[Ord. 3-1987, 7/8/1987, § 1]
1.
A realty transfer tax for general revenue purposes is hereby imposed
upon the transfer of real estate or interest in real estate situated
within Lower Oxford Township, regardless of where the documents making
the transfer are made, executed or delivered, or where actual settlements
on such transfer took place as authorized by Article XI-D, "Local
Real Estate Transfer Tax," 72 P.S. § 8101-D et seq.
2.
This Part 1 shall be known and may be cited as the "Lower Oxford
Township Realty Transfer Tax Ordinance."
[Ord. 3-1987, 7/8/1987, § 2]
A real estate company upon a change in the ownership interest
in the company, however effected, if the change does not affect the
continuity of the company; and of itself or together with prior changes
has the effect of transferring, directly or indirectly, 90% or more
of the total ownership interest in the company within a period of
three years.
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.
A corporation, joint-stock association, business trust or
banking institution which is organized under the laws of the commonwealth,
the United States or any other state, territory, foreign country or
dependency.
Any deed, instrument or writing which conveys, transfers, demises, vests, confirms or evidences any transfer or demise of title to real estate, but does not include wills, mortgages, deeds of trust or other instrument 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 § 24-106 of this Part 1.
A corporation of which at least 75% of its assets are devoted
to the business of agriculture and at least 75% of each class of stock
of the corporation is continuously owned by members of the same family.
The business of agriculture shall not be deemed to include:
Recreational activities such as, but not limited to, hunting,
fishing, camping, skiing, show competition or racing;
The raising, breeding or training of game animals or game birds,
fish, cats, dogs or pets or animals intended for use in sporting or
recreational activities;
Fur farming.
Stockyard and slaughterhouse operations; or
Manufacturing or processing operations of any kind.
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 Township,
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 interests
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 which is held by 35 or fewer persons and
which:
Derives 60% or more of its annual gross receipts from the ownership
or disposition of real estate; or
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.
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 or the grant of the 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.
The making, executing, delivering, accepting or presenting
for recording of a document.
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:
provided, that where such documents shall set forth a nominal consideration,
the "value" thereof shall be determined from the price set forth in
or actual consideration of the contract of sale:
In the case of 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 factor developed by the Pennsylvania Department of Revenue for
Pennsylvania realty transfer tax base calculations;
The actual consideration of 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 principle of the grantor of a
related corporation, association or partnership and the grantee existing
before or effective with the transfer.
[Ord. 3-1987, 7/8/1987, § 3]
1.
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, a tax
at the rate 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.
2.
The payment of the tax imposed herein shall be evidenced by the affixing
of an official stamp or writing by the Recorder of Deeds of Chester
County whereon the date of the payment of the tax, amount of the tax
and the signature of the collecting agent shall be set forth.
3.
It is the intent of this Part 1 that the entire burden of the tax imposed herein on a person or transfer shall not exceed the limitations prescribed in "The Local Tax Enabling Act," Act of December 31, 1965, P.L. 1257, 53 P.S. § 6901 et seq., so that if any other political subdivision shall impose or thereafter shall impose such tax on the same person or transfer then the tax levied by the Township under the authority of that Act shall during the time such duplication of tax exists, except as hereinafter otherwise provided, be 1/2 of the rate and such 1/2 rate shall become effective without any action on the part of the Township provided, however, that the Township and any other political subdivision which impose such tax on the same person or transfer may agree that, instead of limiting their respective rates to 1/2 of the rate herein provided, they will impose respectively different rates, the total of which shall not exceed the maximum rate permitted under "The Local Tax Enabling Act."
4.
If for any reason the tax is not paid when due, interest at the rate
in effect at the time the tax is due, shall be added and collected.
[Ord. 3-1987, 7/8/1987, § 4]
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 Part 1. The exemption of such governmental
bodies shall not, however, relieve any other party to a transaction
from liability for the tax.
[Ord. 3-1987, 7/8/1987, § 5]
The tax imposed by § 24-103 shall not be imposed upon:
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 Township 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 or interest.
5.
A transfer of 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 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: for no or nominal actual consideration between principal
and agent or straw party; or 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 Part. 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 individual capacity if the grantee claims an
exemption from taxation under this clause.
12.
A transfer made pursuant to the statutory merger or consolidation
of a corporation or statutory division of a nonprofit corporation,
except where the department reasonably determines that the primary
intent for such merger, consolidation or division is avoidance of
the tax imposed by this Part 1.
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 or 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 conservation, energy
production, pollution control, warehousing or agriculture; and
B.
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 § 501(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 any 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.
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In order to exercise any exclusion provided in this § 24-105, the true, full and complete value of the transfer shall be shown on the statement of value (A copy of the Pennsylvania Realty Transfer Tax Statement of Value may be submitted for this purpose.) 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 Part 1.
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[Ord. 3-1987, 7/8/1987, § 6]
1.
Except as otherwise provided in § 24-105 hereof, documents which make, confirm or evidence any transfer or demise of title to real estate between associations or corporations and their members, partners, shareholders or stockholders thereof are fully taxable. For the purposes of this Part 1, corporations and associations are entities separate from their members, partners, stockholders or shareholders.
2.
Within 30 days after becoming an acquired company, the company shall
present for recording a declaration of acquisition with the Recorder
of Deeds of Chester County for the purpose of noting thereon or the
affixation thereto of such documentary stamps or evidence of the payment
of this tax as required by law. Such declaration shall set forth the
value of real estate holdings of the acquired company in Chester County.
[Ord. 3-1987, 7/8/1987, § 7]
1.
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.
2.
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.
3.
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. 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.
4.
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.
[Ord. 3-1987, 7/8/1987, § 8]
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.
[Ord. 3-1987, 7/8/1987, § 9]
Where real estate or interest in real estate lying partially
within the boundaries of Lower Oxford Township and partly without
said boundaries is transferred, the tax herein imposed shall be calculated
upon such portion of the value as shall be represented by the portion
of real estate or interest therein lying within the boundaries of
the Township as determined by the Realty Transfer Tax Statement of
Value filed with the Recorder of Deeds, or if no such filing is required,
by affidavit of the transferor, or as separately stated in the document
of transfer; provided, however, such value shall in no event be less
than the highest assessed valuation for local tax purposes placed
upon the real estate or the interest in the real estate in the assessment
of the property within the Township.
[Ord. 3-1987, 7/8/1987, § 10]
Every document lodged with or presented to the Recorder of Deeds of Chester County for recording shall set forth therein and as part of such document the true, full and complete value thereof. When the full, complete and actual consideration which is subject to the tax is not set forth in the document, the person liable for the tax shall, contemporaneously with the filing of the document, file with the Recorder of Deeds a "Realty Transfer Tax Statement of Value" identical to that promulgated by the Department of Revenue of the Commonwealth of Pennsylvania or, in the instance of an "acquired company" a "Realty Transfer Tax Declaration of Acquisition" identical to that promulgated by the Department of Revenue of the Commonwealth of Pennsylvania. The provisions of this § 24-110 shall not apply to any excludable real estate transfers which are exempt from taxation based on family relationship.
[Ord. 3-1987, 7/8/1987, § 11]
The tax imposed hereby, including any amount payable to the Township based on a redetermination of the amount due by the Commonwealth of Pennsylvania pursuant to § 24-113 hereof, shall be collected by the Recorder of Deeds of Chester County who shall act as agent for the Township in the collection of the transfer tax as provided in 16 P.S. § 11011-6, as amended. The tax thus collected shall be payable by the Recorder to the Treasurer of Lower Oxford Township at least monthly or at such other intervals as the Township and the Recorder of Deeds shall mutually determine.
[Ord. 3-1987, 7/8/1987, § 12]
The payment of the tax imposed by this Part 1 when received
by the Recorder of Deeds shall be evidenced by the affixing of a documentary
stamp or stamps or other evidence of payment as approved by the Pennsylvania
Department of Revenue.
[Ord. 3-1987, 7/8/1987, § 13]
1.
In the event a determination or redetermination of transfer tax due
is made by the Pennsylvania Department of Revenue pursuant to Section
1111-C, of Act 1986-77, 72 P.S. § 8111-C, such determination
or redetermination shall be deemed to have been also made by the Secretary
of Lower Oxford Township, and there shall be due and owing to the
Township, as additional transfer tax, the amount determined or redetermined
by the Department to be due the Commonwealth of Pennsylvania.
2.
Upon redetermination of the amount of realty transfer tax due by
the Commonwealth of Pennsylvania, the Recorder shall re-record the
document only when the transfer tax imposed by this Part 1 has been
paid.
[Ord. 3-1987, 7/8/1987, § 14]
The Secretary of Lower Oxford Township is hereby charged with the enforcement of the provisions of this Chapter 24 and is hereby authorized and empowered to prescribe, adopt and enforce rules and regulations relating to the registration and notation of transactions, the collection of transfer taxes, interest and penalties due hereunder, the prosecution of violations hereunder, and any other matter pertaining to the administration and enforcement of the provisions of this Part 1. Provided, however, the regulations which have been promulgated by the Pennsylvania Department of Revenue under 72 P.S. § 1110-C, et seq., as the same are from time to time amended, are incorporated into and made a part of this Part 1, and shall be deemed to have been adopted by the Township Secretary.
[Ord. 3-1987, 7/8/1987, § 15]
1.
If for any reason a transfer tax is not paid when due, interest at
the rate of 6% per annum on the amount of said tax, and additional
penalty of 1/2 of 1% of the amount of unpaid tax for each month or
fraction thereof during which the tax remains unpaid shall be added
and collected. Where suit is brought for the recovery of any such
tax, the person liable therefore, shall, in addition, be liable for
the cost of collection and the interest and penalties herein imposed.
2.
The transfer tax when due and unpaid, together with all interest
and penalties thereon, shall be a lien in favor of the Township on
real estate or interest in the real estate which is described in the
document on which the tax is imposed, and upon any other property,
both real and personal, of the person failing to pay the tax due,
after said lien has been entered and adopted of record by the Prothonotary
of Chester County in accordance with the Municipal Claims and Tax
Liens Law.
3.
If any part of any underpayment of tax imposed by this Part 1 is
due to fraud, there shall be added to the tax an amount equal to 50%
of the underpayment.
4.
The tax imposed by this Part 1 shall be collected and enforced in
accordance with "The Local Tax Enabling Act." The Township Solicitor
is authorized to pursue any and all remedies available by law for
collection of the tax, and all such remedies shall be cumulative and
not exclusive.
[Ord. 3-1987, 7/8/1987, § 16; as amended by Ord.
1-93, 1/6/1993; and by Ord. 2-98, 3/11/1998]
It shall be unlawful for any person to:
1.
Accept or present for recording or cause to be accepted or presented
for recording any document, without the full amount of the tax thereon
being duly paid; or
2.
Fail, neglect or refuse to comply with or violate the provisions
of this Part 1 or the rules or regulations prescribed, adopted and
promulgated by the Secretary under the provisions of this Part 1.
3.
Enforcement and Remedies.
A.
Enforcement Notice.
(1)
If it appears to the Township that a violation of this Part
has occurred, the Township shall initiate enforcement proceedings
by sending an enforcement notice as provided in this section.
(2)
The enforcement notice shall be sent to the violator and, if
applicable, the owner of record of the parcel on which the violation
has occurred, to any person who has filed a written request to receive
enforcement notices regarding that parcel and to any other person
requested in writing by the owner of record.
(3)
An enforcement notice shall state at least the following:
(a)
The name of the violator and, if applicable, the owner of record
and any other person against whom the Township intends to take action.
(b)
The location of the violation and, if applicable, the property
in violation.
(c)
The specific violation with a description of the requirements
which have not been met, citing in each instance the applicable provision
of this Part.
(d)
The date before which the steps for compliance must be commenced
and the date before which the steps must be completed.
(e)
That the recipient of the notice has the right to appeal to
the Board of Supervisors within a period of 10 days.
(f)
That the failure to comply with the notice within the time specified,
unless extended by appeal to the Board of Supervisors, constitutes
a violation, with possible sanctions clearly described.
B.
Enforcement Remedies.
(1)
Any person, partnership or corporation who or which has violated or permitted the violation of § 24-116 of this Part shall, upon being found liable therefor in a civil enforcement proceeding commenced by the Township, pay a judgment of not more than $600 plus all court costs, including reasonable attorney fees incurred by the Township as a result thereof. No judgment shall commence or be imposed, levied or payable until the date of determination of a violation by the district justice. If the defendant neither pays nor timely appeals the judgment, the Township may enforce the judgment pursuant to the applicable rules of civil procedure. Each day that a violation continues or each section of this Part which shall be found to have been violated shall constitute a separate offense.
(2)
Nothing contained in this section shall be construed or interpreted
to grant to any person or entity other than the Township the right
to commence any action for enforcement pursuant to this section.
(3)
District Justices shall have initial jurisdiction over proceedings
brought under this section.
[Ord. 3-1987, 7/8/1987, § 18]
This Part 1 and the tax herein levied shall be effective five
days after enactment as by law provided and shall remain in effect
until amended or repealed.
