Ezel / IRS Rulings / 202601007
Private Letter Ruling 202601007 Released January 2, 2026 Approved

9100-3 relief granting 120 days for a homeowners association to make late section 528 elections (Forms 1120-H) for several years

Not precedent. Under 26 U.S.C. § 6110(k)(3), this written determination may not be used or cited as precedent. It resolved one taxpayer's situation on its specific facts, and identifying details were redacted by the IRS before release. The official IRS release (linked on this page as a PDF) is the authoritative source.
About this page: The plain-English summary and ruling snapshot below were written by Ezel based on the official IRS release. The full text is the IRS's own document.
View official IRS release (PDF)

Plain-English summary

A homeowners association can elect a favorable tax regime under Code
section 528, which taxes only its non-exempt-function income, by filing
Form 1120-H each year. This association inadvertently failed to file
Forms 1120-H (and thus make the elections) for a run of tax years. It
asked the IRS for relief under the "9100" regulations, which allow extra
time to make a late election when the taxpayer acted reasonably and in
good faith and relief will not harm the government. The IRS granted 120
days from the date of the ruling to make the section 528 elections for
those years by filing the Forms 1120-H. The relief is only about timing:
the association still bears the burden of showing it actually meets the
section 528(c) requirements to be a homeowners association, and the IRS
expressed no opinion on that or on any late-filing penalties.

Ruling snapshot

  • Question: Should the homeowners association get an extension under § 301.9100-3 to make late section 528 elections for several tax years?
  • Outcome: Approved (120 days from the date of the ruling to file the Forms 1120-H)
  • Key authorities: IRC § 528(c); Treas. Reg. § 1.528-8; Treas. Reg. §§ 301.9100-1, 301.9100-3

Full text (IRS public release)

Internal Revenue Service
Department of the Treasury
Washington, DC 20224

Number: 202601007
Release Date: 1/2/2026
Index Number: 528.00-00, 9100.34-00

Third Party Communication: None
Date of Communication: Not Applicable

Person To Contact:
----------------------------, ID No. --------------
Telephone Number:
Refer Reply To: CC:ECE:B01
PLR-109077-25
Date: October 06, 2025

In Re:
---

LEGEND

Taxpayer = ---
a = ---
b = ---

Dear ---------------:

This letter responds to Taxpayer's letter dated April 14, 2025, and subsequent correspondence, requesting an extension of time under § 301.9100-3 of the Procedure and Administration Regulations to make elections to be treated as a homeowners association under § 528 of the Internal Revenue Code (Code) for its taxable years a through b.

                                                 FACTS

The information submitted and the representations made are as follows: Taxpayer is a homeowners association. Taxpayer inadvertently failed to file its Forms 1120-H for taxable years a through b.

                                       LAW AND ANALYSIS

Section 528 generally provides that homeowners associations meeting the requirements of § 528(c) may be treated as tax-exempt organizations, but only to the extent of their exempt function income.

Section 528(c)(1) provides, in part, that the term "homeowners association" means an organization that elects (at such time and in such manner as the Secretary by regulations prescribes) to have § 528 apply for the taxable year.

Section 1.528-8(a) provides, in part, that a separate election to be treated as a homeowners association under § 528 must be made for each taxable year. This election must be made by filing a properly completed Form 1120-H (or such other form as the Secretary may prescribe).

Section 1.528-8(b) provides that for taxable years ending after December 30, 1976, the election must be made not later than the time, including extensions, for filing an income tax return for the year in which the election is to apply.

Section 301.9100-1(c) provides that the Commissioner may grant a reasonable extension of time to make a regulatory election, or a statutory election (but not more than six months except in the case of a taxpayer who is abroad), under all subtitles of the Internal Revenue Code, except subtitles E, G, H, and I. Section 301.9100-1(b) provides that the term "regulatory election" includes an election whose due date is prescribed by a regulation published in the Federal Register.

Sections 301.9100-1 through 301.9100-3 provide the standards the Commissioner will use to determine whether to grant an extension of time to make the election. Section 301.9100-2 provides the rules governing automatic extensions of time for making certain elections. Section 301.9100-3 provides the standards the Commissioner will use to determine whether to grant an extension of time for regulatory elections that do not meet the requirements of § 301.9100-2.

Requests for relief under § 301.9100-3 will be granted when the taxpayer provides the evidence (including affidavits described in § 301.9100-3(e)) to establish to the satisfaction of the Commissioner that the taxpayer acted reasonably and in good faith and that granting relief will not prejudice the interests of the government.

                                 CONCLUSION

Based solely on the facts and representations submitted with Taxpayer's request, we have determined that the requirements of §§ 301.9100-1 and 301.9100-3 have been satisfied with respect to taxable years a through b. Therefore, an extension of time is granted, until 120 days from the date of this ruling, for making the elections required on Forms 1120-H for Taxpayer to be treated as a homeowners association under § 528 with respect to its taxable years a through b.

We note, however, that the burden is upon Taxpayer to produce, upon request, any records necessary to establish to the satisfaction of the Internal Revenue Service that Taxpayer meets all the requirements of § 528(c)(1).

Except as expressly ruled herein, no opinion is expressed or implied concerning the tax consequences of any aspect of any transaction or item discussed or referenced in this letter or under any other provisions of the Code. Specifically, we express no opinion concerning the assessment of interest, additions to tax, additional amounts, or penalties for failure to file an income tax return with respect to any year. In addition, we express or imply no opinion on whether Taxpayer qualifies as a homeowners association under § 528(c).

This ruling is directed only to the taxpayer requesting it. Section 6110(k)(3) provides that it may not be used or cited as precedent.

A copy of this letter should be attached to Taxpayer's Form 1120-H for each year covered by this letter.

The rulings contained in this letter are based upon information and representations submitted by Taxpayer and accompanied by a penalty of perjury statement executed by an appropriate party. While this office has not verified any of the material submitted in support of the request for rulings, it is subject to verification on examination.

                                                      Sincerely,

                                                      Associate Chief Counsel
                                                      (Energy, Credits, & Excise Tax)

                                                      /s/ Nicole R. Cimino

                                                      By:
                                                      NICOLE R. CIMINO
                                                      Branch Chief, Branch 1
                                                      Office of Associate Counsel
                                                      (Energy, Credits, & Excise Tax)

Enclosures:
Copy for section 6110 purposes

CC: ---