501(c)4 Tax Exempt Application
The SV Board of Directors has published the much talked about application for “Tax Exempt Status” for community review. At the regular June Board meeting, the Board of Directors produced the final version of the IRS application for tax exempt status. The Board also provided a list of 10 application-related questions that will be submitted to three attorneys for their review and opinion before the application is finally filed with the IRS. The majority of the Board believes that pursuing the tax exempt status would benefit the Association and its members, without exposing it to any risk.
General Manager, Dave Wareing, said the application has been written to give the Association maximum control over its property, facilities and affairs. The new status, if granted, would not affect any of the Association’s business, financial or operational practices, as some have feared. It would not require the Association to open any of its facilities or properties to the “outside world” or make any of its funds vulnerable to less control than is already provided by the Association’s Bylaws and membership votes.
The Board also approved engaging a Houston tax attorney, who is considered a national expert on 501(c)4 issues as they apply to Homeowner Associations, to review the application and provide his opinion of positive and negative impacts to the Association if it achieves the tax exempt status.
Comments and questions are welcome by the General Manager via e-mail at: GM@suddenvalley.com.
Documents for Member Review: 501c4-questions-and-application1
Tags: 501(c)4, Tax Status