CHAPTER Rev 800 TRANSFER OF REAL PROPERTY
Statutory authority RSA 78-B:8:1
PART Rev 801 DEFINITIONS
Rev 801.01 “Assumed by the
transferee” means the contractual undertaking by the transferee of real estate
of the primary obligation of the transferor with respect to any
mortgage, lien, or encumbrance or of any other obligation, even if the
mortgage, lien, encumbrance, or other obligation is not related to the property
transferred, if the assumption is part of the consideration for the real estate
transferred.
Source. #1169, eff 5-23-78; ss by #2154, eff
10-11-82; ss by #2822, eff 8-17-84; amd #3102, eff 8-20-85; ss and moved by
#4705, Interim, eff 11-21-89, Exp. 3-21-90; ss by #4916, eff 8-21-90; ss by
#5300, eff 12-26-91; ss by #6691, eff 2-21-98, EXPIRED: 2-21-06
New. #8579, eff 3-8-06; ss by #10665, eff 9-9-14;
ss by #14071, eff 9-10-24
Rev 801.02 “Beneficial
interest in the trust is not represented by transferrable shares” means, for
the purposes of Rev 802.02, an interest in an organization:
(a) Where property is
placed in the hands of a trustee who:
(1) Acts
apart from the beneficiaries; and
(2) Manages
and deals with the property as principal for the use and benefit of the
beneficiaries;
(b) Where the shares,
equity interests, and all ownership rights are not transferable without
obtaining prior member approval or causing a dissolution of the
organization; and
(c) Which is not a:
(1) Corporation;
(2) Joint
stock company;
(3) Business
trust;
(4) Common
law trust;
(5) Massachusetts trust;
(6) Real
estate investment trust; or
(7) Homeowners
or condominium association.
Source. #5300, eff 12-26-91; ss by #6691, eff
2-21-98, EXPIRED: 2-21-06
New. #8579, eff 3-8-06; ss by #10665, eff 9-9-14;
ss by #14071, eff 9-10-24
Rev
801.03 “Deed” means any instrument by which the real
estate or interest in real estate is sold, granted, assigned, or transferred,
as described in RSA 78-B:4.
Source. #5300, eff 12-26-91; ss and moved by #6691,
eff 2-21-98 (from Rev 801.02), EXPIRED: 2-21-06
New. #8579, eff 3-8-06; ss by #10665, eff 9-9-14;
ss by #14071, eff 9-10-24
Rev 801.04 “Fair market value” means
the price property would command in an arms length transaction if sold by a
transferor who is willing, but not compelled, to sell and purchased
by a transferee who is willing, but not compelled, to purchase.
Source. #5300, eff 12-26-91; ss by #6691, eff
2-21-98, EXPIRED: 2-21-06
New. #8579, eff 3-8-06; ss by #10665, eff 9-9-14;
ss by #14071, eff 9-10-24
Rev 801.05 “Goodwill” means
the amount, net of any amortization, recorded on the books of the real estate
holding company that represents:
(a) The excess of cost over
fair value of the company's net assets acquired; or
(b) The value ascribed to the excess
earning power of the company, determined according to generally accepted
accounting principles.
Source. #5300, eff 12-26-91; ss and moved by #6691,
eff 2-21-98 (from Rev 801.03), EXPIRED: 2-21-06
New. #8579, eff 3-8-06; ss by #10665, eff 9-9-14;
ss by #14071, eff 9-10-24
Rev 801.06 “Lease” means
“lease” as defined in RSA 78-B:1-a, II-a.
Source. #11005, eff 12-23-15; ss by #14071, eff
9-10-24
Rev 801.07 “Massachusetts
trust” means an unincorporated association organized under Massachusetts law
that:
(a) Invests in real estate
in a manner similar to a mutual fund investing in securities; and
(b) Conveys property to
trustees to be managed for the benefit of the trust certificate holders.
Source. #6691, eff 2-21-98, EXPIRED: 2-21-06
New. #8579, eff 3-8-06; ss by #10665, eff 9-9-14;
renumbered by #11005 (formerly Rev 801.06); ss by #14071, eff 9-10-24
Rev 801.08 “Price or
consideration” means “price or consideration” as defined in RSA 78-B:1-a, IV.
Source. #6691, eff 2-21-98 (from Rev 801.04),
EXPIRED:2-21-06
New. #8579, eff 3-8-06; ss by #10665, eff 9-9-14;
renumbered by #11005 (formerly Rev 801.07) ; ss by #14071, eff 9-10-24
Rev 801.09 “Real estate
holding company” means “real estate holding company” as defined in RSA
78-B:1-a, VI.
Source. #6691, eff 2-21-98, EXPIRED: 2-21-06
New. #8579, eff 3-8-06; ss by #10665, eff 9-9-14
(from Rev 801.07; renumbered by #11005 (formerly Rev 801.08); ss by #14071, eff
9-10-24
Rev 801.10 “Sale, granting,
and transfer” means “sale, granting and transfer” as defined in RSA 78-B:1-a,
V.
Source. #6691, eff 2-21-98, EXPIRED: 2-21-06
New. #8579, eff 3-8-06; ss by #10665, eff 9-9-14;
renumbered by #11005 (formerly Rev 801.09); ss by #14071, eff 9-10-24
Rev 801.11 “State of New
Hampshire” means the state as an entity, all of the various agencies of the
state, all of the various political subdivisions of the state including the
various districts such as village, school, or water districts.
Source. #10665, eff 9-9-14 (from Rev 801.08); renumbered by
#11005 (formerly Rev 801.10); ss by #14071, eff 9-10-24
Rev 801.12 “Transferable
interests” means the equity interest and all ownership rights in the entity
that can be sold, exchanged, assigned, or transferred in any manner by the
owner to another person.
Source. #10665, eff 9-9-14 (from Rev 801.09); renumbered by
#11005 (formerly Rev 801.11); ss by #14071, eff 9-10-24
PART
Rev 802 PROPERTY TRANSFERS SUBJECT TO
TAX
Rev 802.01 Taxable
Transfers. Each sale, granting, and transfer of real estate
shall be subject to the real estate transfer tax, including, but not limited
to:
(a) All sales, grantings, and
transfers of real estate or interests in real estate unless specifically
exempted under RSA 78-B:2;
(b) A sale, granting, or
transfer of standing timber, occurring apart from the sale, granting, or
transfer of the land on which it stands, except timber sold for harvesting on
behalf of the owner of the right to harvest the timber;
(c) A sale or granting of a
right-of-way or an easement on property as in the following example:
Owner A owns waterfront property. Owner B’s property abuts Owner A’s
property and does not have water access. Owner A grants Owner B an easement so
that Owner B can cross Owner A’s property for purposes of accessing the water
to canoe. Owner B pays Owner A $10,000 for the easement. No
additional consideration is exchanged. The transfer between Owner A
and Owner B shall be deemed a taxable sale, granting, or transfer pursuant to
RSA 78-B. Pursuant to RSA 78-B:1-a, IV, the amount of consideration shall be $10,000.
(d) A transfer of real
estate or any interest therein through a foreclosure or by a deed in lieu of
foreclosure even in instances where the transferee and the
transferor are the same person or entity as in the following
example:
Company owns a building
valued at $1 million. Mortgage Lender lent Company $1
million to purchase building. Company ceases making monthly mortgage payments
with $600,000 remaining due to Mortgage Lender and Mortgage Lender takes title
to the property by deed in lieu of foreclosure. The sale by deed in lieu of
foreclosure shall be deemed a taxable sale, granting, or transfer pursuant to
RSA 78-B. Pursuant to RSA 78-B:1-a, IV, the amount of consideration shall be
$600,000.
(e) A sale, granting, or
transfer of real estate or an interest in real estate by a trustee in
bankruptcy;
(f) The lease of real
estate based on the fair market value of the leased property when
the term of the lease is:
(1) For
a period of 99 years or more; or
(2) For
a period of less than 99 years and renewal rights could extend the total period
of time to 99 years or more;
(g) Property transferred
through a deed issued as a result of a sheriff's sale;
(h) The transfer of an exclusive
interest in or right to take soil, gravel, minerals, and the like from
another’s real estate; and
(i) The transfer of each
parcel of real estate transferred as part of an exchange or swap of real estate
or an interest in real estate, whether or not the exchange or swap qualifies
for a federal income tax deferral as in the following example:
Leasing Company,
LLC owns apartment building A valued at $250,000, which is located in New
Hampshire. Leasing Company, LLC paid $100,000 for
apartment building A. Leasing Company, LLC
sells apartment building A to Buyer for $250,000. No additional
consideration is exchanged. Leasing Company, LLC
uses the sale proceeds to purchase apartment building B from
Seller. The total price paid for apartment building B is $2
million. No additional consideration is
exchanged. Leasing Company, LLC’s gain associated with the sale
of apartment building A shall be deferred for federal income tax
purposes because the proceeds from the relinquished property were
used to purchase “like-kind” replacement property in accordance with Internal
Revenue Code Section 1031. Pursuant to RSA 78-B, the transfer
between Leasing Company, LLC and Buyer shall be deemed a taxable sale, granting,
or transfer. Pursuant to RSA 78-B:1-a, IV, the amount of
consideration shall be $250,000. Pursuant to RSA 78-B, the transfer
between Leasing Company, LLC and Seller shall be deemed a taxable sale,
granting, or transfer. Pursuant to RSA 78-B:1-a, IV, the amount of
consideration shall be $2 million.
Source. #ll69, eff 5-23-78; ss by #2154, eff
10-11-82; ss by #2822, eff 8-17-84; ss by #5300, eff 12-26-91; ss by #6691, eff
2-21-98, EXPIRED: 2-21-06
New. #8579, eff 3-8-06; ss by #10665, eff 9-9-14;
amd by #10882, eff 7-11-15; ss by #14071, eff 9-10-24
Rev 802.02 Revocable
Trusts of Real Property.
(a) Transfers to or from a
revocable trust shall be classified as a contractual transfer as defined by RSA
78-B:1-a, II.
(b) The measure of tax upon
such transfer shall be the actual price or consideration as provided by RSA
78-B:1, I(b).
(c) In determining the
amount of the actual price or consideration for the transfer of real estate to
or from a revocable trust, the department shall not presume that the price or
consideration is the fair market value of the property transferred as
authorized by RSA 78-B:9, III, where both of the following criteria apply to
the trust and one of the requirements described in Rev 802.02(d) below is
satisfied:
(1) The
beneficial interest in the trust is not represented by transferable shares; and
(2) The
trust is created and funded for estate planning purposes as a testamentary
substitute.
(d) The department shall
not presume the price or consideration to be fair market value of the property
transferred for transfers under Rev 802.02(c) that are transferred:
(1) Between
a trust and grantor of the trust;
(2) From
a trust to the beneficiaries of the trust upon the death of the grantor of the
trust;
(3) From the trust
to a beneficiary who is the natural object of the grantor’s bounty; or
(4) From
a trustee to a successor trustee of the same trust.
(e) This section shall
apply to transfers to and from a revocable and irrevocable trust as in the
following examples:
(1) Grantor
transfers vacation home with a fair market value of $1 million into Revocable
Trust for estate planning purposes. The beneficiaries of the trust
are Son and Daughter. Son and Daughter’s beneficial interests in
Revocable Trust are not transferable as defined in Rev 801.02. The transfer of
vacation home into Revocable Trust shall be deemed a contractual transfer
pursuant to Rev 802.02(a). However, the price or consideration for
the transfer shall be $0 pursuant to Rev 802.02(b) and (c). As a result,
Grantor shall be subject to the minimum transfer tax
pursuant to RSA 78-B:1, I(b); and
(2) Grantor
transfers vacation home with a fair market value of $1 million into Irrevocable
Trust. No consideration is exchanged. The beneficiaries of
the trust are Son and Daughter. The transfer of vacation home into
Irrevocable Trust shall be a non-contractual transfer pursuant to RSA 78-B:1-a,
III and shall not be subject to the transfer tax in accordance with RSA
78-B:1-a, III.
Source. #1169, eff 5-23-78; ss by #2154, eff
10-11-82; ss by #2452, eff 8-23-83; ss by #2822, eff 8-17-84; ss by #3102, eff
8-20-85; amd by #4704, eff 11-21-89; ss by #4916, eff 8-21-90; ss by #5300, eff
12-26-91; ss and moved by #6691, eff 2-21-98 (formerly Rev 802.10), EXPIRED:
2-21-06
New. #8579, eff 3-8-06; ss by #10665, eff 9-9-14;
amd by #10882, eff 7-11-15; ss by #14071, eff 9-10-24
Rev 802.03 Transfers
Involving the State of New Hampshire or its Political Subdivisions.
(a) Transfers of real
property, whether by sale or grant, from the state of New
Hampshire or a political subdivision of the state of New
Hampshire shall be taxable to the transferee if such transferee is not exempt from tax:
(1) Under
any provision of RSA 78-B; or
(2) As
described in this section.
(b) The tax imposed by RSA
78-B shall not apply to either the transferee or the transferor in
a transfer, whether sale or grant, to the state of New Hampshire and housing
authorities defined by RSA 203:3, I and exempted from tax under RSA 203:22.
(c) The housing finance
authority, as defined by RSA 204-C:1, I and as described by RSA
204-C:2, shall be exempt from the transfer tax as provided in RSA 204-C:49.
(d) If
a person is a party to a transaction with the housing finance
authority, that person shall be liable for payment of the applicable portion of
tax under RSA 78-B:4.
(e) This
section shall apply to transfers involving the state of New
Hampshire or its political subdivisions as in the following example:
Town owns 1 acre
of beachfront property with a fair market value of $1 million. Town
sells the beachfront property to Buyer for $1 million. No additional
consideration is exchanged. Pursuant to RSA 78-B, the transaction shall be deemed
a taxable sale, granting, or transfer. Pursuant to RSA 78-B:1-a, IV,
the amount of consideration shall be $1 million. Town shall be
exempt from payment of the tax pursuant to RSA 78-B:2, I. Buyer shall be
subject to for his or her portion of the tax.
Source. #1169, eff 5-23-78; ss by #2154, eff
10-11-82; ss by #2822, eff 8-17-84; ss by #5300, eff 12-26-91; ss and moved by
#6691, eff 2-21-98 (formerly Rev 802.12), EXPIRED:2-21-06
New. #8579, eff 3-8-06; ss by #10665, eff 9-9-14;
amd by #10882, eff 7-11-15; ss by #14071, eff 9-10-24
Rev 802.04 Transfers
Involving the United States Government.
(a) If a person or
entity is a party to a transaction with the United States government, that
person or entity shall be liable for payment of the applicable portion of the
tax under RSA 78-B:4; as in the following example:
Owner owns 500 acres of
unimproved real estate in the White Mountains with a fair market
value of $500,000. Owner sells all 500 acres to the United States
Department of Agriculture for $500,000. No additional consideration is
exchanged. Pursuant to RSA 78-B, the transaction shall be deemed a taxable
sale, granting, or transfer. Pursuant to RSA 78-B:1-a, IV, the
amount of consideration shall be $500,000. The United States Department of
Agriculture shall be exempt from payment of the tax pursuant to RSA 78-B:2,
II. Owner shall be subject to his or her
portion of the tax.
(b) The tax imposed by RSA
78-B shall not apply to any agency of the United States government, any
instrumentality thereof, or a government corporation which is specifically
exempt from state or local taxation under the provisions of federal law
including, but not limited to, the:
(1) Department
of Veteran's Affairs;
(2) Federal
Land Bank;
(3) Farmers
Home Administration;
(4) Department
of Housing and Urban Development;
(5) Branches
of the military; and
(6) Government
National Mortgage Association.
(c) In instances where the
exempt status of a party to the transfer is uncertain, the county register of
deeds shall:
(1) Request
evidence from the party that:
a. It
is an agency or instrumentality of the United States government; or
b. The
party is exempted from state and local taxation under the provision of federal
law; or
(2) Advise
the director of the department of revenue administration’s audit
division, of the parties to the transfer and the book and page number of the
recording.
Source. #1169, eff 5-23-78; ss by #2154, eff
10-11-82; ss by #2822, eff 8-17-84; ss by #5300, eff 12-26-91; ss and moved by
#6691, eff 2-21-98 (formerly Rev 802.13), EXPIRED: 2-21-06
New. #8579, eff 3-8-06; ss by #10665, eff 9-9-14;
amd by #10882, eff 7-11-15; ss by #14071, eff 9-10-24
Rev 802.05 Transfers of
Interests in Real Estate Holding Companies.
(a) In instances where an
interest in a real estate holding company is granted, sold,
or transferred in any manner by the owner to another person or
entity:
(1) Such
action, unless specifically exempted under RSA 78-B:2, shall create a taxable
transfer of the real estate or the
interest in real estate; and
(2) The
consideration subject to tax shall be determined in
accordance with Rev 805.01, as in the following
example:
Member A and
Member B each own 50% of Real Estate Holding Company, LLC. Real
Estate Holding Company, LLC owns New Hampshire real estate with a
fair market value of $1 million. Member A sells the 50% ownership interest in
Real Estate Holding Company, LLC to New Member C for
$250,000. No additional consideration is exchanged. Under RSA 78-B,
the sale between Member A and New Member C shall be deemed a taxable sale,
granting, or transfer. The amount of consideration shall be $500,000
in accordance with Rev 805.01. There shall not be a taxable sale,
granting, or transfer with respect to Member B or Real Estate
Holding Company, LLC.
(b) A contribution of New
Hampshire real estate, which is already subject to tax under RSA 78-B:1, I(a),
to a real estate holding company shall not be subject to the real estate
transfer tax on the transfer of an interest in a real estate holding company.
(c) A distribution of New
Hampshire real estate, which is already subject to tax under RSA 78-B:1,
I(a), from a real estate holding company to one of its interest holders
shall not be subject to the real estate transfer tax on the transfer of an
interest in a real estate holding company.
(d) A sale, granting, or
transfer of an interest in an entity that holds, either directly or indirectly,
an interest in a real estate holding company, shall be considered to be a sale,
granting, or transfer of an interest in the real estate holding company to the
extent of the ownership interest of the entity in the real estate holding
company. However, such a sale, granting, or transfer shall be exempt
from tax under RSA 78-B if the transfer of the interest has a
de minimis impact on the overall ownership interest of the real estate
holding company based on the number of owners and the interests held by each, as
in the following example:
Trust ABC invests
in a hedge fund, which owns a small number of shares of Apartment
REIT. Apartment REIT is a publicly-traded real estate holding
company with thousands of shareholders. Apartment REIT owns real estate within
and without New Hampshire. Trust ABC cashes out of the hedge
fund. The sale is a taxable sale, granting, or transfer under RSA
78-B. However, the sale is exempt pursuant to Rev 802.05(d), because
the sale has a de minimus impact on the overall ownership of Apartment REIT
based on the number of owners of Apartment REIT, the interests of the owners in
Apartment REIT, including the hedge fund, and the interest of Trust ABC in the
hedge fund.
Source. #1169, eff 5-23-78; ss by #2154, eff
10-11-82; ss by #2822, eff 8-17-84; ss by #5300, eff 12-26-91; ss by #6691, eff
2-21-98, EXPIRED: 2-21-06
New. #8579, eff 3-8-06; ss by #10665, eff 9-9-14;
amd by #10882, eff 7-11-15; amd by #11022, eff 1-21-16;
ss by 14071, eff 9-10-24
Rev 802.06 Amount of
Consideration. The amount of taxable consideration for a taxable transfer
of real estate or an interest in real estate, other than a transfer
to which Rev 802.02(c) applies, shall, absent proof to the contrary, be
presumed to be the fair market value of the real estate transferred when the
transfer is:
(a) Between either an
entity and an owner of the entity; or
(b) Between 2 entities
controlled by the same owners.
Source. #8579, eff 3-8-06; ss by #10665, eff 9-9-14;
ss by #12495, eff 3-21-18; ss by 14071, eff 9-10-24
PART
Rev 803 EXEMPTIONS
Rev 803.01 Modification
of Existing Deed. The tax imposed by RSA 78-B shall not apply to
the recording of a deed which, without additional consideration, confirms,
corrects, modifies, or supplements a deed or other instrument previously
recorded.
Source. #1169, eff 5-23-78; ss by #2154, eff
10-11-82; ss by #2822, eff 8-17-84; ss by #5300, eff 12-26-91; ss by #6691, eff
2-21-98,
EXPIRED: 2-21-06
New. #8579, eff 3-8-06; ss by #10665, eff 9-9-14;
ss by 14071, eff 9-10-24
Rev 803.02 Transfers
Under a Plan of Reorganization. The tax imposed by RSA 78-B
shall not apply to transfers under a plan of reorganization confirmed under 11
USC section 1129.
Source. #1170, eff 5-23-78; #1809, eff 9-9-8l; ss by
#2154, eff 10-11-82; ss by #2822, eff 8-17-84; ss by #5300, eff 12-26-91; ss
and moved by #6691, eff 2-21-98 (formerly Rev 803.03); rpld by #7717, eff
6-22-02
New. #8579, eff 3-08-06; ss by #10665, eff 9-9-14;
ss by 14071, eff 9-10-24
Rev 803.03 Stating
Exemption Claimed on the Deed. Any instrument to be recorded
transferring real estate, or an interest in real estate, for which an
exemption, pursuant to RSA 78-B, is claimed shall state the basis for the exemption.
Source. #8579, eff 3-08-06; ss by #10665,
eff 9-9-14; ss by 14071, eff 9-10-24
Rev 803.04 Single Entity
Reorganizations. The tax imposed by RSA 78-B shall not apply to
single-entity reorganizations pursuant to Internal Revenue Code § 368(a)(1)(F)
governing mere changes in identity, form, or place of organization, or
368(a)(1)(E) governing recapitalization.
Source.
#10665, eff 9-9-14; ss by 14071, eff 9-10-24
Rev 803.05 Carried
Interests. The tax imposed by RSA 78-B shall not apply to
changes in an owner’s carried interests in a real
estate holding company or in an entity owning an interest in a real estate
holding company. For purposes of this section, “carried interests” means a
right that enables the owner of a partnership or limited liability company to
share in the entity’s profits, as in the following example:
Apartment Building
is owned by Partnership, with Partner A, Partner B, and Managing Partner C as
equal partners. Apartment Building has a fair market value of
$900,000. The Partnership agreement provides that Partner A, Partner B, and
Managing Partner C will share equally in profits and losses, except that
Managing Partner C will be entitled to share in 50% of
all profits, once Partner A and Partner B have recovered their initial
investments. If Managing Partner C sells the ownership interest to New Managing
Partner D there shall be a taxable sale, granting, or transfer
between Managing Partner C and New Managing Partner D under RSA
78-B. Pursuant to Rev 805.01(b), the amount of consideration
for the sale shall be $300,000 regardless of whether Partner A or Partner B has
recovered their initial investments. There shall not be a taxable sale,
granting, or transfer with respect to Partner A or Partner B.
Source.
#10665, eff 9-9-14; ss by #10882, eff 7-11-15;
ss by 14071, eff 9-10-24
Rev 803.06 Conversions. The tax
imposed by RSA 78-B shall not apply to the conversion of a business entity to a
different form of organization pursuant to RSA 78-B:2, XXI.
Source.
#10882, eff 7-11-15; ss by #12495, eff 3-21-18;
ss by 14071, eff 9-10-24
Rev 803.07 Leases. The
tax imposed by RSA 78-B shall not apply to the transfer of a lease where
the term of the lease, including all renewals, is less than 99 years pursuant
to RSA 78-B:2, XX.
Source.
#11005, eff 12-23-15;
ss by 14071, eff 9-10-24
PART Rev 804 CONTRACTUAL AND NONCONTRACTUAL TRANSFERS
Rev 804.01
Source. #1175, eff 5-23-78; ss by #2154, eff
10-11-82; ss by #2822, eff 8-17-84; amd by INTERIM #4705, eff 11-21-89; ss by
#5300, eff 12-26-91; ss by #6691, eff 2-21-98, EXPIRED: 2-21-06
New. #8579, eff 3-08-06; ss by #10665, eff 9-9-14; ss by 14071, eff 9-10-24
PART Rev 805 CONSIDERATION FOR, AND VALUATION OF, PROPERTY
Rev 805.01 Real Estate
Holding Companies. The amount of taxable consideration with
respect to a transfer of an interest in a real estate
holding company shall be computed as follows:
(a) Where the entire
interest in the company is transferred, the consideration shall be the sum of
the fair market value of all the New Hampshire real estate or interests therein
owned or held by the company; or
(b) Where less than the
entire interest in the company is transferred, the consideration shall be
determined by multiplying the fractional interest transferred by the sum of the
fair market value of all the New Hampshire real estate or interests therein owned or held by the company.
Source. #1177, eff 5-23-78; ss by #2154, 10-11-82; ss
by #2822, eff 8-17-84; amd by INTERIM #4705, eff 11-21-89; ss by #5300, eff
12-26-91; ss by #6691, eff 2-21-98, EXPIRED: 2-21-06
New. #8579, eff 3-8-06; ss by #10665, eff 9-9-14;
ss by 14071, eff 9-10-24
Rev 805.02 Appeal of
Assessment Based on Fair Market Value.
(a) If the parties to a
transfer are aggrieved by the department’s determination of the fair market
value, the taxpayer may appeal in accordance with Rev 200.
(b) A party appealing the determination of fair market value shall
provide factual evidence to show that the presumption of fair
market value was inappropriate because of extenuating circumstances such as,
but not limited to, a forced sale of property due to:
(1) A hardship of
an owner; or
(2) Damage to the
property.
Source. #5300, eff 12-26-91; ss by #6691, eff
2-21-98, EXPIRED:
2-21-06
New. #8579, eff 3-8-06; ss by #10665, eff 9-9-14;
rpld by #12495, eff 3-21-18; ss by 14071, eff 9-10-24 (formerly Rev 805.03)
PART Rev 806 REGISTER OF DEEDS
Rev 806.01 Insufficient
Remittance. If the register of deeds is presented
an instrument to record and the accompanying remittance is insufficient to pay
for the tax and the recording fee, the remittance shall be first applied to the
tax.
Source. INTERIM #4705, eff 11-21-89; ss by #5300, eff
12-26-91; ss by #6691, eff 2-21-98, EXPIRED: 2-21-06
New. #8579, eff 3-8-06; ss by #10665, eff 9-9-14; ss by 14071, eff 9-10-24
Rev 806.02 Payment to
Department. Each register of deeds shall remit the taxes
collected, in accordance with RSA 78-B:8, and file a completed Form
DP-4, “Monthly Report of Taxes & Surcharge Fees Collected on Transfer of
Real Property,” by:
(a) Filing and paying electronically
through the Granite Tax Connect web portal located at www.revenue.nh.gov/gtc;
or
(b) Mail to:
New Hampshire Department of Revenue
Administration
Taxpayer Services Division
PO Box 637
109 Pleasant Street
Concord, NH 03302-0637.
Source. #1178, eff 5-23-78; ss by #2154, eff
10-11-82; ss by #2822, eff 8-17-84; ss #3102, eff 8-20-85; amd by INTERIM #4705, eff 11-21-89; ss by #5300, eff
12-26-91; ss by #6691, eff 2-21-98, EXPIRED: 2-21-06
New. #8579, eff 3-8-06; ss by #10665, eff 9-9-14;
ss by #13490, eff 11-15-22; ss by 14071, eff 9-10-24
Rev 806.03 Notice of
Real Estate Transfer Tax Refunded.
(a) Upon receipt of Form
DP-3R, “Notice of Real Estate Transfer Tax Refunded” from the
department, the register shall record Form DP-3R.
(b) No recording fee, or
other fee, shall be charged by the register to either the department or to any
party to the transfer with respect to the recording of
the refund.
(c) The register shall
include the total amount of tax refund as indicated on each Form DP-3R to Form
DP-4.
(d) The register shall
attach a copy of each Form DP-3R issued by the department to Form DP-4.
Source. #6691, eff 2-21-98, EXPIRED: 2-21-06
New. #8579, eff 3-8-06; ss by #10665, eff 9-9-14;
ss by 14071, eff 9-10-24
Rev 806.04 Notice of
Additional Tax Collected by Department.
(a) Upon receipt of Form
DP-3, “Notice of Additional Real Estate Transfer Tax Collected”, from the
department the register shall record Form DP-3.
(b) No recording fee, or
other fee, shall be charged by the register to either the department or to any
party to the transfer with respect to the recording of
the additional tax collected.
(c) The register shall
include the total amount of the additional real estate transfer tax collected
during a month, as indicated on each Form DP-3, issued by the department, on
Form DP-4 filed with the department for the month in which the additional tax
was collected.
(d) The register shall
attach a copy of each Form DP-3, issued by the department to
Form DP-4, when filed with the department.
Source. #6691, eff 2-21-98, EXPIRED: 2-21-06
New. #8579, eff 3-8-06; ss by #10665,
eff 9-9-14; amd by #12832, eff 7-25-19; ss by 14071,
eff 9-10-24
PART Rev 807 DECLARATIONS OF CONSIDERATION, PAYMENTS AND
REFUNDS
Rev
807.01 Transfers.
(a) The tax on any
transfer, sale, or grant subject to tax shall be due on the earlier
of:
(1) The date the
instrument effecting such transfer, sale, or grant is
recorded; or
(2) The date 30
days after the date of the sale, grant, or transfer.
(b) Any transfer, sale, or
grant executed, acknowledged, and delivered and presented for recording at the
county registry of deeds on or after the effective date of a change in the tax
rate shall be subject to the tax rate in effect at the time the transfer was
executed, acknowledged, and delivered.
(c) The burden of proof as
to the date of delivery of the deed shall be the obligation of the purchaser.
Source. #5300, eff 12-26-91; ss by #6691, eff
2-21-98, EXPIRED: 2-21-06
New. #8579, eff 3-8-06; ss by
#10665, eff 9-9-14; ss by 14071, eff 9-10-24
Rev 807.02 Declaration
of Consideration For Certain Exempt Transfers. For all
noncontractual transfers, the purchaser, grantee, assignee, or transferee shall
file a Form CD-57-P, “Real Estate Transfer Tax Declaration of Consideration
Real Estate Purchaser (Grantee),” or Form CD-57-HC-P, “Real Estate Transfer Tax
Declaration of Consideration for Real Estate Holding Companies (Purchaser),” as
appropriate, and the seller, grantor, assignor, or transferor shall separately
file a Form CD-57-S, “Real Estate Transfer Tax Declaration
of Consideration Real Estate Seller (Grantor),” or Form CD-57-HC-S, “Real
Estate Transfer Tax Declaration of Consideration for Real Estate Holding
Companies (Seller),” as appropriate.
Source. #5300, eff 12-26-91; ss by #6691, eff
2-21-98; ss by #7717, eff 6-22-02, ss by #8579, eff 3-8-06; ss by #10062, eff
12-24-11;
ss by #10665, eff 9-9-14; ss by 14071, eff 9-10-24
Rev 807.03 Amended
Declarations of Consideration. If an error has been made on an
original declaration, the applicable form, either Form CD-57-P, Form CD-57-S,
Form CD-57HC-P, or Form CD-57HC-S, shall be re-filed with
the correct information by:
(a) Checking the box marked
"Amended Return";
(b) Referring
to the original deed or other instrument, if applicable, to which the
amendment refers;
(c) Clearly indicating at
least one name from the originally filed declaration of consideration for each
of the following groups:
(1) Seller,
grantor, assignor, or transferor; and
(2) Purchaser,
grantee, assignee, or transferee;
(d) Clearly indicating the
book and page number of the transfer, as originally recorded;
(e) Containing a concise
statement as to the reason for the amended declaration of consideration;
(f) Including the dated
signatures of each assignor, grantor, seller, transferor, assignee,
grantee, purchaser, and transferee, or the respective party’s authorized
representative; and
(g) Filing the amended
form(s) in accordance with Rev 809.04 or Rev 809.05.
Source. #5300, eff 12-26-91; ss by #6691, eff
2-21-98, EXPIRED: 2-21-06
New. #8579, eff 3-8-06; ss by #10062, eff
12-24-11; ss by #10665, eff 9-9-14; amd by #12025, eff 10-28-16; ss by 14071,
eff 9-10-24
Rev 807.04 Refund Requests.
(a) All requests for refund
shall be submitted by the taxpayer on an amended Form CD-57-P, Form CD-57-S,
Form CD-57-HC-P, or Form CD-57-HC-S, as appropriate, in accordance with Rev
807.03. In addition, the taxpayer shall attach the following to the amended
form:
(1) A
copy of the originally filed Form CD-57-P, Form CD-57-S, Form CD-57-HC-P, or
Form CD-57-HC-S, as appropriate;
(3) An
explanation of the reason for the refund request;
(4) The
statutory authority under which the request is made;
(5) The
signature of each taxpayer requesting the refund;
(6) A
copy of the purchase and sales agreement, if any, with any amendments thereto,
for the transfer;
(7) A
copy of the closing statement, if any, providing complete details of the
amounts due to and from the transferee and the transferor of the real
estate; and
(8) Any
other documentation to prove a refund is owed to the
party requesting the refund.
(b) Within 60 days of the
department’s receipt of the request and all required documentation as provided
in Rev 807.04(a), the department shall notify the taxpayer who requested the
refund whether the request is granted or denied in whole
or in part. If the refund request is denied, the department shall
also notify the taxpayer of their appeal rights, pursuant to RSA 21-J:28-b, II.
(c) Within 15 business days
following the end of the month in which the department makes a refund on a
recorded transfer, the department shall send Form DP-3R, “Notice of Real Estate
Transfer Tax Refunded,” to the register of the county in which the property
transferred was located.
Source. #6691, eff 2-21-98, EXPIRED: 2-21-06
New. #8579, eff 3-8-06; ss by #10062, eff 12-24-11; ss by #10665,
eff 9-9-14; amd by #12832, eff 7-25-19; ss by 14071, eff 9-10-24
Rev 807.05 Payment of
Tax on Transfers of Real Estate Holding Company Interests. Reporting
and payment of tax on transfers of interests in real
estate holding company shall be subject to the
following:
(a) All transfers of
interests in real estate holding companies shall be reported to the department
within 30 days of the transfer using a Form CD-57-HC-P or Form CD-57-HC-S, as
provided in Rev 809.05;
(b) Payment on taxable
transfers of interests in real estate holding companies, which shall be due
within 30 days of the date of the transfer, shall be made electronically
or by check payable to the state of New Hampshire;
(c) Declarations filed in
accordance with (a), above, with respect to transfers that are exempt pursuant
to RSA 78-B:2, shall contain a brief written explanation of the reason for
the exemption or exception on the document; and
(d) Any interest on the
balance of tax due on a transfer of holding company interests determined
under the provisions of RSA 21-J:28 shall be calculated from the
date 30 days after the date of transfer.
Source. #6691, eff 2-21-98, EXPIRED: 2-21-06
New. #8579, eff 3-8-06; ss by #10062, eff 12-24-11; ss by #10665,
eff 9-9-14; ss by #13490, eff 11-15-22; ss by 14071,
eff 9-10-24
PART
Rev 808 ADMINISTRATION
Rev 808.01 Taxpayer
Records and Information. Every transferor and transferee shall
maintain all appraisals, accounting, financial, or general information relied
upon to establish the value of the real estate transferred or any other
information required to be shown on any document or attachment required
pursuant to RSA 78-B, Rev 802, Rev 805, Rev 806, Rev 807, Rev 809, and Rev
810.
Source. #6691, eff 2-21-98, EXPIRED: 2-21-06
New. #8579, eff 3-8-06; ss by #10665,
eff 9-9-14; ss by 14071, eff 9-10-24
Rev 808.02 Informal
Pre-Assessment Conference.
(a) The purpose of an
informal pre-assessment conference shall be to discuss the audit findings with
transferors, transferees, and the department’s audit division in an
effort to reach an agreement on the issues of fact, audit results, or both.
(b) At the conclusion of an
audit, when the facts and circumstances of the audit review indicate to the
transferor or transferee that an informal pre-assessment
conference would benefit both the state and the transferor or transferee, the
transferor or transferee may request, orally or in writing, an informal
pre-assessment conference and the department shall provide an
informal pre-assessment conference for the parties, or the authorized
representatives.
(c) The department’s audit
division shall notify the transferor or transferee or the authorized
representative by mail of:
(1) The
date, time, and location for the conference; and
(2) The
advance information that the transferor, transferee, or the authorized
representatives shall be requested to provide the audit division.
(d) The information
requested by (c)(2), above, shall include:
(1) The name,
address, and identification number of the transferor and the
transferee;
(2) An outline of
the areas of agreement and disagreement;
(3) Documentation
in support of transferor's and transferee's position such as, but not limited
to:
a. Citations
of supporting case law;
b. Statutory
or regulatory provisions; and
c. Documents
or correspondence from unrelated parties;
(4) Responses
to any outstanding questions raised by the department’s auditor
during the audit; and
(5) The
names of the individuals who shall participate in the informal pre-assessment
conference on behalf of the transferor and transferee.
(e) Upon completing the
review of material provided during the informal pre-assessment conference,
the department’s audit division shall determine the appropriate disposition of
the audit review and shall notify the transferor or transferee in writing
of the decision with a copy of the taxpayer bill of rights. The issuance of this notice shall begin the
period for formal appeal to the commissioner under RSA 21-J:28-b and Rev 200.
Source. #6691, eff 2-21-98, EXPIRED: 2-21-06
New. #8579, eff 3-8-06; ss by #10665,
eff 9-9-14; ss by 14071, eff 9-10-24
PART
Rev 809 FORMS
Rev 809.01 Form DP-3R,
Notice of Real Estate Transfer Tax Refunded. Within 15 business
days following the end of the month in which the department refunds transfer
tax on a recorded transfer, the department shall submit Form
DP-3R, “Notice of Real Estate Transfer Tax Refunded” to the register of deeds
of the county in which the property transferred is located.
Source. #6691, eff 2-21-98, EXPIRED: 2-21-06
New. #8579, eff 3-8-06; ss by #10665,
eff 9-9-14; ss by 14071, eff 9-10-24
Rev 809.02 Form DP-3,
Notice of Additional Real Estate Transfer Tax Collected. Within
15 business days following the end of the month in which the department
collects additional transfer tax on a recorded transfer, the
department shall submit Form DP-3, “Notice of Additional Real Estate Transfer
Tax Collected”, to the register of deeds of the county in which the property
transferred is located.
Source. #6691, eff 2-21-98, EXPIRED: 2-21-06
New. #8579, eff 3-8-06; ss by #10665,
eff 9-9-14; ss by 14071, eff 9-10-24
Rev 809.03 Form
DP-4, Monthly Report of Taxes & Surcharge
Fees Collected on Transfer of Real Property. Form DP-4,
“Monthly Report of Taxes & Surcharge Fees Collected on Transfer
of Real Property”, shall be completed and filed, on or before the 10th day of
the month following the month of collection, by each county register of deeds,
and shall be accompanied by the following supporting documentation when
applicable:
(a) For
any tax collected directly by the department, a copy of the letter of advice
written by the department to the register; and
(b) Completed Form
DP-65, “Credit Claim for Real Estate Transfer Tax Indicia,” Form DP-65S,
“Credit Claim for Recording Surcharge Indicia,” or both, as applicable.
Source. #6691, eff 2-21-98, EXPIRED: 2-21-06
New. #8579, eff 3-8-06; ss by #10665,
eff 9-9-14; amd by #12832, eff 7-25-19; ss by 14071, eff
9-10-24
Rev 809.04 Form CD-57-P
“Real Estate Transfer Tax Declaration of Consideration Real Estate Purchaser
(Grantee)” and Form CD-57-S, Real Estate Transfer Tax Declaration of
Consideration Real Estate Seller (Grantor).
(a) The purchaser, grantee,
assignee, or transferee shall complete and file a Form CD-57-P and the seller,
grantor, assignor, or transferor shall complete and file a Form CD-57-S to
report to the department the price or consideration paid for the real estate as
required by RSA 78-B:10, unless exempted under RSA 78-B:2.
(b) The form shall be:
(1) Filed
electronically through the Granite Tax Connect web portal located at www.revenue.nh.gov/gtc;
or
(2) Mailed
to:
New Hampshire
Department of Revenue Administration
Taxpayer Services
Division
PO Box 3308
109 Pleasant
Street
Concord, NH
03302-3308
(c) For purposes of
administering the tax laws of the state, as assigned by statute and pursuant to
the federal social security act, 42 USC 405 (c)(2)(C)(i), taxpayers
shall provide their taxpayer identification number or numbers on all tax
returns and related documents.
Source. #6691, eff 2-21-98, EXPIRED: 2-21-06
New. #8579, eff 3-8-06; ss by #10062, eff 12-24-11; ss by #10665,
eff 9-9-14; ss by #13490, eff 11-15-22; ss by 14071, eff 9-10-24
Rev 809.05 Form
CD-57-HC-P Real Estate Transfer Tax Declaration of Consideration for Real
Estate Holding Companies (Purchaser) and Form CD-57-HC-S, Real Estate Transfer
Tax Declaration of Consideration for Real Estate Holding
Companies (Seller).
(a) The purchaser, grantee,
assignee, or transferee of interests in real estate holding companies shall
complete and file a Form CD-57-HC-P and the seller, grantor, assignor, or
transferor of interests in real estate holding companies shall complete and
file a Form CD-57-HC-S, to report to the department the price or consideration
paid for the interest in real estate, as required by RSA 78-B:10.
(b) Payment of the
amount of the tax shall accompany the form.
(c) The form and
payment shall be:
(1) Filed
electronically through the Granite Tax Connect web portal located at www.revenue.nh.gov/gtc;
or
(2) Mailed
to:
New Hampshire Department of
Revenue Administration
Taxpayer Services Division
PO Box 637
109 Pleasant Street
Concord, NH 03302-0637
(d) For
purposes of administering the tax laws of the state, as assigned by
statute and pursuant to the federal social security act, 42 USC 405
(c)(2)(C)(i), taxpayers shall provide their taxpayer identification number or
numbers on all tax returns and related documents.
Source. #8579, eff 3-8-06; ss by #10062, eff 12-24-11; ss by #10665,
eff 9-9-14; ss by #13490, eff 11-15-22; ss by 14071, eff 9-10-24
Rev 809.06 Form DP-65,
Credit Claim for Real Estate Transfer Tax Indicia.
(a) Form DP-65, “Credit
Claim for Real Estate Transfer Tax Indicia,” shall be completed and filed with
the department by the county register of deeds for erroneously issued indicia
of tax paid.
(b) The register shall
enclose a photocopy of the document upon which the erroneous indicia was
affixed.
Source. #8579, eff 3-8-06; ss by #10665, eff 9-9-14;
amd by #12832, eff 7-25-19; ss by 14071, eff 9-10-24
Rev 809.07 Form DP-65S
Credit Claim for Recording Surcharge Indicia.
(a) Form
DP-65S, “Credit Claim for Recording Surcharge Indicia,” shall be filed with the
department by the county register of deeds for erroneously issued indicia of
tax paid, or non-sufficient funds.
(b) The
register shall enclose a photocopy of the recorded document upon which the
erroneous indicia was affixed.
Source. #8579, eff 3-8-06; ss by #10665, eff 9-9-14;
ss by #12832, eff 7-25-19;
ss by 14071, eff 9-10-24
PART Rev
810 PENALTIES AND INTEREST
Rev 810.01 Penalties.
(a) Any declaration of
consideration required to be filed with the department under RSA 78-B shall be
considered a return and subject to penalty under RSA 21-J:31.
(b) Penalties shall
be paid to the department.
Source. #6691, eff 2-21-98, EXPIRED: 2-21-06
New. #8579, eff 3-8-06; ss by #10665, eff 9-9-14; ss by #14071, eff 9-10-24
Rev 810.02 Interest.
(a) A declaration of
consideration required to be filed with the department under RSA 78-B shall
be considered a return and subject to interest under RSA
21-J:28.
(b) Interest shall be
paid to the department.
Source.
#8579, eff 3-8-06; ss by #10665, eff 9-9-14; ss by #14071, eff 9-10-24
APPENDIX
|
Rule |
Specific State Statute the Rule
Implements |
|
|
|
|
Rev 801.01 – Rev
801.05 |
RSA 78-B:8 |
|
Rev 801.06 |
RSA 78-B:1-a,
II-a |
|
Rev 801.07 |
RSA 78-B:8 |
|
Rev 801.08 |
RSA 78-B:1-a, IV |
|
Rev 801.09 – Rev
801.12 |
RSA
78-B:1-a,V-VI, RSA 78-B:8 |
|
|
|
|
Rev 802.01 |
RSA 78-B:8 |
|
Rev 802.02 |
RSA 304-C:149,
RSA 78-B:1, I(b) |
|
Rev 802.03 – Rev
802.04 |
RSA 78-B:2,I,
RSA 78-B:2,II, 78-B:8. |
|
Rev 802.05 |
RSA 78-B:8, RSA
78-B:2, RSA 78-B:1, I, RSA 78-B:1-a, V |
|
Rev 802.06 |
RSA 78-B:9,III,
RSA 78-B:8, I |
|
|
|
|
Rev 803.01 – Rev
803.03 |
RSA 78-B:2; RSA
78-B:2, V, RSA 78-B:2, VIII, RSA 78-B:2,IX, RSA 78-B:2, XXI, RSA78-B:8 |
|
Rev 803.04 – Rev
803.05 |
RSA 78-B:2,
XXI, RSA 78-B:8 |
|
Rev 803.06 |
RSA 78-B:8, I,
RSA 78-B:2, XXI |
|
Rev 803.07 |
RSA 78-B:2, XX |
|
|
|
|
Rev
804.01 |
RSA
78-B:8 |
|
|
|
|
Rev 805.01 |
RSA 78-B:1-a,V,
RSA 78-B:8 |
|
Rev 805.02 |
RSA 78-B:8 |
|
|
|
|
Rev 806.01 – Rev
806.04 |
RSA 78-B:8, RSA 78-B:9-a |
|
|
|
|
Rev 807.01 |
RSA 78-B:8 |
|
Rev 807.02 |
RSA 78-B:8, RSA
78-B:10 |
|
Rev 807.03 |
RSA 78-B:8, RSA
78-B:10 |
|
Rev 807.03 |
RSA 78-B:8, RSA
78-B:10, I |
|
Rev 807.04 |
RSA 78-B:8, RSA
78-B:10 |
|
Rev
807.05 |
RSA78-B:1-a,
V; RSA 78-B:10 |
|
Rev 808.01 – Rev
808.02 |
RSA 78-B:8, RSA
78-B:11 |
|
|
|
|
Rev 809.01 – Rev
809.03 |
RSA 78-B:8 |
|
Rev 809.04 - Rev
809.05 |
RSA78-B:8, RSA
78-B:10 |
|
Rev 809.06 -
809.07 |
RSA 78-B:8 |
|
|
|
|
Rev 810.01 |
RSA
21-J:3; RSA 78-B:7-a, RSA 78-B:8, RSA 78-B:10 |
|
Rev 810.02 |
RSA
21-J:3; RSA 21-J:28; 78-B:7-a, RSA 78-B:8, RSA 78-B:10 |