Tax Type
Recordation Tax
Description
Exemption under Utilities Transfer Act
Topic
Documents Subject to Tax
Exemptions
Date Issued
06-09-1986
June 9, 1986
Re: Recordation tax exemption under Utilities Transfer Act §56-90.1
Dear ***************
You have requested a ruling regarding the exemption for transfers of utility property under the Utilities Transfer Act, §§56-88 et seq.
After reviewing the order of the State Corporation Commission approving the proposed transfer of utility property, I am of the opinion that the following deeds may be recorded without the payment of any state recordation tax:
The conveyance of ***************************.
It should be noted that the proposed conveyance will be subject to local recordation tax as if the state tax had been imposed. For this purpose the "grantor's tax" under §58.1-802 is a state tax and may not be imposed on the proposed conveyance.
In addition, the deed should contain a marginal notation that it is exempt from state recordation tax under §56-90.1. See §17-59.
Sincerely,
W. H. Forst
Tax Commissioner
Rulings of the Tax Commissioner