Sales price $298,500, buyer to put $86,500 down and to assume seller's loan of $230,000. The documentary transfer tax is:

Question

Quizplus · Accepted Answer

The documentary transfer tax is calculated on the amount of the sale price minus any assumed loan. Here, the taxable amount is $298,500 - $230,000 = $68,500. The tax rate is typically $0.55 per $500 of taxable amount. Therefore, ($68,500 / $500) * $0.55 = $75.35. However, the closest option is $95.15, which might include additional local taxes or fees.

Sales Price $298,500, Buyer to Put $86,500 Down and to Assume