San Bernardino Municipal Code Ch. 3.48 Real Property Transfer Tax

Section

Statutory reference:

Related provisions, see Cal. Revenue and Taxation Code, §§ 11901 et seq.

The ordinance codified in this chapter shall be known as the “Real Property Transfer Tax Ordinance” of the city. It is adopted pursuant to the authority contained in the Cal. Revenue and Taxation Code, Division 2, Part 6.7 (commencing with § 11901).

(Ord. 2867, passed 11-28-1967)

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 purchasers, or any other person or persons, by his, her 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 $100, a tax at the rate of $27.50 for each $500 or fractional part thereof.

(Ord. 2867, passed 11-28-1967)

Any tax imposed pursuant to § 3.48.020 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. 2867, passed 11-28-1967)

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

(Ord. 2867, passed 11-28-1967)

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 by this chapter when the exempt agency is acquiring title.

(Ord. 2867, passed 11-28-1967; Ord. 3848, passed 7-11-1979)

(A) Any tax imposed pursuant to this chapter shall not apply to the making, delivering or filing of conveyances to make effective any plan of reorganization 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 2 U.S.C. § 205(m), as amended;

(3) Approved in an equity receivership proceeding in a court involving a corporation, as defined in 2 U.S.C. § 506(3), as amended; or

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

(B) Divisions (A)(1) through (A)(4) above 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. 2867, passed 11-28-1967; Ord. 3848, passed 7-11-1979)

Any 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 I.R.C. § 1083(a) 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 15 U.S.C. § 79k, relating to the Public Utility Holding Company Act of 1935;

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

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

(Ord. 2867, passed 11-28-1967)

(A) In the case of any realty held by a partnership, no levy shall be imposed pursuant to this chapter 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 I.R.C. § 708 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 I.R.C. § 708 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 of any lien or encumbrance remaining thereon) all realty held by such partnership at the time of such termination.

(C) Not more than one tax shall be imposed pursuant to this chapter by reason of a termination described in division (B) above, and any transfer pursuant thereto, with respect to the realty held by such partnership at the time of such termination.

(Ord. 2867, passed 11-28-1967)

Any tax imposed pursuant to this chapter shall not apply with respect to any deed, instrument or writing to a beneficiary or mortgage, which is taken from the mortgagor to trust or 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 unpaid interest and cost of foreclosure. Consideration, unpaid debt amount and identification of grantee as beneficiary or mortgage shall be noted on the deed, instrument or writing or stated in an affidavit or declaration under penalty of perjury for tax purposes.

(Ord. 2867, passed 11-28-1967; Ord. 3354, passed 6-8-1973; Ord. 3848, passed 7-11-1979)

The County Recorder shall administer this chapter in conformity with the provisions of the Cal. Revenue and Taxation Code, Division 2, Part 6.7 and the provisions of any county ordinance adopted pursuant thereto.

(Ord. 2867, passed 11-28-1967)

Claims for refund of taxes imposed pursuant to this chapter shall be governed by the provisions of the Cal. Revenue and Taxation Code, Division 1, Part 9, Chapter 5 (commencing with § 5096).

(Ord. 2867, passed 11-28-1967)