HomeMy WebLinkAbout132ORDINANCE NO. 132
AN ORDINANCE OF THE CITY COUNCIL OF THE TOWN OF LOS
ALTOS HILLS IMPOSING A DOCUMENTARY STAMP TAX ON THE SALE
OF REAL PROPERTY.
THE CITY COUNCIL OF THE TOWN OF LOS ALTOS HILLS DOES
ORDAIN AS FOLLOWS:
SECTION 1. This ordinance shall be known as the "Real
Property Transfer Tax Ordinance of the Town of Los Altos
Hills". It is adopted pursuant to the authority contained
in Part 6.7 (commencing with Section 11901) of Division 2 of
the Revenue and Taxation Code of the State of California.
SECTION 2. There is hereby imposed on each deed,
instrument or writing by which any lands, tenements, or
other realty sold within the Town of Los Altos Hills shall
be granted, assigned, transferred or otherwise conveyed to,
or vested in, the purchaser or purchasers, or any other
person or persons, by his or their direction, when the con-
sideration or value of the interest or property conveyed
(exclusive of the value of any lien or encumbrances remain-
ing thereon at the time of sale) exceeds one hundred dollars
($100), a tax at the rate of twenty-seven and one-half cents
dollars
($0.275) for each five hundred ($5007 or fractional part
thereof.
SECTION 3. Any tax imposed pursuant to Section 2 hereof
shall be paid by any person who makes, signs or issues any
document or instrument subject to the tax, or for whose use
or benefit the same is made, signed or issued.
SECTION 4. Any tax imposed pursuant to this ordiance
shall not apply to any instrument in writing given to secure
a debt.
SECTION 5. The United States or any agency or instru-
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mentality thereof, any state or territory, or political
subdivision thereof, or the District of Columbia shall not
be liable for any tax imposed pursuant to this ordinance with
respect to any deed, instrument, or writing to which it is a
party, but the tax may be collected by assessment from any
other party liabile therefor.
SECTION 6. Any tax imposed pursuant to this ordinance shall
not apply to the making, delivering or filing of conveyances to
make effective any plan of reorganization or adjustment,
(a) Confirmed under the Federal Bankruptcy Act,
as amended;
(b) Approved in an equity receivership proceeding
in a court involving a railroad corporation, as defined in
subdivision (m) of Section 205 of Title 11 of the United States
Code, as amended;
(c) Approved in an equity receivership proceeding in
a court involving a corporation, as defined in subdivision (3)
of Section 506 of Title 11 of the United States Code, as amended; or
(d) Whereby a mere change in identity, form or place
of organization is effected.
Subdivisions (a) to (d), inclusive, of this section
shall only apply if the making, delivery or filing of instruments
of transfer or conveyances occurs within five years from the date
of such confirmation, approval or change.
SECTION 7. Any tax imposed pursuant to this ordinance shall
not apply to the making or delivery of conveyances to make effec-
tive any order of the Securities and Exchange Commission, as
defined in subdivision (a) of Section 1083 of the Internal Reve-
nue Code of 1954; but only if
(a) The order of the Securities and Exchange Commission
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in obedience to which such conveyance is made recites that
such conveyance is necessary or appropriate to effectuate
the provisions of Section 79k of Title 15 of the United States
Code, relating to the Public Utility Holding Company Act of
1935;
(b) Such order specifies the property which is
ordered to be conveyed;
(c) Such conveyance is made in obedience to such
order.
SECTION 8. (a) In the case of any realty held by a
partnership, no levy shall be imposed pursuant to this ordi-
nance by reason of any transfer of an interest in a partner-
ship or otherwise, if,
(1) Such partnership (or another partnership) is
considered a continuing partnership within the meaning of
Section708 of the Internal Revenue Code of 1954; and
(2) Such continuing partnership continues to
hold the realty concerned.
(b) If there is a termination of any partnership
within the meaning of Section 708 of the Internal Revenue Code
of 1954, for purposes of this ordinance, such partnership
shall be treated as having executed an instrument whereby
there was conveyed, for fair market value (exclusive of the
value of any lien or encumbrance remaining thereon), all
realty held by such partnership at the time of such termina-
tion.
(c) Not more than one tax shall be imposed pursuant
to this ordinance by reason of a termination described in
subdivision (b), and any transfer pursuant thereto, with
respect to the realty held by such partnership at the time of
such termination.
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SECTION 9. The County Recorder shall administer this
ordinance in conformity with the provisions of Part 6.7 of
Division 2 of the Revenue and Taxation Code and the provi-
sions of any county ordinance adopted pursuant thereto.
SECTION 10. Claims for refund of taxes imposed pursuant
to this ordinance shall be governed by the provisions of
Chapter 5 (commencing with Section 5096) of Part 9 of Di-
vision 1 of the Revenue and Taxation Code of the State of
California.
SECTION 11. This ordbance shall become operative upon
the operative date of any ordinance adopted by the County of
Santa Clara, pursuant to Part 6.7 (commencing with Section
11901) of Division 2 of the Revenue and Taxation Code of the
State of California, or upon the effective date of this
ordinance, whichever is the later.
SECTION 12. Upon its adoption the City Clerk shall file
two copies of this ordinance with the County Recorder of Santa
Clara County.
SECTION 13. This ordinance, inasmuch as it provides for
for a tax levy for the usual and current expenses of the city,
shall take effect immediately.
SECTION 14. This ordinance shall be posted in three (3)
public places within the Town of Los Altos Hills and shall
become effective immediately upon its adoption.
I HEREBY CERTIFY that the foregoing ordinance was adopted
and approved at a regular meeting of the City Council of the
Town of Los Altos Hills on November 20, 1967, by the following
roll call vote:
AYES:Councilmen Aiken, Benson, Davey, Fowle, Mayor Henley
NOES:None
ABSENT: None ATTEST:
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APPROVED:
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