Humboldt County Municipal Code Ch. 3 Documentary Transfer Tax

Title. Tax Imposed. Persons Liable. Exception - Instrument in Writing to Secure Debt. Exemption - Public Agencies. Exemption - Conveyance to Effectuate Bankruptcy. Exemptions - Conveyance to Effectuate Securities and Exchange Commission Order. Exemption - Realty Held by Partnership. Exception - Instrument in Writing in Lieu of Foreclosure. Credit for City Tax. Administration by County Recorder. Recordation of Tax Payment. Tax Roll Parcel Numbers. Refunds. Unpaid Taxes.

713-1. Title. This chapter shall be known as the “Documentary Transfer Tax Ordinance of the County of Humboldt.” It is adopted pursuant to Part 6.7 (commencing with § 11901) of Division 2 of the Revenue and Taxation Code of the State of California. (Ord. 952, § 1, 11/20/1973) 713-2. Tax Imposed. There is hereby imposed on each deed, instrument or writing by which any lands, tenements, or other realty sold within the County of Humboldt shall be granted, assigned, transferred, or otherwise conveyed to or vested in the purchaser or purchasers or any other person or person by his or their 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 One Hundred Dollars ($100.00) at the rate of fifty-five cents ($.55) for each Five Hundred Dollars ($500.00) or fractional part thereof. (Ord. 952, § 2, 11/20/1973) 713-3. Persons Liable. The tax imposed by § 713-2 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 same is made, signed or issued. (Ord. 952, § 3, 11/20/1973) 713-4. Exception - Instrument in Writing to Secure Debt. The tax imposed pursuant to this chapter shall not apply to any instrument in writing given to secure a debt. (Ord. 952, § 4, 11/20/1973) 713-5. Exemption - Public Agencies. 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 chapter when the exempt agency is acquiring title. (Ord. 952, § 5, 11/20/1973)

713-6. Exemption - Conveyance to Effectuate Bankruptcy. The tax imposed pursuant to this chapter shall not apply to the making, delivering or filing of conveyances to made effective any plan or reorganization or adjustment: (a) Confirmed under the Federal Bankruptcy Act, as amended; (b) Approved in an equity receivership proceeding in a court involving a railroad corporation, as defined in subdivision (m) of § 205 of Title II of the United States Code, as amended; (c) Approved in an equity receivership proceeding in a court involving a corporation, as defined in subdivision (3) of § 506 of Title II of the United States Code, as amended; or (d) Whereby a mere change in identity, form or place or organization is effected. Subsections (a) and (d), inclusive, of this section shall only apply if the making, delivery or filing or instruments of transfer or conveyances occurs within five (5) years from the date of such confirmation, approval, or change. (Ord. 952, § 6, 11/20/1973) 713-7. Exemptions - Conveyance to Effectuate Securities and Exchange Commission Order. The tax imposed pursuant to this chapter 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: (a) 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 § 79(k) of Title 15 of the United States Code, relating to the Public Utility Holding Company Act of 1935; (b) Such order specifies the property which is ordered to be conveyed; (c) Such conveyance is made in obedience to such order. (Ord. 952, § 7, 11/20/1973) 713-8. Exemption - Realty Held by Partnership. (a) In the case of any realty held by a partnership, no tax shall be imposed pursuant to this chapter by reason of any transfer of any interest in the partnership or otherwise, if: (1) Such partnership (or another partnership) is considered a continuing partnership within the meaning of § 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 § 708 of the Internal Revenue Code of 1954, for purposes of this chapter, 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 thereon), all realty held by such partnership at the time of such termination. (c) Not more than one (1) tax shall be imposed pursuant to this chapter by reason of a termination described in subsection (b), and any transfer pursuant thereto, with respect to the realty held by such partnership at the time of such termination. (Ord. 952, § 8, 11/20/1973) 713-9. Exception - Instrument in Writing in Lieu of Foreclosure. The tax imposed pursuant to this chapter shall not apply with respect to any deed, instrument or writing to a beneficiary or mortgagee which is taken in lieu of a foreclosure. (Ord. 952, § 9, 11/20/1973) 713-10. Credit for City Tax. If the legislative body of any city of the County imposes a tax pursuant to Part 6.7 of Division 2 of the Revenue and Taxation Code equal to one-half (½) the amount specified in § 713-2 of this chapter, a credit shall be granted against the taxes due under this chapter in the amount of the city’s tax. (Ord. 952, § 10, 11/20/1973) 713-11. Administration by County Recorder. The County Recorder shall administer this chapter and shall also administer any ordinance adopted by any city in the County pursuant to Part 6.7 (commencing with § 11901) of Division 2 of the Revenue and Taxation Code imposing a tax for which a credit is allowed by this chapter. On or before the 15th day of the month, the Recorder shall report to the County Auditor the amounts of taxes paid during the preceding month pursuant to this chapter and each such city ordinance. The Auditor shall allocate and distribute monthly said taxes as follows: (a) All moneys which relate to transfers of real property located in the unincorporated territory of the County shall be allocated to the County. (b) All moneys which relate to transfers of real property located in a city in the County which has imposed a tax pursuant to said Part 6.7 shall be allocated one-half (½) to such city and one-half (½) to the County. (c) All moneys which relate to transfers of real property located in a city in the County which imposes a tax on transfers of real property not in conformity with said part 6.7 shall be allocated to the County. (d) All moneys which relate to transfers of real property in a city in the County which does not impose a tax on transfers of real property shall be allocated to the County. (Ord. 952, § 11, 11/20/1973)

713-12. Recordation of Tax Payment. The Recorder shall not record any deed, instrument or writing subject to the tax imposed by this chapter unless the tax is paid at the time of recording. A declaration of the amount of the tax due, signed by the party determining the tax or his agent, shall appear on the face of the document or on a separate paper as provided herein, and the Recorder may rely thereon, provided he has no reason to believe that the full amount of the tax due has not been paid. The declaration shall include a statement that the consideration or value on which the tax was computed was, or that it was not, exclusive of the value of a lien or encumbrance remaining on the interest or property conveyed at the time of the sale. If the party submitting the document for recordation so requests, the amount of the tax due shall be shown on a separate paper which shall be affixed to the document by the Recorder after the permanent record is made and before the original is returned as specified in § 27321 of the Government Code of the State of California. (Ord. 952, § 12, 11/20/1973) 713-13. Tax Roll Parcel Numbers. Every deed, instrument or writing by which lands, tenements, or other realty is sold, granted, assigned, transferred, or otherwise conveyed, shall have noted on the face of the document the tax roll parcel number. The number will be used only for the administrative and procedural purposes and will not be proof of title; and, in the event of any conflicts, the stated legal description noted on the document shall govern. (Ord. 1136, § 1, 5/3/1977) 713-14. Refunds. Claims for refunds of taxes imposed pursuant to this chapter shall be governed by the provisions of Chapter 5 (commencing with Section 5096) of Part 9 of Division 1 of the Revenue and Taxation Code. (Ord. 952, § 14, 11/20/ 1973) 713-15. Unpaid Taxes. Whenever the County Recorder has reason to believe that the full amount of tax due under this chapter has not been paid, he may, by notice served upon any person liable therefor, require him to furnish a true copy of his records relevant to the amount of the consideration or value of the interest or property conveyed. (Ord. 952, § 15, 11/20/1973) 713-16. Violation and Penalty. Any person or persons who makes, signs, issues or accepts or causes to be made, signed, issued or accepted and who submits or causes to be submitted for recordation any deed, instrument or writing subject to the tax imposed by this chapter and makes any material misrepresentation of fact for the purpose of avoiding all or any part of the tax imposed by this chapter shall be guilty of a misdemeanor. No person or persons shall be liable, either civilly or criminally, for any unintentional error made in designating the location of the lands, tenements or other realty described in a document subject to the tax imposed by this chapter. (Ord. 952, § 16, 11/20/1973)