[Adopted as Title 2, Ch. 7, Art. 4, of the 1977 Code[1]]
[1]
Editor's Note: This chapter was adopted 12-7-1977 and amended
10-6-1986 by Ord. No. 1112; 11-5-1986 by Ord. No. 1115; 9-6-1988 by
Ord. No. 1165; and 5-7-2007 by Ord. No. 1541.
A.
ACCEPTANCE
ACQUIRED COMPANY
ASSOCIATION
BOARD
CORPORATION
DISTRICT
DOCUMENT
MEMBERS OF THE SAME FAMILY
PERSON
REAL ESTATE
(1)
(2)
(3)
REAL ESTATE COMPANY
SECRETARY
TAX
TITLE TO REAL ESTATE
(1)
(2)
TRANSACTION
TREASURER
VALUE
(1)
(2)
(3)
(4)
As used in this article, the following terms shall have the meanings
indicated:
The making, execution or final delivery of a document by
all parties to a transaction.
A real estate company where a change in the ownership interest
in the company, however effected:
A partnership, limited partnership, or any other form of
unincorporated enterprise, owned or conducted by two or more persons,
other than a private trust or decedent's estate.
The Board of Township Commissioners of the Township of Upper
Moreland, Montgomery County, Pennsylvania.
A corporation or joint-stock association, business trust,
or banking institution which is organized under the laws of this commonwealth,
the United States, or any other state, territory or foreign country
or dependency.
The Township of Upper Moreland, Montgomery County, Pennsylvania.
Any deed, instrument, or writing which conveys, transfers, demises, vests, confirms, or evidences any transfer or demise or title to real estate, but does not include wills, mortgages, deeds of trust, or other instruments of like character given as security for a debt and deeds of release thereof to the debtor, land contracts whereby the legal title does not pass to the grantee until the total consideration specified in the contract has been paid or any cancellation thereof unless the consideration is payable over a period of time exceeding 30 years or instruments which solely grant, vest, or confirm a public utility easement. "Document" shall also include a declaration of acquisition required to be presented for recording under § 310-66B of this article.
Any individual, such individual's brothers and sisters, the
brothers and sisters of such individual's parents and grandparents,
the ancestors and lineal descendants of any of the foregoing, a spouse
of any of the foregoing and the estate of any of the foregoing. Individuals
related by the half blood or legal adoption shall be treated as if
they were related by the whole blood.
Every natural person, association, or corporation. Whenever
used in any clause prescribing and imposing a fine or imprisonment,
or both, the term "person," as applied to associations, shall include
the responsible members or general partners thereof and, as applied
to corporations, the officers thereof.
Any lands, tenements, or hereditaments within this commonwealth,
including, without limitation, buildings, structures, fixtures, mines,
minerals, oil, gas, quarries, spaces with or without upper or lower
boundaries, trees, and other improvements, immovables or interest
which by custom, usage or law pass with a conveyance of land, but
excluding permanently attached machinery and equipment in an industrial
plant.
A condominium unit.
A tenant-stockholder's interest in a cooperative housing corporation,
trust or association under a proprietary lease or occupancy agreement.
A corporation or association which is primarily engaged in
the business of holding, selling or leasing real estate, 90% or more
of the ownership interest in which is held by 35 or fewer persons
and which: (1) derives 60% or more of its annual gross receipts from
the ownership or disposition of real estate; or (2) holds real estate,
the value of which comprises 90% or more of the value of its entire
tangible asset holdings exclusive of tangible assets which are freely
transferable and actively traded on an established market.
The Secretary of the Board of Township Commissioners of the
Township of Upper Moreland, Montgomery County, Pennsylvania.
The tax imposed, assessed, and levied by this article.
Any interest in real estate which endures for a period of time,
the termination of which is not fixed or ascertained by a specific
number of years, including, without limitation, an estate in fee simple,
life estate, or perpetual leasehold; or
Any interest in real estate enduring for a fixed period of years
but which, either by reason of the length of the term or the grant
of a right to extend the term by renewal or otherwise, consists of
a group of rights approximating those of an estate in fee simple,
life estate, or perpetual leasehold, including, without limitation,
a leasehold interest or possessory interest under a lease or occupancy
agreement for a term of 30 years or more or a leasehold interest or
possessory interest in real estate in which the lessee has equity.
In determining the term of a lease, it shall be presumed that a right
or option to renew or extend a lease will be exercised if the rental
charge to the lessee is fixed or if a method for calculating the rental
charge is established.
The making, executing, delivering, accepting, or presenting
for recording of a document.
The duly elected and acting Treasurer of the Township of
Upper Moreland, Montgomery County, Pennsylvania.
In the case of any bona fide sale of real estate at arm's length
for actual monetary worth, the amount of the actual consideration
therefor, paid or to be paid, including liens or other encumbrances
thereon existing before the transfer and not removed thereby, whether
or not the underlying indebtedness is assumed, and ground rents or
a commensurate part thereof, where such liens or other encumbrances
and ground rents also encumber or are charged against other real estate;
In the case of a gift, sale by execution upon a judgment or
upon the foreclosure of a mortgage by a judicial officer, transactions
without consideration or for consideration less than the actual monetary
worth of the real estate, a taxable lease, an occupancy agreement,
a leasehold or possessory interest, any exchange of properties, or
the real estate of an acquired company, the actual monetary worth
of the real estate determined by adjusting the assessed value of the
real estate for local real estate tax purposes for the common level
ratio of assessed values to market values of the taxing district as
established by the State Tax Equalization Board, or a commensurate
part of the assessment where the assessment includes other real estate;
In the case of an easement or other interest in real estate,
the value of which is not determinable under clause (1) or (2) above,
the actual monetary worth of such interest; or
The actual consideration for or actual monetary worth of any
executory agreement for the construction of buildings, structures,
or other permanent improvements to real estate between the grantor
and other persons existing before the transfer and not removed thereby
or between the grantor, the agent or principal of the grantor or a
related corporation, association or partnership and the grantee existing
before or effective with the transfer.
B.
Throughout this article, the singular shall include the plural, and
the masculine shall include the feminine and neuter.
A.
Upper Moreland Township adopts the provisions of Article XI-D of
the Tax Reform Code of 1971 and imposes a realty transfer tax as authorized
under that article, subject to the rate limitations therein. Every
person who makes, executes, delivers, accepts, or presents for recording
any document or in whose behalf any document is made, executed, delivered,
accepted or presented for recording, shall be subject to pay for and
in respect to the transaction or any part thereof, or in respect of
the vellum parchment or paper upon which such document is written
or printed, a tax at the rate of 1/2 of 1% of the value of the real
estate represented by such document, which tax shall be payable at
the earlier of the time the document is presented for recording or
within 30 days of acceptance of such document, or within 30 days of
becoming an acquired company.
B.
Within 30 days after becoming an acquired company, such company shall
present a declaration of acquisition with the recorder of deeds of
each county in which it holds real estate for the affixation of documentary
stamps and recording. Such declaration shall set forth the value of
real estate holdings of the acquired company in such county.
C.
Except as otherwise provided in § 310-74, documents which make, confirm or evidence any transfer or demise of title to real estate between associations or corporations and the members, partners, shareholders, or stockholders thereof are fully taxable. For the purposes of this article, corporations and associations are entities separate from their members, partners, stockholders, or shareholders.
The tax hereby levied shall apply to or be imposed upon all
transaction, transfers or privileges arising out of agreements or
contracts to sell or any other arrangements made and entered into
by the parties hereto prior to the date of the adoption of this article.
The tax hereby levied shall apply to or be imposed upon all
transactions, transfers or privileges arising out of agreements or
contracts to sell or any other arrangements made and entered into
by the parties hereto after the date of the adoption of this article.
The tax hereby levied shall apply to or be imposed upon all
transactions, transfers or privileges where there are no agreements
made and entered into by the parties thereto.
Any tax imposed under § 310-66A that is not paid by the date the tax is due shall bear interest as prescribed for interest on delinquent municipal claims under the Act of 1923, P.L. 207, No. 153, 53 P.S. § 7101 et seq., as amended, known as "The Municipal Claims and Tax Liens Act." The interest rate shall be 10% per annum.
A penalty of 10% is hereby imposed upon all taxes which are
unpaid at the time they are due and payable in accordance with the
provisions of this article.
All taxes imposed by this article, together with interest from
the due date and the penalty thereon, may be recovered as other debts
of like character are now by law recovered.
The tax imposed by this article shall become a lien upon the lands, tenements, or hereditaments, or any interest therein, situate wholly or partly within the Township, which are described in or conveyed by the document which is the subject of tax imposed under § 310-66, the said lien to begin at the time when the tax is due and payable and continue until discharged by payment or in accordance with the law, the Township Solicitor is authorized to file a municipal or tax claim for said tax in the Court of Common Pleas of Montgomery County, in accordance with the provisions of the Municipal Lien Act of 1923, the amendments and supplements thereto.[1]
[1]
Editor's Note: See 53 P.S. § 7101 et seq.
A.
Exempt parties. The United States, the commonwealth, or any of their
instrumentalities, agencies, or political subdivisions shall be exempt
from payment of the tax imposed by this article. The exemption of
such governmental bodies shall not, however, relieve any other party
to a transaction from liability for the tax.
B.
Excluded transactions. The tax imposed by § 310-66 shall not apply to the following:
(1)
A transfer to the commonwealth or to any of its instrumentalities,
agencies, or political subdivisions by gift, dedication, or deed in
lieu of condemnation or deed of confirmation in connection with condemnation
proceedings, or a reconveyance by the condemning body of the property
condemned to the owner of record at the time of condemnation, which
reconveyance may include property line adjustments, provided said
reconveyance is made within one year from the date of condemnation.
(2)
A document which the commonwealth is prohibited from taxing under
the Constitution or statutes of the United States.
(3)
A conveyance to a municipality, township, school district, or county
pursuant to acquisition by the municipality, township, school district,
or county of a tax delinquent property at sheriff sale or tax claim
bureau sale.
(4)
A transfer for no or nominal actual consideration which corrects
or confirms a transfer previously recorded, but which does not extend
or limit existing record legal title of interest.
(5)
A transfer or division in kind for no or nominal actual consideration
of property passed by testate or intestate succession and held by
cotenants; however, if any of the parties take shares greater in value
than their undivided interest, tax is due on the excess.
(6)
A transfer between husband and wife, between persons who were previously
husband and wife who have since been divorced, provided the property
or interest therein subject to such transfer was acquired by the husband
and wife or husband or wife prior to the granting of the final decree
in divorce, between parent and child or the spouse of such child,
between brother or sister or spouse of a brother or sister and brother
or sister of the spouse of a brother or sister and between a grandparent
and grandchild or the spouse of such grandchild, except that a subsequent
transfer by the grantee within one year shall be subject to tax as
if the grantor were making such transfer.
(7)
A transfer for no or nominal actual consideration of property passing
by testate or intestate succession from a personal representative
of a decedent to the decedent's devisee or heir.
(8)
A transfer for no or nominal actual consideration to a trustee of
an ordinary trust where the transfer of the same property would be
exempt if the transfer was made directly from the grantor to all of
the possible beneficiaries, whether or not such beneficiaries are
contingent or specifically named. No such exemption shall be granted
unless the recorder of deeds is presented with a copy of the trust
instrument that clearly identifies the grantor and all possible beneficiaries.
(9)
A transfer for no or nominal actual consideration from a trustee
to a beneficiary of an ordinary trust.
(10)
A transfer for no or nominal actual consideration from trustee
to successor trustee.
(11)
A transfer: a) for no or nominal actual consideration between
principal and agent for straw party; or b) from or to an agent or
straw party where, if the agent or straw party were his principal,
no tax would be imposed under this article. Where the document by
which title is acquired by a grantee or statement of value fails to
set forth that the property was acquired by the grantee from, or for
the benefit of, his principal, there is a rebuttable presumption that
the property is the property of the grantee in his capacity if the
grantee claims an exemption from taxation under this clause.
(12)
A transfer made pursuant to the statutory division of a nonprofit
corporation, except where it is reasonably determined that the primary
intent for such merger, consolidation or division is avoidance of
the tax imposed by this article.
(13)
A transfer from a corporation or association of real estate
held of record in the name of the corporation or association where
the grantee owns stock of the corporation of an interest in the association
in the same proportion as his interest in or ownership of the real
estate being conveyed and where the stock of the corporation or the
interest in the association has been held by the grantee for more
than two years.
(14)
A transfer from a nonprofit industrial development agency or
authority to a grantee of property conveyed by the grantee to that
agency or authority as security for a debt of the grantee or a transfer
to a nonprofit industrial development agency or authority.
(15)
A transfer from a nonprofit industrial development agency or
authority to a grantee purchasing directly from it, but only if: a)
the grantee shall directly use such real estate for the primary purpose
of manufacturing, fabricating, compounding, processing, publishing,
research and development, transportation, energy conversion, energy
production, pollution control, warehousing, or agriculture; and n)
the agency or authority has the full ownership interest in the real
estate transferred.
(16)
A transfer by a mortgagor to the holder of a bona fide mortgage
in default in lieu of a foreclosure, or a transfer pursuant to a judicial
sale in which the successful bidder is the bona fide holder of a mortgage,
unless the holder assigns the bid to another person.
(17)
Any transfer between religious organizations or other bodies
or persons holding title for a religious organization if such real
estate is not being or has not been used by such transferor for commercial
purposes.
(18)
A transfer to a conservancy which possesses a tax-exempt status
pursuant to Section 5.01(c)(3) of the Internal Revenue Code of 1954
[68A Stat. 3, 26 U.S.C. § 501(c)(3)] and which has as its
primary purpose preservation of land for historic, recreational, scenic,
agricultural, or open-space opportunities.
(19)
A transfer of real estate devoted to the business of agriculture
to a family farm corporation by a member of the same family which
directly owns at least 75% of each class of the stock thereof.
(20)
A transfer between members of the same family of an ownership
interest in a real estate company or family farm corporation.
(21)
A transaction wherein the tax due is $1 or less.
(22)
Leases for the production or extraction of coal, oil, natural
gas, or minerals and assignments thereof.
C.
In order to exercise any exclusion provided in this section, the
true, full, and complete value of the transfer shall be shown on the
statement of value. For leases of coal, oil, natural gas, or minerals,
the statement of value may be limited to an explanation of the reason
such document is not subject to tax under this article.
A.
Where there is a transfer of a residential property by a licensed
real estate broker which property was transferred to him within the
preceding year as consideration for the purchase of other residential
property, a credit for the amount of the tax paid at the time of the
transfer to him shall be given to him toward the amount of the tax
due upon the transfer.
B.
Where there is a transfer by a builder of residential property which
was transferred to the builder within the preceding year as consideration
for the purchase of new, previously unoccupied residential property,
a credit for the amount of the tax paid at the time of the transfer
to the builder shall be given to the builder toward the amount of
the tax due upon the transfer.
C.
Where there is a transfer of real estate which is demised by the
grantor, a credit for the amount of tax paid at the time of the demise
shall be given the grantor toward the tax due upon the transfer.
D.
Where there is a conveyance by deed of real estate which was previously
sold under a land contract by the grantor, a credit for the amount
of tax paid at the time of the sale shall be given the grantor toward
the tax due upon the deed.
E.
If the tax due upon the transfer is greater than the credit given
under this section, the difference shall be paid. If the credit allowed
is greater than the amount of tax due, no refund or carryover credit
shall be allowed.
The tax herein imposed shall be fully paid and have priority
out of the proceeds of any judicial sale of real estate before any
other obligation, claim, lien, judgment, estate, or costs of the sale
and of the writ upon which the sale is made, and the sheriff or other
officer conducting said sale shall pay the tax herein imposed out
of the first monies paid to him in connection therewith. If the proceeds
of the sale are insufficient to pay the entire tax herein imposed,
the purchaser shall be liable for the remaining tax.
Administration and collection:
A.
The tax imposed under § 310-66 and all applicable interest and penalties shall be administered, collected and enforced under the Act of December 31, 1965, P.L. 1257, No. 511, as amended, known as "The Local Tax Enabling Act,"[1] provided that, if the correct amount of the tax is not
paid by the last date prescribed for timely payment, Upper Moreland
Township, pursuant to § 1102-D of the Tax Reform Code of
1971, 72 P.S. § 8102-D, authorizes and directs the Department
of Revenue of the Commonwealth of Pennsylvania to determine, collect
and enforce the tax, interest and penalties.
[1]
Editor's Note: See 53 P.S. § 6901 et seq., and 53 P.S.
§§ 6924.101 to 6924.312.
B.
The Recorder of Deeds of Montgomery County is hereby authorized and empowered, pursuant to § 1105-D of the Tax Reform Code of 1971, 72 P.S. § 8105-D, to act as collection agent for the collection of the taxes imposed by § 310-66 above and to remit such taxes to the Treasurer of the Township on a monthly basis.
Any person who shall make, execute, issue, deliver or accept,
or cause to be made, executed, issued, delivered or accepted, any
document without the full amount of tax thereon being duly paid or
any person violating any of the provisions of this article shall be
liable to a penalty not less than $50 nor more than $600 for each
and every offense and, further, shall be required to pay the amount
of tax, together with interest as is otherwise provided for herein,
which should have been paid upon the document or documents and, upon
default in the payment of the same for 10 days, shall be subject to
30 days' imprisonment.