Question

Except for the amount of mortgage that may be assumed, as sale in New York State is subject to a transfer tax of

a. $0.55 per $500 or fraction thereof of the consideration paid.
b. 1 percent on a sale of less than $500,000
c. 10 percent where the consideration is more than $1 million.
d. $2 per $500 or fraction thereof of the Consideration paid.

Answer 1

A sale in New York State is subject to a transfer tax. The tax rates depend on the consideration paid for the sale.

Step-by-step explanation:

In New York State, a sale is subject to a transfer tax. The amount of the tax depends on the consideration paid for the sale. The different tax rates are as follows:

1. $0.55 per $500 or fraction thereof of the consideration paid
2. 1 percent on a sale of less than $500,000
3. 10 percent where the consideration is more than $1 million
4. $2 per $500 or fraction thereof of the consideration paid

For example, if the consideration paid for a sale is $700,000, the transfer tax would be 1 percent of $500,000 ($5,000) plus 10 percent of $200,000 ($20,000), resulting in a total transfer tax of $25,000.