Under Tenn. Code Ann. § 67-4-409, which of the following transfers of real property would NOT be exempt from the Tennessee realty transfer tax?
Correct Answer
A) A transfer of a vacation cabin from a parent to an adult child as a graduation gift
A transfer from a parent to an adult child as a gift does NOT qualify for any recognized exemption under Tenn. Code Ann. § 67-4-409. Tennessee's transfer tax exemptions include transfers between spouses and transfers to government entities, but there is no general exemption for parent-to-child transfers or family gifts. Therefore, this transfer would be subject to the realty transfer tax.
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Related Topics & Key Terms
Key Terms:
Related Concepts
Highest and best use is an appraisal concept that identifies the most profitable, legally permitted, physically possible, and financially feasible use of a property. It is the foundation of all property valuation.
Homestead portability allows homeowners to transfer a portion of their accumulated homestead tax savings to a new homestead in the same state.
The income approach estimates a property's value based on the income it generates by converting net operating income into a value estimate using a capitalization rate. It is the preferred method for income-producing properties.
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- → The income approach to appraisal is most commonly used for which type of property?
- → Which formula correctly calculates the capitalization rate?
- → External obsolescence in Oklahoma:
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- → Which of the following correctly lists the three types of depreciation recognized in real estate appraisal?
- → The sales comparison approach to appraisal is most commonly used for which type of property?
- → Which four tests must a use satisfy to qualify as the highest and best use of a property?
- → Three depreciation:
- → Cap rate:
- → Which formula best represents the cost approach to appraisal?
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