What do the buyer and seller sign to disclose the purchase price for transfer tax calculations?

The transfer tax declaration is the document that both the buyer and seller sign to disclose the purchase price for transfer tax calculations. This declaration is specifically designed to provide the necessary information regarding the transaction’s financial details to the local government or taxing authority, enabling the accurate calculation of transfer taxes owed at the time of property transfer.

This declaration ensures compliance with local tax laws and helps to maintain transparency in the real estate transaction. It includes essential details such as the sale price and any applicable concessions or adjustments.

While the purchase agreement outlines the terms of the sale, including price, it is not specifically for tax calculation purposes. The settlement statement provides a detailed breakdown of the closing costs and expenses related to the transaction, but it typically comes into play after the transfer tax declaration has been completed. The affidavit of title affirms the ownership status and discloses any liens or encumbrances but does not pertain to the calculation of transfer taxes.