We live on a private road that is maintained by a homeowners assoc. We
have 13 residents and pay 100.00 per year in order to keep 1700ft of a
gravel road in drivable condition. Should the homeowners association
file a tax return known as 1120-H?
thank you in advance for your quick response.

This might help:

The instructions start on page 2.

U.S. Income Tax Return for Homeowners Associations
http://www.irs.gov/pub/irs-pdf/f1120h.pdf#search=%221120-H%22

..."Electing To File Form 1120-H

A homeowners association elects to
take advantage of the tax benefits
provided by section 528 by filing a
properly completed Form 1120-H.
The election is made separately for
each tax year and generally must be
made by the due date, including
extensions, of the income tax return.

This extension does not extend
the time to pay the tax.

Once Form 1120-H is filed, the
association cannot revoke its
election for that year unless the IRS
consents. The association may
request IRS consent by filing a ruling
request. A user fee must be paid
with all ruling requests. For more
information on ruling requests, see
Rev. Proc. 2005-1. You can find this
revenue procedure on page 1 of
Internal Revenue Bulletin 2005-1 at
www.irs.gov/pub/irs-irbs/irb05-01.pdf.

If the association does not elect to
use Form 1120-H, it must file the
applicable income tax return (Form
1120, etc.)..."