A Connecticut broker is explaining closing costs to a first-time buyer purchasing a $500,000 home in Stamford. The buyer asks who pays the Connecticut real estate conveyance tax and how it compares to a mortgage recording tax. Which statement best describes Connecticut's conveyance tax obligations?
Correct Answer
D) The seller pays the conveyance tax because it is triggered by the transfer of title from seller to buyer.
Under CGS § 12-494, Connecticut's real estate conveyance tax is imposed on the grantor (seller) because it is a tax on the act of transferring real property. The tax is triggered by the conveyance itself — the transfer of title — and is the seller's obligation at the time of deed recordation.
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