Citrus Heights Municipal Code Art. II Real Property Transfer Tax

This article shall be known as the real property transfer tax law of the city. It is adopted pursuant to the authority contained in Revenue and Taxation Code §§ 11901—11934.

(Ord. No. 97-05, § 2(1), 1-2-1997)

There is imposed on each deed, instrument or writing by which any lands, tenements, or other realty sold within the city shall be granted, assigned, transferred or otherwise conveyed to or vested in the purchaser or any other person, by his or her direction when the consideration or value of the interest or property conveyed, exclusive of the value of any lien or encumbrances remaining thereon at the time of sale, exceeds $100.00, a tax at the rate of $0.275 for each $500.00 or fractional part thereof.

(Ord. No. 97-05, § 2(2), 1-2-1997)

Any tax imposed pursuant to this article shall be paid by any person who makes, signs or issues any document or instrument subject to the tax or for whose use or benefit the document or instrument is made, signed or issued.

(Ord. No. 97-05, § 2(3), 1-2-1997)

Any tax imposed pursuant to this article shall not apply to any instrument in writing given to secure a debt.

(Ord. No. 97-05, § 2(4), 1-2-1997)

(a) Any deed, instrument or writing to which the United States or any agency or instrumentality thereof, any state or territory, or political subdivision thereof, is a party shall be exempt from any tax imposed pursuant to this article when the exempt agency is acquiring title.

(b) Any tax imposed pursuant to this article shall not apply with respect to any deed, instrument, or writing to a beneficiary or mortgagee, which is taken from the mortgagor or trustor as a result of or in lieu of foreclosure; provided that such tax shall apply to the extent that the consideration exceeds the unpaid debt, including accrued interest and cost of foreclosure. Consideration, unpaid debt amount and identification of the grantee as beneficiary or mortgagee shall be noted on the deed, instrument or writing or stated in an affidavit or declaration under penalty of perjury for tax purposes.

(c) Any tax imposed pursuant to this article shall not apply with respect to any deed, instrument, or other writing which purports to transfer, divide, or allocate community, quasicommunity, or quasimarital property assets between spouses for the purpose of effecting a division of community, quasicommunity, or quasimarital property which is required by a judgment decreeing a dissolution of the marriage or legal separation, by a judgment of nullity, or by any other judgment or order rendered pursuant to the Family Code, or by a written agreement between the spouses, executed in contemplation of any such judgment or order, whether or not the written agreement is incorporated as part of any of those judgments or orders.

(d) In order to qualify for the exemption provided in subsection (c) of this section, the deed, instrument, or other writing shall include a written recital, signed by either spouse, stating that the deed, instrument, or other writing is entitled to the exemption.

(e) Any tax imposed pursuant to this article shall not apply with respect to any deed, instrument, or other writing by which realty is conveyed by the state, any political subdivision thereof, or agency or instrumentality of either thereof, pursuant to an agreement whereby the purchaser agrees to immediately reconvey the realty to the exempt agency.

(f) Any tax imposed pursuant to this article shall not apply with respect to any deed, instrument, or other writing by which the state, any political subdivision thereof, or agency or instrumentality of either thereof, conveys to a nonprofit corporation realty the acquisition, construction, or improvement of which was financed or refinanced by obligations issued by the nonprofit corporation on behalf of a governmental unit, within the meaning of 26 CFR 1.103-1(b).

(g) Any tax imposed pursuant to this article shall not apply to any deed, instrument, or other writing which purports to grant, assign, transfer, convey, divide, allocate, or vest lands, tenements, or realty, or any interest therein, if, by reason of such inter vivos gift or by reason of the death of any person, such lands, tenements, realty, or interests therein are transferred outright to, or in trust for the benefit of, any person or entity.

(Ord. No. 97-05, § 2(5), 1-2-1997)

State Law reference— Similar provisions, Revenue and Taxation Code, §§ 11922, 11926—11930.

(a) Any tax imposed pursuant to this article shall not apply to making, delivering or filing of conveyances to make effective any plan of organization or adjustment:

(1) Confirmed under the Federal Bankruptcy Act, as amended;

(2) Approved in an equity receivership proceeding in a court involving a railroad corporation, as defined in 11 USC 205(m), as amended;

(3) Approved in an equity receivership proceeding in a court involving a corporation, as defined in 11 USC 506(3), as amended; or

(4) Whereby a mere change in identity, form or place of organization is effected.

(b) This section shall only apply if the making, delivery or filing of instruments of transfer or conveyances occurs within five years from the date of such confirmation, approval or change.

(Ord. No. 97-05, § 2(6), 1-2-1997)

Any tax imposed pursuant to this article shall not apply to the making or delivery of conveyances to make effective any order of the Securities and Exchange Commission, as defined in subdivision (a) of section 1083 of the Internal Revenue Code of 1954, but only if:

(1) The order of the Securities and Exchange Commission in obedience to which such conveyance is made recites that such conveyance is necessary or appropriate to effectuate the provisions of 15 USC 79k, relating to the Public Utility Holding Company Act of 1935;

(2) Such order specifies the property which is ordered to be conveyed; and

(3) Such conveyance is made in obedience to such order.

(Ord. No. 97-05, § 2(7), 1-2-1997)

(a) If any realty is held by a partnership, no levy shall be imposed pursuant to this article by reason of any transfer of an interest in a partnership or otherwise, if:

(1) Such partnership, or another partnership, is considered a continuing partnership within the meaning of section 708 of the Internal Revenue Code of 1954; and

(2) Such continuing partnership continues to hold the realty concerned.

(b) If there is a termination of any partnership within the meaning of section 708 of the Internal Revenue Code of 1954, for the purposes of this article, such partnership shall be treated as having executed an instrument whereby there was conveyed, for fair market value, exclusive of the value of any lien or encumbrance remaining thereof, all realty held by such partnership at the time of such termination.

(c) Not more than one tax shall be imposed pursuant to this article by reason of a termination described in subsection (b) of this section, and any transfer pursuant thereto, with respect to the realty held by such partnership at the time of such termination.

(Ord. No. 97-05, § 2(8), 1-2-1997)

The county clerk-recorder shall administer this article in conformity with Revenue and Taxation Code §§ 11901—11934 and the provisions of any county ordinance adopted pursuant thereto.

(Ord. No. 97-05, § 2(9), 1-2-1997)

Cross reference— Administration, ch. 2.

Claims for refund of taxes imposed pursuant to this article shall be governed by Revenue and Taxation Code § 5096—5180.

(Ord. No. 97-05, § 2(10), 1-2-1997)