David is refinancing his home in Cobb County. The original loan balance is $180,000, and he is refinancing with a new loan of $195,000 to get cash out. What is the Georgia intangible recording tax due on this refinancing transaction?
Correct Answer
D) $45.00
Correct: D - $45.00. On a refinance, Georgia intangible recording tax is only due on the amount of new money being borrowed. The new loan is $195,000 and the old loan was $180,000, so new money is $15,000. Why not A: This option is incorrect because "$540.00" does not match the rule tested by the question. The correct answer is "$45.00". On a refinance, Georgia intangible recording tax is only due on the amount of new money being borrowed. The new loan is $195,000 and the old loan was $180,000, so new money is $15,000. Why not B: This option is incorrect because "$585.00" does not match the rule tested by the question. The correct answer is "$45.00". On a refinance, Georgia intangible recording tax is only due on the amount of new money being borrowed. The new loan is $195,000 and the old loan was $180,000, so new money is $15,000. Why not C: This option is incorrect because "$0.00" does not match the rule tested by the question. The correct answer is "$45.00". On a refinance, Georgia intangible recording tax is only due on the amount of new money being borrowed. The new loan is $195,000 and the old loan was $180,000, so new money is $15,000.
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More Ga Property Tax Questions
A Georgia homeowner's property has a fair market value of $220,000. She does not qualify for any floating homestead exemption and receives only the standard $25,000 homestead exemption (applied to fair market value before the 40% assessment ratio). If the county millage rate is 15 mills, what is her annual property tax?
A Georgia homeowner has been receiving the standard homestead exemption on her primary residence in Atlanta. She sells that home and moves permanently to a property she previously used as a vacation home in Rabun County. What must she do regarding her homestead exemption?
A seller paid the full annual property taxes of $3,650 on January 1st for the entire calendar year. The closing takes place on September 15th, and the seller is responsible for the day of closing. Using the 365-day method, what credit does the seller receive at closing for the buyer's share of the taxes?
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- → An investment property in Georgia generates $48,000 in annual net operating income. Using the income approach with a 7% capitalization rate, an appraiser determines the property's fair market value. If the county assesses at 40% of fair market value and the total millage rate is 32.5 mills, what is the approximate annual ad valorem tax?
- → Sarah is purchasing a home in Fulton County for $285,000. The property will be financed with a new mortgage of $228,000. What is the total Georgia intangible recording tax due on this transaction?
- → Lisa is a real estate agent helping her client understand closing costs in Gwinnett County. Her client asks about the difference between transfer tax and intangible recording tax. What should Lisa explain?
- → Karen is representing a seller in a transaction where the buyer is paying cash with no financing. Which of the following taxes will NOT be due at this closing?
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Lisa is a real estate agent helping her client understand closing costs in Gwinnett County. Her client asks about the difference between transfer tax and intangible recording tax. What should Lisa explain?
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A buyer is acquiring replacement property in Georgia as part of a 1031 like-kind exchange. Which statement best describes how Georgia real estate transfer tax applies to this transaction?