A buyer is purchasing a $750,000 condominium in Manhattan, New York City. In addition to the New York State transfer tax, what additional NYC transfer tax will be imposed on this transaction?
Correct Answer
B) $10,687.50 (1.425% of purchase price)
For NYC residential transfers of $500,000 or more, the NYC Real Property Transfer Tax rate is 1.425%. Applied to the $750,000 purchase price: $750,000 x 0.01425 = $10,687.50.
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Who is responsible for paying NYC transfer tax in a typical real estate transaction?
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A real estate transaction involves the sale of a $1.2 million cooperative apartment in Brooklyn. The buyer's attorney explains the various taxes that will be due at closing. Which statement about the NYC transfer tax and mansion tax is correct?