§ 1108.

APPLICATION TO PARTNERSHIPS: TITLE CHANGES NOT AFFECTING OWNERSHIP

a.

In the case of any realty held by a partnership or other entity treated as a partnership for federal income tax purposes, no levy shall be imposed pursuant to this Article by reason of any transfer of an interest in a partnership or other entity treated as a partnership for federal income tax purposes or otherwise, if:

1.

Such partnership or other entity treated as a partnership (or another partnership or other entity treated as a partnership) is considered a continuing partnership within the meaning of Section 708 of the Internal Revenue Code of 1986, as amended; and

2.

Such continuing partnership or other entity treated as a partnership continues to hold the realty concerned.

b.

If there is a termination of any partnership or other entity treated as a partnership for federal income tax purposes within the meaning of Section 708 of the Internal Revenue Code of 1986, as amended, for purposes of this Article, such partnership or other entity shall be treated as having executed an instrument whereby there was conveyed, for fair market value, all realty held by such partnership or other entity at the time of such termination.

c.

Not more than one tax shall be imposed pursuant to this Article by reason of a termination described in Subdivision (b), and any transfer pursuant thereto, with respect to the realty held by such partnership or other entity treated as a partnership for federal income tax purposes at the time of such termination.

d.

The tax imposed under this Article shall not apply where the deed, instrument, or other writing transferring title to real property between an individual or individuals and a legal entity or between legal entities that results solely in a change in the method of holding title and in which the proportional ownership interests in the real property, whether represented by stock, membership interest, partnership interest, cotenancy interest, or otherwise, directly or indirectly, remains exactly the same before and after the transfer.

History

(Ord. 315-67, App. 12/12/67; amended by Ord. 377-84, App. 8/31/84; Ord. 28-95, App. 2/3/95; Ord. 20-09, File No. 081450, App. 2/5/2009)

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