Chief Accountant
Leading specialist with practical experience in economics and accounting.
Accounting support for condominiums
Features of accounting for condominium associations
As a non-profit organization, a condominium association is required to keep records of its own activities. This is necessary to optimize its activities, track expenses, and, above all, comply with current legislation (in particular, regarding financial and tax reporting).
The accounting of condominium associations has a number of specific features. First, it is complicated by the features that are inherent in this association, primarily: the presence of co-owners of an apartment building in the management of common property (their contributions in an amount commensurate with the shares of the building); the complexity of the system of mandatory payments (mainly related to the payment of utility services, maintenance of the floors of an apartment building, interaction with other services, etc.). Thus, due to the complex nature of the activities, the law of the association simplifies the accounting system for these entities.
Secondly, again, based on the specifics of the activities of the condominium association and the importance of coordinating its decisions with all co-owners of an apartment building, the estimate should be drawn up by the chairman or a specially appointed accountant and agreed upon at the general meeting of this association. As a general rule, three parts of the calculations should be provided for in the accounting: for the maintenance of the building (payment for maintenance services); repair of the apartment building; reserve fund (in case of need to establish agreements with tenants of other premises, for example).
Mandatory accounting documents for condominium associations
The activities of a condominium association as a special non-profit association provide for the accounting of the following objects: assets (equipment, equipment owned by the association); capital (as a rule, proportional shares of each participant); economic liabilities; expenses and income (in the case of the latter and their distribution between participants, the condominium association bears additional responsibility for paying income tax, which is determined in the relevant tax reporting).
Accounting for a condominium association involves completing and submitting to the relevant regulatory authorities the following documentation:
- annual estimate, which indicates planned calculations for three funds (for maintenance, repair, and reserve);
- balance sheet, which records assets and its liabilities, and the Financial Statement (approved in forms in accordance with current national legislation);
- tax reporting on the payment of the social security contribution (monthly), on the use of the organization's income (annually);
- if the organization employs employees on a permanent basis, also the relevant personnel documentation.
Liability for improper accounting of condominium associations
Condominium associations that improperly maintain financial reporting documents, submit tax reporting that is improperly prepared and contains false information are subject to legal liability for this. As a general rule, the head of the organization may be held administratively or criminally liable. Let's examine each of these cases:
- if a Condominium association does not keep accounting records or keeps them in violation of the procedure established by law (lack of proper documentation, incorrect filling, use of forms that are not valid at the time of reporting), then a fine may be imposed on the association in the amount of 136 to 255 hryvnias in the case of the first violation or - 170-340 hryvnias in the case of a repeat violation (under Article 164-2 of the Code of Administrative Offenses);
- in the case of failure to maintain or untimely submit documents on the tax reporting of the condominium association as a non-profit organization, a fine of 85 to 255 hryvnias may be imposed (under Article 163-1 of the Code of Administrative Offenses);
- failure to submit documents on the tax reporting of the condominium association may also be qualified as tax evasion (if the amount that has not been received in the state budget reaches a significant amount, i.e. 3,000 NMDG) and entails a fine (up to 425,000 UAH), imprisonment (up to three years) (under Article 212 of the Criminal Code of Ukraine).
Accounting support for condominiums from the law firm “Prikhodko and Partners”
Accounting for condominiums has its own subtleties and problematic aspects, it must comply with legislative requirements. Errors in accounting can lead to liability and financial losses for residents, respectively. Therefore, the law firm “Prikhodko and Partners” offers condominiums to receive professional accounting support services that will help optimize finances, tax burden and comply with the law on financial/tax reporting.
Our accountant’s services include:
- maintenance of primary accounting documents and cash transactions
- correct formation and submission of all necessary reports
- formation and maintenance of personnel records of employees (if necessary)
- budget planning.
Conclusions. Accounting for condominiums has a special procedure for maintenance. The condominium is obliged to keep records of assets, capital, liabilities, expenses and income, which involves the preparation of estimates, balance sheets, act-by-act reports and more. The company “Prikhodko and Partners” offers professional accounting support that will ensure correct accounting in accordance with the law, timely submission of reports and payment of taxes, optimization of condominium expenses, and financial planning.
Professional accounting support is a guarantee of transparency of the financial activities of the condominium association and compliance with legal requirements. To receive a consultation from our specialist, fill out the form below.
Calculate the cost of services
1 question
Have you already contacted other specialists for accounting support for the condominium association?
2 question
Are you interested in accounting consulting services?
3 question
Do you need help from specialists immediately?
Do you work only in Kyiv?
We provide accounting outsourcing services for clients throughout Ukraine, and we can also serve companies abroad. Thanks to the use of modern online technologies, we have the opportunity to effectively cooperate with clients remotely, regardless of their location.
What business areas do you specialize in?
We have a staff of 50+ experienced lawyers with deep knowledge in specialized areas of law. Therefore, we serve a wide range of clients – from startups to large corporations, in various fields of activity.
You may also need:
call back
during the day
Compensation for moral, material damage
Protection of honour, dignity, and business reputationContract Development for Business and Legal Entities
Licensing of business activities
Compensation for moral, material damage
Legal services in the field of cryptocurrency and blockchain
REGISTRATION OF COMPANIES AND OPENING OF BANK ACCOUNTS
Sale and purchase of ready-made firms
Grants and attracting investment
Business registration and support in Great Britain
Business registration and support in Switzerland
Business registration and support in the EU
Business Registration and Support in the Gulf Countries (GCC)
Business registration and support in Turkey
Business registration and support in USA
Lawyer for administrative cases
Legal services for medical businesses and doctors
Protection of honour, dignity, and business reputation
Real estate transaction support
Escort of the tender participant
Trial lawyer: support and defense in court
European Court of Human Rights (ECHR)

