Chapter 3.04
REAL ESTATE EXCISE TAX
Sections:
3.04.010 Definitions and scope of provisions.
3.04.030 Tax constitutes lien.
3.04.040 Tax obligation – Enforcement authority.
3.04.050 Collective authority – Recordation.
3.04.060 Reporting of sale or transfer – Affidavit.
3.04.070 Transaction involving timber.
3.04.080 Affidavit – Filing by treasurer.
3.04.090 Affidavit – Failure to furnish – Fine.
3.04.100 Due when – Delinquency.
3.04.010 Definitions and scope of provisions.
A. As used in this chapter, the terms “sale,” “seller,” and “selling price” shall be the same as set forth in RCW 28.45.010, 28.45.020 and 28.45.030, respectively, and all amendments thereto, which are incorporated in this section as if the same were fully set forth.
B. In the case of leases, with option to purchase, the tax as levied in this chapter shall not be payable wherein equity will otherwise result, until and unless the option is exercised and accepted.
C. A conditional sale of mining property in which the buyer has the right to terminate the contract at any time and a lease and option to buy mining property in which the lessee buyer has the right to terminate the lease and option at any time shall be taxable at the time of execution only on the consideration received by the seller or lessor for execution of such contract; but the tax due on any additional consideration paid by the buyer and received by the seller shall be paid to the county treasurer as follows:
1. At the time of the termination; or
2. At the time that all of the consideration due to the seller has been paid and the transaction is completed, except for the delivery of the deed to the buyer; or
3. At the time when the buyer unequivocally exercises an option to purchase the property; whichever of the three events occurs first.
D. “Mining property” means property containing or believed to contain metallic minerals and sold or leased under terms which require the purchaser or lessor to conduct exploration or mining work thereon, and for no other use. “Metallic minerals” does not include clays, coal, sand and gravel, peat, gypsite, or stone, including limestone.
E. When the selling price is not separately stated, or is not ascertainable at the time of sale, for the payment of the tax at a time when the selling price is ascertained, suitable security may be required for payment of the tax and the determination of the selling price may be made by an appraisal by the county assessor, based on the full and true market value, which appraisal shall be prima facie evidence of the selling price of the real property. (Ord. 67-1 § 1, T-186, 1967).
3.04.020 Levied – Rate.
There is levied an excise tax on sales of real estate not exceeding one percent of the selling price, which rate is fixed from May 1, 1974, until April 30, 1975. The rate of the levy shall be determined annually by the commissioners, by resolution, adopted on or before the first day of May of each and every year until repeal of the ordinance codified in this chapter. The proceeds of the tax provided for in this chapter shall be placed in the county school fund, and shall be used exclusively for the support of the common schools; provided, that one percent of the proceeds of the tax provided for in this chapter shall be placed in the current expense fund of the county. The real estate sales tax provided for in this chapter shall be levied upon each sale of real property located within the county. (Res. 16-74, 27-267, 1974; Ord. 67-1 § 2, T-186, 1967).
3.04.030 Tax constitutes lien.
The tax provided for in this chapter, and any interest or penalty thereon, shall be a specific lien upon each piece of real property sold from the time of sale until the tax has been paid, which lien may be enforced in the manner prescribed for the foreclosure of mortgages. (Ord. 67-1 § 3, T-186, 1967).
3.04.040 Tax obligation – Enforcement authority.
The tax levied under this chapter shall be the obligation of the seller, and the county treasurer may, at his option, enforce the obligation through an action of debt against the seller, or he may proceed in the manner prescribed for the foreclosure of mortgages; and resort to one course of enforcement shall not be an election not to pursue the other. (Ord. 67-1 § 4, T-186, 1967).
3.04.050 Collective authority – Recordation.
The tax imposed in this chapter shall be paid to and collected by the county treasurer, who shall cause a stamp evidencing satisfaction of the lien to be affixed to the instrument of sale or conveyance prior to its recording. The receipt issued by the county treasurer for the payment of the tax imposed under this chapter shall be evidence of the satisfaction of the lien imposed and may be recorded in the manner prescribed for recording satisfactions of mortgages. No instrument of sale or conveyance evidencing a sale subject to the tax shall be accepted by the county auditor for filing or recording until the tax has been paid and the stamp affixed thereto. In case the tax is not due on the transfer, the instrument shall not be so accepted until suitable notation of such fact has been made on the instrument by the county treasurer. (Ord. 67-1 § 5, T-186, 1967).
3.04.060 Reporting of sale or transfer – Affidavit.
It shall be the duty of the seller, within 30 days after the date of sale, to furnish to the county treasurer, in triplicate, on forms to be supplied by the treasurer, an affidavit containing the full name and address of the seller, the full name and address of the purchaser, the description of the real property involved, the date of sale or other transfer, the nature of the transfer, and the sale price. Said affidavit shall be subscribed and sworn to by the seller, buyer, or the agent of either before a notary public or other person entitled to subscribe an oath, the county treasurer, or his duly authorized deputy. (Ord. 67-1 § 6, T-186, 1967).
3.04.070 Transaction involving timber.
Where the transaction involved constitutes a sale of standing timber and the selling price is stated in such conveyance as being determinable in the future on the basis of footage removed, or on a stumpage basis, it shall be the duty of the seller to execute and file with the county treasurer the affidavit as set forth in OCC 3.04.060 stating, in addition to the other requirements, the legal description of the real property on which such standing timber is located, and an estimate, to the best of his knowledge, of the selling price ultimately to be received, and shall pay to the county treasurer a sum equal to one percent of such estimated selling price, which sum shall not be credited by the treasurer to the school fund, but shall be retained in a separate account. On the expiration date of such timber contract, if not extended, or at the time cutting and removal is completed, whichever is earlier, it shall be the duty of the seller to execute and file with the county treasurer an additional affidavit in the form as set forth in OCC 3.04.060 setting out the selling price actually paid. In the event such amount results in a tax greater than the sum theretofore paid on the estimate, the seller shall pay such additional amount to the county treasurer, who shall thereupon place this amount, together with the sum originally deposited to the credit of the school fund in the usual manner. In the event such amount is less than the original estimate, the county treasurer is directed to refund the excess payment to the taxpayer and credit the balance to the school fund in the usual manner. (Ord. 67-1 § 7, T-186, 1967).
3.04.080 Affidavit – Filing by treasurer.
The treasurer shall retain and file the original of such affidavits and shall furnish one copy to the county assessor. (Ord. 67-1 § 8, T-186, 1967).
3.04.090 Affidavit – Failure to furnish – Fine.
Failure to furnish the affidavit required in OCC 3.04.060 to the treasurer within 30 days after sale is a misdemeanor; and upon conviction thereof, the seller shall be punished as provided in Chapter 1.28 OCC. (Ord. 76-3 § 2, 1976; Ord. 67-1 § 9, T-186, 1967).
3.04.100 Due when – Delinquency.
The tax imposed in this chapter shall become due and payable immediately at the time of sale, and if not paid within 30 days thereafter, shall bear interest at the rate of one percent per month from date of sale, which interest shall be added to the tax and become a lien as provided in this chapter. (Ord. 76-3 § 1, 1976; Ord. 67-1 § 10, T-186, 1967).
3.04.110 Refunds.
If, upon written application by a taxpayer to the treasurer for a refund, or upon examination of the records by the treasurer without such application, it appears that within one year preceding such application or examination a tax has been paid under this chapter in excess of the amount actually due, or upon a sale or other transfer declared in this chapter to be exempt from tax, such excessive amount or improper payment shall be refunded by the treasurer to the taxpayer. No refund shall be made with respect to any payment made more than one year before the date of application or examination. (Ord. 67-1 § 11, T-186, 1967).
3.04.120 Severability.
This chapter is deemed severable, and any declaration by any court that any section or sections or portions thereof are invalid shall have no effect on the remainder of this chapter. (Ord. 67-1 § 12, T-186, 1967).