A property sells for $425,000 and the buyer is obtaining a new mortgage for $340,000. What are the total combined Georgia real estate transfer tax and intangible recording tax due at this closing?
Correct Answer
A) $1,445.00
Under O.C.G.A. § 48-6-1, Georgia real estate transfer tax is $1.00 per $1,000 of the sale price (or fraction thereof). $425,000 ÷ $1,000 = 425 × $1.00 = $425.00. Under O.C.G.A. § 48-6-61, Georgia intangible recording tax is $1.50 per $500 (equivalent to $3.00 per $1,000) of the new mortgage amount. $340,000 ÷ $500 = 680 × $1.50 = $1,020.00. Total: $425.00 + $1,020.00 = $1,445.00.
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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?
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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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