Also known as: documentary stamp transfer tax · documentary-stamp transfer taxes · documentary stamp tax · transfer tax
Written by attorneys · grounded in primary & secondary sources — see below
A tax imposed on the conveyance of real property title. Payment is evidenced by stamps affixed to the deed or by filing dedicated transfer tax forms at closing.
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Derek Douglas sold his home to Deborah Dunn. At closing the title agent prepared the deed, closing statement, and transfer tax forms. The parties paid the documentary-stamp transfer tax by submitting the completed forms with the required payment before the deed was recorded.
After an heir disclaimed inherited real property, the estate still owed a documentary-stamp transfer tax on the subsequent conveyance. The tax forms were filed with the deed, and the lien attached to the property despite the disclaimer because the transfer itself triggered the tax obligation.
It is paid through transfer tax forms that form part of the standard closing package along with the deed and closing statement.
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Lawyers and title agents prepare and oversee the forms to ensure the tax is paid and the deed can be recorded.
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A disclaimer may alter who receives the property but does not eliminate the tax triggered by the later conveyance itself.
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…had knowingly transported, concealed, and facilitated the transportation and concealment of marihuana, without having paid the transfer tax imposed by the Marihuana Tax Act, 26 U. S. C. § 4741 et seq., thereby violating 26 U. S. C. § 4744 (a)(2). After both sides had presented their evidence and the defense had moved for a…