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Can a Property Owners Association be a non profit business

as opposed to an HOA...
Can a Property Owners Association be a non profit business as opposed to an HOA. The POA has been formed as a 501C entity for deeding a lake to the home owners around the lake with the express intention to limit access to the late to just the homeowners.
JA: Because real estate law varies from place to place, can you tell me what state the association is in?
Customer: Texas
JA: Has any paperwork been filed?
Customer: Yes with the Secretary of State. It was approved in 2016 as Huntsville Spring Lake Estates Property Owners Assoc., Inc
JA: Anything else you want the lawyer to know before I connect you?
Customer: New at this so I guess not
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Answered in 3 minutes by:
10/30/2017
Infolawyer
Infolawyer, Lawyer
Category: Real Estate Law
Satisfied Customers: 58,511
Experience: Experienced lawyer
Verified
generally, no as the association represents interests of owners and that is not a not for profit purpose as recognized by section 501c of the internal revenue code. It may well not have income in any event but does not qualify as a 501c. Please let me know if the reply is acceptable by responding “yes” or “acceptable”
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Customer reply replied 1 month ago
What is the difference between a HOA and a POA as seen by IRS and have you ever heard of an HOPA, which is what has been conveyed to us as what we are forming even though the documents filed with the SOS states differently. I found reference to the HOA but not a POA
Customer reply replied 1 month ago
Cant afford that but thanks.
It is effectively the same thing.
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No call needed on my end.
Please let me know if the reply is acceptable by responding “yes” or “acceptable”
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Thanks. Would you kindly rate me five stars - that is the only way I get credit by the website. Thank you!
Infolawyer
Infolawyer, Lawyer
Category: Real Estate Law
Satisfied Customers: 58,511
Experience: Experienced lawyer
Verified
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