Bulletin: PA2014008

Date:
December 18, 2014
To:
All Pennsylvania Issuing Offices
RE:
UNDERWRITING - New Department of Revenue Statement of Value Form Effective January 1, 2015

Dear Associates:

The Pennsylvania Department of Revenue has updated the Realty Transfer Tax Statement of Value form. The new form must be used after January 1, 2015; however, you may use the form immediately.

As of January 1, 2015, Recorder of Deeds Offices will only accept the new form - REV-183 EX (10-14) which is available on the Pennsylvania Department of Revenue’s website. The link is provided below:

http://www.revenue.pa.gov/FormsandPublications/FormsforIndividuals/Documents/Realty%20Transfer%20Tax/rev-183.pdf

A copy of the new form is also attached as Exhibit A below.

If you have any questions relating to this or other bulletins, please contact a Stewart Title Guaranty Company underwriter.

For on-line viewing of this and other bulletins, please log onto www.vuwriter.com.

 

EXHIBIT A

REV-183 EX (10-14)

Complete each section and file in duplicate with Recorder of Deeds when (1) the full value/consideration is not set forth in the deed, (2) the deed is without consideration or by gift, or (3) a tax exemption is claimed. If more space is needed, please attach additional sheets. A Statement of Value (SOV) is not required if the transfer is wholly exempt from tax based on family relationship or public utility easement. However, it is recommended that a SOV accompany all documents filed for recording.

 

R

Pennsylvania
Department of Revenue

Bureau of Individual Taxes
P.O. BOX 280603
Harrisburg, PA 71728-0603

REALTY TRANSFER TAX
STATEMENT OF VALUE

 

See reverse for instructions.

RECORDER’S USE ONLY

State Tax Paid

Book Number

Page Number

Date Recorded

Complete each section and file in duplicate with Recorder of Deeds when (1) the full value/consideration is not set forth in the deed, (2) the deed is without consideration or by gift, or (3) a tax exemption is claimed. If more space is needed, please attach additional sheets. A Statement of Value (SOV) is not required if the transfer is wholly exempt from tax based on family relationship or public utility easement. However, it is recommended that a SOV accompany all documents filed for recording

A. CORRESPONDENT - All inquiries may be directed to the following person:

Name

Telephone Number:

Mailing Address 

City

State

Zip Code

       


B. TRANSFER DATA
 MM/DD/YYY

Date of Acceptance of Document 

/

/

 

Grantor(s)/Lessor(s) 

Telephone Number:

Grantee(s)/Lessee(s)

Telephone Number:

Mailing Address 

Mailing Address

City 

State

Zip Code

City

State

Zip Code

             


C. REAL ESTATE LOCATION

Street Address

City, Township, Borough 

County

School District

Tax Parcel Number

       


D. VALUATION DATA

Was transaction part of an assignment or relocation?     Y    N

1. Actual Cash Consideration

2. Other Consideration

+

3. Total Consideration

=

4. County Assessed Value

5. Common Level Ratio Factor

X

6. Fair Market Value

=


E. EXEMPTION DATA - Refer to instructions for exemption status.

1a. Amount of Exemption Claimed

$

1b. Percentage of Grantor’s Interest in Real Estate

%

1c. Percentage of Grantor’s Interest Conveyed

%

2. Check Appropriate Box Below for Exemption Claimed.

    Will or intestate succession. ____________________________________________________
                                              (Name of Decedent)                                      (Estate File Number)

  Transfer to a trust. (Attach complete copy of trust agreement identifying all beneficiaries.)

  Transfer from a trust. Date of transfer into the trust __________________________________  
If trust was amended attach a copy of original and amended trust.

  Transfer between principal and agent/straw party. (Attach complete copy of agency/straw party agreement.)

 Transfers to the commonwealth, the U.S. and instrumentalities by gift, dedication, condemnation or in lieu of condemnation. (If condemnation or in lieu of condemnation, attach copy of resolution.)

  Transfer from mortgagor to a holder of a mortgage in default. (Attach copy of mortgage and note/assignment.)

  Corrective or confirmatory deed. (Attach complete copy of the deed to be corrected or confirmed.)

  Statutory corporate consolidation, merger or division. (Attach copy of articles.)

  Other (Please explain exemption claimed.) ________________________________________

 

Under penalties of law, I declare that I have examined this statement, including accompanying information, and to the best of my knowledge and belief, it is true, correct and complete.

Signature of Correspondent or Responsible Party

PLEASE SIGN AFTER PRINTING

Date  MM/DD/YY


FAILURE TO COMPLETE THIS FORM PROPERLY OR ATTACH REQUESTED DOCUMENTATION MAY RESULT IN THE RECORDER’S REFUSAL TO RECORD THE DEED.

INSTRUCTIONS FOR COMPLETING REALTY TRANSFER TAX STATEMENT OF VALUE


SECTION A
Enter the name, address and telephone number of party completing this form.


SECTION B
Date of Acceptance
 - Enter the date the document was delivered to and accepted by the grantee/lessee.

Enter the full names and addresses of all grantor(s)/lessor(s) and all grantee(s)/lessee(s). Attach additional sheets if necessary.


SECTION C
This section identifies the real estate to be transferred. Complete fully, including the tax parcel number where applicable and the county where the statement is to be filed.


SECTION D
Indicate by checking YES or NO, whether the document rep- resents two or more transactions accomplished by an assignment of the agreement of sale or by the use of a relocation arrangement. Complete for all transactions:

1.     Actual Cash Consideration - Enter the amount of cash or cash equivalent that the grantor received for the transfer of the real estate.

2.     Other Consideration - Enter the total amount of non- cash consideration that the grantor received for the transfer of the real estate, such as property and securities. Include mortgages and liens existing before the transfer and not removed thereby, and the agreed consideration for the construction of improvements.

3.     Total Consideration - Enter the sum of Lines 1 and 2. This will be the total consideration for the purchase of the real estate.

4.     County Assessed Value - Enter the actual assessed value of the entire real estate, per records of the county assessment office. Do not reduce the assessed value by the grantor’s fractional interest in the real estate.

5.     Common Level Ratio Factor - Enter the common level ratio factor for the county in which the real estate is located. An explanation of this factor is provided below.

6.     Fair Market Value - Enter the product of Lines 4 and 5.


SECTION E
Complete only for transactions claiming an exemption. For exemptions refer to Title 61 §91.193 of the Pennsylvania Code.

1a. Amount of Exemption Claimed - Enter the dollar amount of the value claimed as exempt.

1b. Percentage of Grantor’s Interest in Real Estate - Enter the percentage of grantor’s ownership interest in the real estate listed in Part C.

1c. Percentage of Grantor’s Interest Conveyed - Enter the fraction or percentage of grantor’s interest in the real estate on Line 1b that the grantor conveyed to the grantee. For example, if you indicated on Line 1b that grantor owns a 50 percent tenant-in-common interest in the real estate and grantor is conveying his entire 50 percent interest to the grantee, then you would enter 100 percent on this line.

2. Check Appropriate Box for Exemption Claimed - Boxes are provided for the most common Pennsylvania realty exemptions. Each is explained in order of appearance on the Realty Transfer Statement of Value form.

Will or Intestate Succession - A transfer by will for no or nominal consideration, or under the intestate succession laws, is exempt from tax. Provide the name of the decedent and estate file number in the space provided.

Transfer to a Trust - A transfer for no or nominal consideration to a trust is exempt from tax when the transfer of the same property would be exempt from tax if the transfer were made directly by the grantor to all the possible (including contingent) beneficiaries. Attach a complete copy of the trust agreement and identify the grantor’s relationship to each beneficiary.

Transfer from a Trust - Enter the date the real estate was conveyed to the trust by the prior deed. If the trust was amended after that date, attach a complete copy of the original trust and all amendments to the trust.

Transfer Between Principal and Agent/Straw Party - A transfer between an agent/straw party and principal for no or nominal consideration is exempt. Attach a complete copy of the agency/straw party agreement.

Transfer to the Commonwealth, the U.S. and Instrumentalities by Gift, Dedication, Condemnation or in Lieu of Condemnation - If the transfer is by condemnation or in lieu of condemnation, attach a copy of the resolution.

Transfer from Mortgagor to Holder of a Mortgage in Default - A transfer from a mortgagor to a holder of a mortgage in default, whether pursuant to a foreclosure or in lieu thereof, is exempt. Provide a copy of the mortgage and note, and any documentation evidencing the assignment thereof.

Corrective or Confirmatory Deed - A deed for no or nominal consideration that corrects or confirms a previously recorded deed but does not extend or limit the title or  interest under the prior deed is exempt from tax. Attach a complete copy of the prior deed being corrected or confirmed.

Statutory Corporate Consolidation, Merger or Division - A document that evidences the transfer of real estate pursuant to the statutory consolidation or merger of two or more corporations (15 Pa. C.S. §1921-1932 or 15 Pa. C.S. §5921- 5930) – or the statutory division of a nonprofit corporation (15 Pa. C.S. §5951-5957) - is exempt from tax. Attach a copy of the articles of consolidation, merger or division.

Other - When claiming an exemption other than those listed, you must specify what exemption is claimed. When possible, provide the applicable statutory and regulatory citation. Attach additional pages, if necessary. Attach a copy of supporting documentation.

COMMON LEVEL RATIO FACTOR

This is a property valuation factor provided by the PA Department of Revenue by which the county assessed value is multiplied to determine the taxable value of real estate for all non-arm’s-length transactions, leases and acquired companies. The factor is based on the common level ratio established by the State Tax Equalization Board. The common level ratio is a ratio of assessed values to current fair market values as reflected by actual sales of real estate in each county. A statewide list of the factors is available at the Recorder of Deeds’ office in each county and on the department’s website at www.revenue.pa.gov

THIS STATEMENT MUST BE SIGNED BY A RESPONSIBLE PERSON CONNECTED WITH THE TRANSACTION.

THIS BULLETIN IS FURNISHED TO INFORM YOU OF CURRENT DEVELOPMENTS. AS A REMINDER, YOU ARE CHARGED WITH KNOWLEDGE OF THE CONTENT ON VIRTUAL UNDERWRITER  AS IT EXISTS FROM TIME TO TIME AS IT APPLIES TO YOU, AS WELL AS ANY OTHER INSTRUCTIONS. OUR UNDERWRITING AGREEMENTS DO NOT AUTHORIZE OUR ISSUING AGENTS TO ENGAGE IN SETTLEMENTS OR CLOSINGS ON BEHALF OF STEWART TITLE GUARANTY COMPANY. THIS BULLETIN IS NOT INTENDED TO DIRECT YOUR ESCROW OR SETTLEMENT PRACTICES OR TO CHANGE PROVISIONS OF APPLICABLE UNDERWRITING AGREEMENTS. CONFIDENTIAL, PROPRIETARY, OR NONPUBLIC PERSONAL INFORMATION SHOULD NEVER BE SHARED OR DISSEMINATED EXCEPT AS ALLOWED BY LAW. IF APPLICABLE STATE LAW OR REGULATION IMPOSES ADDITIONAL REQUIREMENTS, YOU SHOULD CONTINUE TO COMPLY WITH THOSE REQUIREMENTS.

References

Bulletins Replaced:
None
Related Bulletins:
None
Underwriting Manual:
None
Exceptions Manual:
None
Forms:
None