(A) Debt. Any tax imposed pursuant to this chapter shall not apply to any instrument in writing given to secure a debt.
(B) United States. The United States or any agency or instrumentality 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 chapter 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 liable therefor.
(C) Bankruptcy, receivership, change in identity. Any tax imposed pursuant to this chapter shall not apply to the making, delivering or filing of conveyances to make effective any plan of reorganization or adjustment as follows. The following provisions 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:
(1) Confirmed under the Federal Bankruptcy Act, as amended;
(2) Approved in an equity receivership proceeding in a court involving a railroad corporation as defined in 11 USC 101(44), as amended;
(3) Approved in an equity receivership proceeding in a court involving a corporation, as defined in 11 USC 101(9), as amended; or
(4) Whereby a mere change in identity, form or place of organization is effected.
(D) Order of Securities and Exchange Commission. Any tax imposed pursuant to this chapter shall not apply to the making or delivery of conveyances to make effective any order of the Securities and Exchange Commission, as defined in § 1083(a) of the Internal Revenue Code of 1954; but only if:
(1) The order of the Securities and Exchange Commission in obedience to which such conveyance is made recites that such conveyance is necessary or appropriate to effectuate the provisions of 15 USC 79k, relating to the Public Utility Holding Company Act of 1935;
(2) Such order specifies the property which is ordered to be conveyed;
(3) Such conveyance is made in obedience to such order.
(E) Partnerships.
(1) In the case of any realty held by a partnership, no levy shall be imposed pursuant to this chapter by reason of any transfer of an interest in a partnership or otherwise, if:
(a) Such partnership, or another partnership, is considered a continuing partnership within the meaning of 26 USC 708 (§ 708 of the Internal Revenue Code of 1954); and
(b) Such continuing partnership continues to hold the realty concerned.
(2) If there is a termination of any partnership within the meaning of § 708 of the Internal Revenue Code of 1954, for purposes of this chapter, 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 termination.
(3) Not more than one tax shall be imposed pursuant to this chapter by reason of a termination described in division (E)(2), and any transfers pursuant thereto, with respect to the realty held by such partnership at the time of such termination.
(F) Foreclosure. The provisions of § 3.36.020 shall not apply with respect to any deed, instrument, or writing to a beneficiary or mortgagee, which is taken from the mortgagor or trustor as a result of or in lieu of foreclosure; provided, that such tax shall apply to the extent that the consideration exceeds the unpaid debt, including accrued interest and cost of foreclosure. Consideration, unpaid debt amount and identification of grantee as beneficiary or mortgagee shall be noted on said deed, instrument, or writing or stated in an affidavit or declaration under penalty of perjury for tax purposes.
(`83 Code, § 3.36.040) (Ord. 82-1 § 2, 1982)