Chapter 3.20
REAL PROPERTY TRANSFER TAX*
Sections:
3.20.040 Tax--Nonapplicable--When.
3.20.050 Exemption--Agency acquiring title.
3.20.060 Reorganization or adjustments exempt.
3.20.070 SEC conveyances exempt.
3.20.080 Realty partnerships exempt.
* For statutory provisions authorizing cities to impose a tax on transfers of real property, see Rev. & Tax. Code §11901 et seq.
3.20.010 Title.
This ordinance shall be known as the "real property transfer tax ordinance of the city." It is adopted pursuant to the authority contained in Part 6.7 (commencing with section 11901) of Division 2 of the Revenue and Taxation Code of the state of California). (Ord. 103 §1, 1967).
3.20.020 Imposed.
There is hereby 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 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, a tax at the rate of twenty-seven and one-half cents for each five hundred dollars or fractional part thereof. (Ord. 103 §2, 1967).
3.20.030 Payment.
Any tax imposed pursuant to Section 3.20.020 hereof 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. 103 § 3, 1967).
3.20.040 Tax--Nonapplicable--When.
Any tax imposed pursuant to this chapter shall not apply:
A. To any instrument in writing given to secure a debt; or
B. 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. When any such deed, instrument, or writing itself fails to establish entitlement to this exemption, the mortgagee or beneficiary may establish within a reasonable time of the payment of the tax that the transfer is exempt under this section and any refund thereafter made shall not bear interest. (Ord. 153 §1,1975: Ord. 103 §4, 1967).
3.20.050 Exemption--Agency acquiring title.
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. 153 §2, 1975: Ord. 103 §5, 1967).
3.20.060 Reorganization or adjustments exempt:
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:
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 Section 205 of Title 11 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 Section 506 of Title 11 of the United States Code, as amended; or
D. Whereby a mere change in identity, form or place of organization is effected. Subdivisions A to D, inclusive, of 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. 103 §6, 1967).
3.20.070 SEC conveyances exempt.
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 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 of appropriate to effectuate the provisions of Section 79k 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. 103 §7, 1967).
3.20.080 Realty partnerships exempt:
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 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 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 tax shall be imposed pursuant to this chapter by reason of a termination described in subdivision B, and any transfer pursuant thereto, with respect to the realty held by such partnership at the time of such termination. (Ord. 103, §8, 1967).
3.20.090 Administration.
The county recorder shall administer this chapter inconformity with the provisions of Part 6.7 of Division 2 of the Revenue and Taxation Code and the provisions of any county ordinance adopted pursuant thereto. (Ord. 103 §9, 1967).
3.20.100 Refunds.
Claims for refund 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 of the state of California. (Ord. 103 §10, 1967).