Do Community Associations have to pay taxes on common areas?
No. Revenue and Taxation Code (“R&T Code”) Section 2188.5 provides that the value of any common area owned by an Association is presumed to be part of the value of each owner’s home in the development, so it should not be separately assessed. We have found a surprising number of Associations that are still paying taxes on their common areas, some for many decades. Based on this statute, we have been successful in eliminating the taxes on a number of Associations in various counties around Southern California. Usually we have been able to get refunds of taxes paid, but a statute limits recovery to the four years prior to the date of challenging the taxes. • If the son of an owner harasses another owner of a condominium unit, doesn’t the association have a duty to intervene? Should the owner be notified that his son’s behavior will not be tolerated? Should the association obtain a temporary restraining order, since the individual being harassed has already successfully obtained one? The
