This bill proposes to increase the threshold for imposing certain fees and taxes on real property transfers from $1 million to $2 million. Specifically, it amends existing legislation to state that a fee will be applied to the grantee of a deed for the transfer of various types of real property, including residential, commercial, and certain farm properties, only when the consideration exceeds $2 million. The fee, which is set at one percent of the total consideration, will be collected by the county recording officer at the time the deed is recorded and subsequently remitted to the State Treasurer.

Additionally, the bill modifies the controlling interest transfer tax, which applies to the sale or transfer of a controlling interest in entities that own classified real property. This tax will also only be applicable when the consideration exceeds $2 million. The bill outlines exemptions for certain transactions, such as those involving tax-exempt organizations or corporate mergers where the assessed value of the transferred property is less than 20% of the total assets exchanged. The changes are set to take effect 30 days after the bill's enactment.

Statutes affected:
Introduced: 46:15-7.2, 54:15C-1