DEFINITION of 'Simple Interest'. A quick method of calculating the interest charge on a loan. Simple interest is determined by multiplying the interest rate by the principal by the number of periods. Where: P is the loan amount.
What exactly is an HOA or Homeowner Association? Who benefits from an HOA? Who is required to have an HOA? What kind of services does an HOA provide? The HOA or Homeowner Association. An HOA or Homeowner Association is a legal entity created to manage and maintain the common areas of a community. Typically these common areas consist of things like pools, clubhouses, landscaping, parks, streets and roads.
Contact HBS Tax to find out how we can help your HOA! For federal tax purposes, homeowners associations are treated as corporations. Even if an HOA was created as an association or a nonprofit corporation with its respective state, it is still considered a regular corporation for federal tax purposes.