NRS 116.31144

Audit and Review of Financial Statements

Sets tiered audit and review requirements for Nevada HOA financial statements based on annual budget size. Communities with annual budgets of $75,000 or more must obtain an annual independent CPA audit. Communities with budgets between $45,000 and $75,000 must obtain a CPA review in years preceding a reserve study. Smaller communities are exempt unless their governing documents require otherwise.

Status Active
Verified May 24, 2026
Source Official text

Reviewed · Nevada changes feed

Statutory Text Verified Apr 28, 2026 · LEG_STATE_NV_GOV
NRS 116.31144 Audit and review of financial statements. 1. Except as otherwise provided in subsection 2, the executive board shall: (a) If the annual budget of the association is $45,000 or more but less than $75,000, cause the financial statement of the association to be reviewed by an independent certified public accountant during the year immediately preceding the year in which a study of the reserves of the association is to be conducted pursuant to NRS 116.31152 . (b) If the annual budget of the association is $75,000 or more but less than $150,000, cause the financial statement of the association to be reviewed by an independent certified public accountant every fiscal year. (c) If the annual budget of the association is $150,000 or more, cause the financial statement of the association to be audited by an independent certified public accountant every fiscal year. 2. Except as otherwise provided in this subsection, for any fiscal year, the executive board of an association shall cause the financial statement for that fiscal year to be audited by an independent certified public accountant if, within 180 days before the end of the fiscal year, 15 percent of the total number of voting members of the association submit a written request for such an audit. The provisions of this subsection do not apply to an association described in paragraph (c) of subsection 1. 3. The Commission shall adopt regulations prescribing the requirements for the auditing or reviewing of financial statements of an association pursuant to this section. Such regulations must include, without limitation: (a) The qualifications necessary for a person to audit or review financial statements of an association; and (b) The standards and format to be followed in auditing or reviewing financial statements of an association. (Added to NRS by 2005, 2584 ; A 2009, 462 ; 2011, 988 )
Financial
Ref Requirement
(1)(a) Annual review tier: budgets $45K–$74,999 — financial statement reviewed by an independent CPA in the year preceding the next reserve study.
(1)(b) Annual review tier: budgets $75K–$149,999 — financial statement reviewed by an independent CPA every fiscal year.
(1)(c) Annual AUDIT tier: budgets $150K or more — financial statement audited by an independent CPA every fiscal year.
(2) Owner-petition audit: 15 percent of voting members may submit a written request within the last 180 days of the fiscal year to require an audit.
Legal references last verified May 24, 2026. This content is educational and informational. It does not constitute legal advice. Consult a licensed attorney in your state for legal guidance specific to your situation.
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