Condo Living Made Easy

Condominium associations are considered corporations in the eyes of the IRS. As such, they are required to file an annual tax return (either an 1120 or 1120-H).

Condo associations showing taxable income on their federal returns are also required to file an IL-1120 with the state of Illinois.

Tax returns must be postmarked by April 15th this year. If your association has not filed a return in the past, now is the year to begin!

Need help compiling your 2024 financials and filing your tax return? Request Accounting services on Condoly to explore your options.

On January 1, 2025, Section 18.12 of the Illinois Condominium Property Act went into effect. This new section, which applies only to condominium associations, requires all condominium associations that have parking to adopt a policy that addresses how to reasonably accommodate a unit owner who is disabled and requires an accessible parking space to ensure access to the building.

What Does This Mean for Condo Associations?

If your condominium association has parking, you must establish a formal policy outlining how you will accommodate residents with disabilities who require accessible parking. The deadline for compliance is March 31, 2025.

Why This Matters

Without a clear policy, your condominium association risks violating state law and potentially facing legal challenges. More importantly, adopting an accessible parking policy demonstrates a commitment to inclusivity and ensures that all residents have equal access to their homes.

What Next Steps Should Your Association Take?

1. Review Your Current Parking Policies – Determine if you already have guidelines for accessible parking and whether they align with the new legal requirements.
2. Draft a Compliance Policy – Your policy should clearly define the process for requesting and assigning accessible parking spaces.
3. Consult a Legal Professional – If your association has not yet adopted a policy, it’s important to seek guidance to ensure compliance with Section 18.12.

If your condominium association has not yet adopted an accessible parking policy, Condoly can help you to connect with professionals today to discuss what steps need to be taken.

Ensuring compliance is not only a legal obligation but also a crucial step toward making your community more accessible for all.

The Corporate Transparency Act (CTA), enacted in 2021, aims to combat financial crimes by mandating certain entities to disclose their beneficial ownership information (BOI) to the Financial Crimes Enforcement Network (FinCEN). Initially, condominium and homeowner associations (HOAs) were uncertain about their compliance obligations under the CTA. However, recent legal developments have clarified these requirements, impacting associations nationwide.

According to an announcement by Condo Law Watch: 

“On March 2, 2025, the Treasury Department announced the suspension of the enforcement of the Corporate Transparency Act (CTA) against U.S. citizens and domestic reporting companies. The Treasury Department will be issuing proposed rules that will narrow the scope of the CTA to foreign reporting companies only.

As a result, community associations are no longer required to file BOI reports. This is a huge win for condominium and homeowners’ associations, reducing unnecessary compliance burdens”.

If you need personalized guidance or have further questions, please reach out to Chicago Condo Resource for education and condo management support. 

By staying informed and proactive, associations can navigate these regulatory changes effectively, ensuring compliance and avoiding potential penalties.