the developer was using his company EIN).
As a newly elected trustee/officer, I am attempting to use the IRS online form to obtain an EIN for our HOA. This has raised a couple questions.
- I will use myself as the "responsible party" for the form, but would that need changed in two years when I am no longer an officer?
- the IRS form asks for the corporations physical address and phone number. We have a PO box, but what would be an HOA's physical address? Do I just use the address and phone number of an officer? If so, would that need changed if the officer is replaced?
We need the EIN to open a bank account for community assessment payments, so any assistance is greatly appreciated.
Each year the responsible party is declared on the tax return. As you migrate out of the position and someone else takes control the IRS will be notified at least at the filing of the tax return and possible at that the filing of the quarterly estimates.
For your records, it would be prudent to write, sign, date, and keep a copy of a letter of resignation.
Once you surrender the control to another and have no authority over the bank account or financial transactions, your liability for new tax issues ends. You will always be responsible for everything that happened under your watch. So if you are the person for the next two years, and three years after that an audit happens that finds a problem for 2014, you may be financially responsible.
The address they are looking for is a place to mail and contact the HOA, if you are the responsible party you can use your address. If that changes then let the IRS know. If the IRS doesn't know the address change they'll keep sending to your address. If you find you are getting letters that you shouldn't you can notify the IRS that the address changed and give them the new address.
The last address filed on a tax return is considered to be the most current address unless they are notified of the change.