What Virginia's Property Owners' Association Act and Condominium Act require for financial records, budgets and reserve studies, plus federal tax filings and year-end readiness, with dates for your fiscal year.
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Virginia law requires financial records kept under generally accepted accounting practices, but it doesn't set an audit, review or compilation level by revenue. Your declaration or bylaws usually do, and many Virginia associations require an annual audit or review.
Lenders reviewing condo projects and many management contracts also expect CPA-prepared statements.
Make the annual budget, or a summary, available to owners before the fiscal year begins. Details →
Issue Form 1099-NEC to unincorporated vendors (landscapers, handymen, attorneys of any entity type) paid $600 or more during the calendar year. Details →
Most HOAs and condo associations file Form 1120-H, which taxes only non-exempt income (interest, rentals to non-owners, laundry or cell tower income) at a flat 30%, if at least 60% of gross income is member assessments and 90% of spending is for association property. Details →
Check your declaration and bylaws for the required statement level and deadline. Details →
Conduct a reserve study at least every five years and review its results every year, adjusting the budget and assessments as needed. Details →
Associations register with Virginia's Common Interest Community Board and file an annual report with a fee. Details →
Virginia requires GAAP records and owner access to them, but the level of CPA involvement comes from your governing documents.
Associations keep detailed records of receipts and expenditures and each owner's assessment account, under generally accepted accounting practices. Owners in good standing can inspect and copy books and records, subject to limits for privileged and personal information.
Check your declaration and bylaws for the required statement level and deadline. If they're silent, the board decides, and a review or audit protects the board when owners question spending.
Virginia requires a published budget and a reserve study at least every five years for associations with capital components.
Make the annual budget, or a summary, available to owners before the fiscal year begins. When the reserve study shows a need, the budget must show each capital component's replacement cost and life, current reserves, and the planned contribution.
Conduct a reserve study at least every five years and review its results every year, adjusting the budget and assessments as needed. The board can fund repairs through reserves, special assessments or borrowing.
Every year-end step and document your CPA will ask for, plus Virginia's reporting and reserve rules, on two printable pages.
Associations are taxable corporations unless they qualify for an election or exemption. Most file a federal return every year even when little or no tax is due.
Most HOAs and condo associations file Form 1120-H, which taxes only non-exempt income (interest, rentals to non-owners, laundry or cell tower income) at a flat 30%, if at least 60% of gross income is member assessments and 90% of spending is for association property. The alternative is Form 1120 with a Rev. Rul. 70-604 election, which can be cheaper when there is a surplus to roll over. It is due the 15th day of the 4th month after year-end, with a 6-month extension available.
Virginia taxes associations as corporations. Associations filing federal Form 1120 or 1120-H with taxable income generally also file Virginia Form 500. Confirm with your CPA.
Issue Form 1099-NEC to unincorporated vendors (landscapers, handymen, attorneys of any entity type) paid $600 or more during the calendar year. Collect W-9s when you hire vendors, not in January.
Associations in Virginia also deal with the Common Interest Community Board.
Associations register with Virginia's Common Interest Community Board and file an annual report with a fee. The CICB also regulates management companies and handles owner complaints.
Associations must provide resale certificates or disclosure packets to sellers, which include the current budget, financial statements and reserve information. Out-of-date financials slow down closings.
These are the items your CPA will ask for first. Having them ready shortens the engagement and lowers the fee.
Bank and investment reconciliations for every operating and reserve account at year-end, with statements. Reserve funds should be held separately and match the reserve balance on the books.
An owner-by-owner aging of delinquent assessments, liens and collection status, plus assessments owners paid in advance (a liability, not income).
Major vendor contracts (management, landscaping, insurance), unpaid invoices at year-end, and support for any large repair or capital project.
The current reserve study. GAAP statements for associations include supplementary information on future major repairs and replacements, which comes from it.
Minutes approving the budget, special assessments, reserve transfers and major contracts, plus the governing documents' rules on financial reporting.
Not by statute. Virginia requires GAAP records, budgets and reserve studies, but the audit or review level comes from your governing documents.
At least every five years, with the results reviewed every year.
It depends on your income mix and surplus. 1120-H is simpler; Form 1120 with a 70-604 election can be cheaper when you carry a surplus forward.
Download the HOA Year-End Financial Checklist (PDF).
Greywood CPA works with association boards and managers across Virginia, with fixed, transparent pricing and statements delivered on time for your owners.
See our Virginia servicesThis guide is general information as of October 2026 and is not legal or tax advice. Statutes change and your declaration, bylaws or offering plan may require more than state law. Confirm your obligations with your association attorney and CPA.