Chapter 4.24
COUNTY EXCISE TAX ON REAL ESTATE SALES

Sections:

4.24.010    Imposition of Tax.

4.24.015    Imposition of Additional Tax.

4.24.020    Collection.

4.24.030    Tax is Seller's Obligation – Choice of Remedies.

4.24.040    Tax as a Lien – Foreclosure.

4.24.050    Payment of Tax – Evidence of Payment – Recording.

Cross-references:    Chapters 36.88, 82.45, 82.46, 86.12 RCW

4.24.010 Imposition of Tax.

There is imposed on each sale of real property situated in the unincorporated areas of the County a tax equal to one-quarter of one percent of the selling price effective January 1, 1986.

A.    Revenues generated from the tax imposed in this Section shall be used solely for financing capital projects specified in Title 19E PCC, the Capital Facilities Plan Element of the Pierce County Comprehensive Plan, and housing relocation assistance under RCW 59.18.440 and 59.18.450. However, revenues pledged by the County to debt retirement prior to April 30, 1992, may continue to be used for that purpose until the original debt for which the revenues were pledged is retired. The definition of capital projects, as used in this Section, shall be the same as set forth in RCW 82.46.010(6).

B.    The County Auditor shall place one percent of the proceeds of the taxes imposed under this Section in the County General Fund to defray the cost of collection.

C.    There is hereby created a Real Estate Excise Tax Fund.

D.    The Real Estate Excise Tax Fund shall contain the revenues received under this Section.

(Ord. 2017-51 § 1 (part), 2017; Ord. 85-204S § 1 (part), 1985)

4.24.015 Imposition of Additional Tax.

There is imposed an additional excise tax on each sale of real property in the unincorporated areas of Pierce County at a rate of one quarter of one percent of the selling price effective January 1, 2002.

A.    Revenues generated from the tax imposed by this Section shall be used solely for financing capital projects specified in Title 19E PCC, the Capital Facilities Element of the Pierce County Comprehensive Plan. However, revenues (a) pledged by such counties and cities to debt retirement prior to March 1, 1992, may continue to be used for that purpose until the original debt for which the revenues were pledged is retired, or (b) committed prior to March 1, 1992, by such counties or cities to a project may continue to be used for that purpose until the project is completed.

B.    Revenues generated by the tax imposed by this Section shall be deposited in a separate fund.

C.    For purposes of this Section, "Capital Project" means those public works projects of a local government for planning, acquisition, construction, reconstruction, repair, replacement, rehabilitation, or improvement of streets, roads, highways, sidewalks, street and road lighting systems, traffic signals, bridges, domestic water systems, storm and sanitary sewer systems, and planning, construction, reconstruction, repair, rehabilitation, or improvement of parks.

D.    The County Auditor shall place one percent of the proceeds of the taxes imposed under this Section in the County General Fund to defray the cost of collection.

E.    Expenditures of the remaining proceeds of the 2nd REET shall occur in the following functional areas and in the following percentages:

1.    Twenty-five percent for Capital Park and Recreation Projects – The funds in this category shall be used primarily for facilities in unincorporated Pierce County.

2.    Seventy-five percent for Major Arterial Transportation Projects.

F.    Authority to implement the 2nd REET shall sunset on December 31, 2036.

(Ord. 2017-51 § 1 (part), 2017; Ord. 2006-60s § 4, 2006; Ord. 2004-5 § 2, 2004; Ord. 2001-99s § 2 (part), 2001)

4.24.020 Collection.

Taxes imposed under this Chapter shall be collected from persons who are taxable by the state under RCW Chapter 82.45 upon the occurrence of any taxable event within the unincorporated areas of the County. Taxes imposed under this Chapter shall comply with all applicable rules, regulations, laws and court decisions regarding real estate excise taxes as imposed under RCW Chapters 82.45 and 82.46. (Ord. 2017-51 § 1 (part), 2017; Ord. 85-204S § 1 (part), 1985)

4.24.030 Tax is Seller's Obligation – Choice of Remedies.

The tax levied under this Chapter is the obligation of the seller and may be enforced through an action of debt against the seller or in the manner prescribed for the foreclosure of mortgages. Resort to one in course of enforcement is not an election not to pursue the other. (Ord. 2017-51 § 1 (part), 2017; Ord. 85-204S § 1 (part), 1985)

4.24.040 Tax as a Lien – Foreclosure.

The tax provided for in this Chapter and any interest or penalties thereon is a specific lien upon each piece of real property sold from the time of sale until the tax is paid, which lien may be enforced in the manner prescribed for the foreclosure of mortgages. (Ord. 2017-51 § 1 (part), 2017; Ord. 85-204S § 1 (part), 1985)

4.24.050 Payment of Tax – Evidence of Payment – Recording.

Any tax imposed under this Chapter shall be paid to and collected by the County Auditor or designee. The County Auditor shall cause a stamp evidencing satisfaction of the lien to be affixed to the instrument of sale for conveyance prior to its recording or to the real estate excise tax affidavit in the case of used mobile home sales. A receipt issued by the County Auditor for the payment of the tax imposed under this Chapter shall be evidence of the satisfaction of the lien imposed in PCC 4.24.040 and may be recorded in the manner prescribed for recording satisfaction of mortgages. No instrument of sale or conveyance evidencing a sale subject to the tax may be accepted by the County Auditor for filing or recording until the tax is paid and the stamp affixed thereto; in case the tax is not due on the transfer, the instrument shall not be accepted until suitable notation of this fact is made on the instrument by the County Auditor. (Ord. 2017-51 § 1 (part), 2017; Ord. 2001-99s § 2 (part), 2001; Ord. 85-204S § 1 (part), 1985)