Under current Illinois law, which of the following accurately describes a county's authority to impose a transfer tax beyond the state rate?
Correct Answer
A) Counties may impose an additional transfer tax of $0.25 for each $500 of value or fraction thereof under 55 ILCS 5/5-1031.
$0.25 per $500 is correct. Under 55 ILCS 5/5-1031, Illinois counties are authorized to impose a county real estate transfer tax at a rate not to exceed $0.25 for each $500 of value or fraction thereof. This is a separate levy from the state transfer tax imposed under 35 ILCS 200/31-10 and is reflected as a distinct line item on Form PTAX-203.
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Related Topics & Key Terms
Key Terms:
Related Concepts
The debt-to-income ratio (DTI) compares a borrower's monthly debt obligations to their gross monthly income. It is used by lenders to determine how much mortgage a borrower can afford.
In the context of foreclosure, a deed transfers ownership of the foreclosed property to the new owner, typically the buyer at a foreclosure sale.
Discount points are upfront fees paid to a lender at closing to reduce (buy down) the interest rate on a mortgage loan. One point equals 1% of the loan amount and typically reduces the rate by approximately 0.25%.
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