61 Pa. Code § 91.233 — Transfers by grantor of rented real estate

If there is a transfer of real estate which has been rented by the grantor to another, a credit for the amount of tax paid at the time of the rental shall be given to the grantor toward the tax due upon the transfer. To claim the credit a statement of value shall accompany the document. Example : A leases real estate to X for a 50-year term and tax is paid in the amount of $8,000. A sells the real estate subject to X’s lease to P for $1 million. The computation of the tax is as follows: Tax on transfer to P…$10,000 Tax on lease to X…-8,000 Tax to be paid to recorder on transfer to P…$2,000 Authority The provisions of this § 91.233 issued under section 1107-C of the Tax Reform Code of 1971 (72 P.S. § 8107-C). Source The provisions of this § 91.233 adopted September 9, 1988, effective September 10, 1988, 18 Pa.B. 4096. No part of the information on this site may be reproduced for profit or sold for profit. This material has been drawn directly from the official Pennsylvania Code full text database. Due to the limitations of HTML or differences in display capabilities of different browsers, this version may differ slightly from the official printed version.