Source: http://www.dor.state.wi.us/faqs/slf/retr/retr-g.html
Timestamp: 2014-11-01 08:48:03
Document Index: 58065383

Matched Legal Cases: ['§ 1732', '§ 3532', '§ 2071', '§ 2011', '§ 2031', '§ 2091', '§ 201', '§ 1441']

Real Estate Transfer Fee Common Questions - G - Wisconsin Department of Revenue
Is a gift of real estate to a university or college foundation that funds research and scholarships exempt from a transfer return and transfer fee under sec. 77.25(2g), Wis. Stats.?
Is a quit claim deed for a conversion from a general partnership to the limited liability partnership subject to a transfer fee?
Are all sales to a governmental agency exempt from fee under sec. 77.25(12), Wis. Stats, pursuant to or in lieu of condemnation?
Is the following satisfaction of a land contract exempt per sec. 77.25(17), Stats? A city sells property to an individual on land contract and the transfer return (required since the transferor is the lender) was filed using Exemption (2). Later the city sells its vendor's interest in the land contract to another individual and records the assignment without a return as the vendor's interest is a personal interest in a debt. Now the deed in satisfaction is being recorded. Does Exemption (17) apply since the land contract was exempt and the current vendor is not a governmental agency? When gifting property to a public school district, is this conveyance exempt from fee?
My company has just started handling the resale of properties foreclosed by Federal Home Loan Mortgage Corporation (Freddie Mac). Is a transfer fee due when sold to a new buyer, or does exemption sec. 77.25(2), Stats, apply to the sale?
Can you give some examples of other Governmental Agencies?
No, a foundation is not an instrument, agency, or subdivision of the United States or the state.
Yes, Even though the house was a gift, a fee is due on the full market value of the property per sec. 77.21(3)(b), Wis. Stats. Transactions between and uncle and niece or nephew are not exempt.
Is a quit claim deed from a general partnership for a conversion to the limited liability partnership subject to a transfer fee?
No. A general partnership registering as a limited liability partnership, is exempt under sec. 77.25(6d), Wis. Stats. "Pursuant to partnerships registering as limited liability partnerships under sec. 178.40, Wis. Stats." Exemption (6d) is only for conversion of a general partnership to a limited liability partnership.
Yes. A conversion from a general partnership to a limited liability corporation is not permitted under sec. 178, Wis. Stats. It is a conveyance between two entities and is subject to transfer fee.
Sec. 77.25(6m), Wis. Stats., is specific to conversions of a limited partnership under sec. 179.76, Wis. Stats.; domestic corporation under sections 180.1161 and 181.1161, Wis. Stats., and limited liability companies under sec. 183.1207, Wis. Stats., to another form of entity permitted. Exemption (6m) only applies if, after the permitted conversion, the ownership interests in the new entity are identical with ownership interests in the original entity immediately preceding the conversion. Government Agencies
No. Not all sales to a governmental agency are exempt from fee. The conveyance is exempt per Exemption (12) as "pursuant to or in lieu of condemnation" if the sale meets the criteria under sec. 32.05, or sec. 32.06 Wis. Stats. At a minimum the procedures under Chapter 32 for condemnation need to be initiated.
The property purchased has been on the open market for sale.
The property was the final selection of many parcels for a project that could have been placed anywhere. For example: a maintenance garage would not be exempt because it could be placed anywhere, as opposed to an extension of an airport runway which must be placed at the end of a runway.
Is the following satisfaction of a land contract exempt per sec. 77.25(17), Stats? A city sells property to an individual on land contract and the transfer return (required since the transferor is the lender) was filed using Exemption (2). Later the city sells its vendor's interest in the land contract to another individual and records the assignment without a return as the vendor's interest is a personal interest in a debt. Now the deed in satisfaction is being recorded. Does Exemption (17) apply since the land contract was exempt and the current vendor is not a governmental agency?
Yes. A gift to a public school district is exempt from the fee per sec. 77.25(2g), Wis. Stats. Note that a gift to a private school is subject to fee per Tax 15.03(5) Wis. Adm. Code which relates to: "conveyances between an individual and a tax exempt organization.
My company has just started handling the resale of properties foreclosed by Federal Home Loan Mortgage Corporation (Freddie Mac). My question is whether or not a transfer fee will be due when they sell to a new buyer, or does exemption sec. 77.25(2), Stats, apply to the sale?
Freddie Mac is exempt from transfer fee per sec. 77.25(2), Stats. as an instrumentality of the United States based upon Rust v. Johnson, 597 F.2d 174 (9th Cir. 1979). Federal Home Loan Mortgage Corporation (Freddie Mac) and Federal National Mortgage Association (Fannie Mae) are exempt from transfer fee. See, sec. 77.25(2) ("From the United States or from this state or from any instrumentality, agency or subdivision of either.") The exemption from real estate transfer fee is not by their charter under 12 USCS § 1732a(c) since they are subject to state and local real estate taxes.
Department of Housing and Urban Development, 42 USCS § 3532 Federal Intermediate Credit Bank, 12 USCS § 2071 Federal Land Bank, 12 USCS § 2011 Federal Land Bank Association, 12 USCS § 2031 Production Credit Association, 12 USCS § 2091 Veterans Administration, 38 USCS § 201 Federal Home Mortgage Corporation Federal National Mortgage Association Farmers Home Administration Farmers Home Loan Mortgage Corporation Farm Credit Banks Federal Housing Authority Government National Mortgage Association (Ginny Mae) Resolution Trust Corporation, 12 USCA § 1441 Federal Deposit Insurance Corporation