A Vermont seller is reviewing the conditions under which the Vermont Land Gains Tax would NOT apply to the sale of a parcel of land. Which of the following is NOT a recognized exemption from the Vermont Land Gains Tax?
Correct Answer
D) The buyer intends to use the property as a primary residence after purchase
Under 32 V.S.A. Chapter 236, the Vermont Land Gains Tax exemptions are based on the seller's circumstances, not the buyer's intended use. The buyer's intention to use the property as a primary residence after purchase is not a recognized exemption from the Land Gains Tax. The tax is determined by the seller's holding period, the seller's use of the property, and the gain realized — not by what the buyer plans to do with the property.
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Related Topics & Key Terms
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Related Concepts
RESPA is a federal law that requires lenders to provide borrowers with information about settlement costs, prohibits kickbacks and referral fees, and limits escrow account deposits. It applies to federally related mortgage loans.
The secondary mortgage market is where existing mortgage loans are bought and sold between lenders, investors, and government-sponsored enterprises (GSEs) like Fannie Mae, Freddie Mac, and Ginnie Mae.
TILA is a federal law that requires lenders to disclose the true cost of credit to borrowers, including the annual percentage rate (APR), total finance charges, and loan terms. It is implemented by Regulation Z.
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