Apartment Association Registration
Register the RWA, and open the accounts properly.
An apartment owners association needs a legal identity before it can hold a bank account, contract with a maintenance vendor, or take a builder to task over handover. Depending on the state it registers under the Apartment Ownership Act, the Societies Registration Act, or a co-operative societies Act.
The bye-laws are the substance — how the managing committee is elected, how maintenance is levied and recovered, what quorum a general body needs, and how a defaulting member is dealt with.
The tax position is frequently misunderstood. An association is taxable on income from non-members and on interest income; maintenance collected from members is generally covered by mutuality, but that protection is lost if the accounts are not kept to show it.
What is included
- Correct statute identified for your state
- Bye-laws and memorandum drafted
- Registration with the competent authority
- PAN, TAN and the tax and GST position explained
What we need from you
- List of apartment owners with consent
- Sale deeds or allotment letters
- Building completion or occupancy certificate
- Proposed managing committee details
Questions
Does an apartment association pay income tax?
Maintenance contributions from members are generally protected by the principle of mutuality. Income from non-members — interest on deposits, rent from a mobile tower, hall hire to outsiders — is taxable, and the accounts must separate the two for mutuality to hold.
Also in Licences & registrations
Talk to us
Get started with Apartment Association Registration
Tell us a little about the business and a chartered accountant will call you back. You will get a firm quote before any work begins.
- A qualified accountant on the call, not a call centre
- A firm quote before any work begins
- Your details are never sold or shared