Transfer Of TitleTaxesMEDIUM
At settlement in Durham, the closing attorney uses a 365-day calendar-year proration and charges the seller with 120 days of the year's real property taxes under Form 2-T. If the annual real property tax bill is $2,400.00, what is the buyer's prorated share?
Correct Answer
C) $1,610.96
Use the stated North Carolina formula or contract assumption: $2,400.00 × (120 ÷ 365) = $789.04 seller share; buyer share = $2,400.00 − $789.04 = $1,610.96. That calculation produces the correct amount.
Answer Options
A
$782.47B
$795.62C
$1,610.96D
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Related Topics & Key Terms
Key Terms:
core_rules_and_definitionsdifficulty_3mathnc_property_tax_conveyance_taxnc_statenc_tax_calculations_conveyance_and_proration_scenariosnorth_carolinaproperty_tax_mathproration
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