THIS BULLETIN IS FURNISHED TO INFORM YOU OF CURRENT DEVELOPMENTS. AS A REMINDER, YOU ARE CHARGED WITH KNOWLEDGE OF THE CONTENT ON VIRTUAL UNDERWRITER AS IT EXISTS FROM TIME TO TIME AS IT APPLIES TO YOU, AS WELL AS ANY OTHER INSTRUCTIONS. OUR UNDERWRITING AGREEMENTS DO NOT AUTHORIZE OUR ISSUING AGENTS TO ENGAGE IN SETTLEMENTS OR CLOSINGS ON BEHALF OF STEWART TITLE GUARANTY COMPANY. THIS BULLETIN IS NOT INTENDED TO DIRECT YOUR ESCROW OR SETTLEMENT PRACTICES OR TO CHANGE PROVISIONS OF APPLICABLE UNDERWRITING AGREEMENTS. CONFIDENTIAL, PROPRIETARY, OR NONPUBLIC PERSONAL INFORMATION SHOULD NEVER BE SHARED OR DISSEMINATED EXCEPT AS ALLOWED BY LAW. IF APPLICABLE STATE LAW OR REGULATION IMPOSES ADDITIONAL REQUIREMENTS, YOU SHOULD CONTINUE TO COMPLY WITH THOSE REQUIREMENTS.
Bulletin: NY000704
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Bulletin: NY000704
The Town of Chatham, New York (Columbia County), has passed a law implementing a 1.5 % transfer tax on conveyances of real property located within the Town. The tax is effective for transfers for which the Contract of Sale is dated or executed on or after February 1, 2024. A town-specific form, The Town of Chatham Transfer Tax Return (“TOCTTR”) will be required to be filed with all deeds for transfers that take place on or after February 1, 2024. (Local Law No. 7 of 2023, §60-1, et seq).
Conveyances made on or after February 1, 2024 but made pursuant to binding written contract entered into prior to such date are exempt. However, the burden is on the filer to demonstrate the date of execution of such contract by independent evidence such as the recording of the contract, payment of a deposit, or other facts and circumstances as determined by the County Clerk. (§60-2).
Written evidence of recording of purchase agreement or first and last page of said agreement must be attached to the form to claim the exemption. (§60-3 B).
The tax is applied to the amount of consideration in excess of “the most recent median sales price of residential real property in Columbia County (§60-6) as determined from the following website:
https://www.tax.ny.gov/research/property/assess/sales/resmedian.htm
As of the writing of this Bulletin, the median sales price is currently $370,000.00. This amount is the median sales price from 2022 and is subject to change upon release of the median sales price for 2023 and subsequent years. Parties and counsel will need to check this resource when preparing the transfer tax return.
The tax is payable by the grantee, but is payable by the grantor if the grantee is either exempt or fails to pay the tax. (§60-6 A).
To view The Town of Chatham Local Laws, please visit https://ecode360.com/laws/CH1668
In the event you have any questions regarding the above, please contact Stewart Title Legal Department at 212-922-0050 and speak with any Underwriting Counsel.
For on-line viewing of this and other bulletins, please log onto www.vuwriter.com.
Forms: Chatham Transfer Tax Form
Attachments: Chatham Local Law No. 7
References
- Bulletins Replaced:
- None
- Related Bulletins:
- None
- Underwriting Manual:
- None
- Exceptions Manual:
- None
- Forms:
- None