A. Definitions:
PERSON: Any natural person, receiver, administrator, executor, conservator, assignee, trust in perpetuity, trust, estate, firm, copartnership, joint venture, club, company, joint stock company, business trust, municipal corporation, political subdivision of the state of Illinois, domestic or foreign corporation, association, syndicate, society, or any group of individuals acting as a unit, whether mutual, cooperative, fraternal, nonprofit, or otherwise, and the United States or any instrumentality thereof. Whenever the term "person" is used in any clause prescribing and imposing a penalty, the term as applied to associations shall mean the owners or part-owners thereof, and as applied to corporations, the officers thereof.
RECORDATION: The recording of deeds with the Office of Recorder of Deeds or the registration of deeds with the Registrar of Titles of Cook County, Illinois.
VALUE: The amount of the full, actual consideration for any transfer covered hereunder, including the amount of any lien or liens assumed by the grantee or purchaser.
B. Tax Imposed: A tax is imposed on the transfer of title to real estate located in the Village as evidenced by the recordation of a deed by any person or by the delivery of any deed or assignment of interest of said real property, whether investing the owner with the beneficial interest in or legal title to said property or merely the possession or use thereof for any purpose or to secure future payment of money or the future transfer of any such real property. The tax imposed shall be five dollars ($5.00) for every one thousand dollar ($1,000.00) value or fraction thereof as stated in the declaration.
C. Liability For Tax: The primary liability for payment of said tax shall be borne by the grantor or seller involved in any such transaction; provided, however, it shall be unlawful for the grantee or purchaser to accept a conveyance if the transfer tax has not been paid. If the tax has not been paid and the stamps affixed to the deed, then the grantee's title shall be subject to the lien provided in subsection I hereof and the grantee or purchaser shall be liable for payment of the tax. The tax herein levied shall be in addition to any and all other taxes.
D. Declaration of Transfer:
1. At the time the tax is paid, there shall also be presented to the Finance Director, on a form prescribed by him, a declaration signed by at least one of the sellers or grantors and also signed by at least one of the purchasers or grantees involved in the transaction, or by their attorneys or agents, which declaration shall state the full consideration for the property so transferred and shall be deemed a confidential record by the Village Clerk. The declaration shall be submitted to the Village no less than five (5) business days before the transfer of the property occurs, unless the Village agrees, in its sole discretion, to process the declaration on an expedited basis and the seller or grantor pays the Village an expedited processing fee of one hundred dollars ($100.00). Where the declaration is signed by an attorney or agent on behalf of sellers or buyers who have the power of direction to deal with the title to the real estate under a land trust agreement, the trustees being the mere repository of record legal title with a duty of conveying the real estate only when and if directed in writing by the beneficiary or beneficiaries having the power of direction, said attorney or agent need only identify the land trust which is the repository of record legal title and not the beneficiary or beneficiaries having the power of direction under the land trust agreement.
2. A signed copy of the real estate transfer declaration filed pursuant to section 3 of the Real Estate Transfer Act of the State of Illinois 1 shall be filed with the Village Clerk by the grantee of any deed or assignment of beneficial interest within ten (10) days after delivery of the deed or assignment of beneficial interest, or at the time of payment of the tax herein levied or imposed, whichever first occurs.
3. No trustee of real estate shall accept an assignment of beneficial interest in real estate located in the Village without first obtaining a real estate transfer declaration from the assignor and assignee and unless revenue stamps in the required amount, as met forth in this Section, have been affixed to the assignment.
E. Deed Contents: Every deed shall show the data of the transaction which it evidences, the names of the grantor and grantee, and a legal description of the property to which it relates.
F. Exemptions:
1. The tax imposed by this Section shall not apply to the following transactions, provided said transaction in each case is accompanied by a signed declaration form submitted to the Village, in the format required in Subsection D1 above, setting forth the facts or such other certificate, information or records as the Finance Director may require:
a. Transactions involving property acquired by or from any governmental body or by any corporation, society, association, foundation or institution organized and operated exclusively for charitable, religious or education purposes;
b. Transactions in which the deeds secure debt or other obligations;
c. Transactions in which the deeds, without additional consideration, confirm, correct, modify or supplement deeds previously recorded;
d. Transactions in which the actual consideration is less than five hundred dollars ($500.00);
e. Transactions in which the deeds are tax deeds;
f. Transactions in which the deeds are releases of property which is security for a debt or other obligation;
g. Transactions in which deeds are partition deeds;
h. Transactions made pursuant to mergers, consolidations or transfers or sales of substantially all of the assets of a corporation pursuant to plans of reorganization;
i. Transactions between subsidiary corporations and their parents for no consideration other than the cancellation or surrender of the subsidiary corporation's stock;
j. Transactions wherein there is an actual exchange of real property except that the money difference of money's worth paid from one or the other shall not be exempt from the tax;
k. Transactions representing transfers subject to the imposition of a documentary stamp tax imposed by the government of the United States; and
l. A transfer by lease.
m. Transactions in which the deeds are issued to a holder of a mortgage, as defined by Illinois Revised Statutes, chapter 110, paragraph 15-103, pursuant to a mortgage foreclosure proceeding or pursuant to a transfer in lieu of foreclosure.
2. The taxes imposed by this Section shall not be imposed on or transferred by an executor or administrator to a legatee, heir or distributee where the transfer is being made pursuant to will or by intestacy, and the tax provided by this Section shall further be exempt where the transaction is effected by operation of law or upon delivery or transfer in the following instances, provided said transfer or transaction in each case is accompanied by a signed declaration form submitted to the Village, in the format required in Subsection D1 above, setting forth the facts or such other certificates, information or records as the Finance Director may require:
a. From a descendent to his executor or administrator;
b. From a minor to his guardian or from a guardian to his ward upon attaining majority;
c. From an incompetent to his conservator, or similar legal representative, or from a conservator or similar legal representative to a former incompetent upon removal of disability;
d. From a bank, trust company, financial institution, insurance company, or other similar entity, or nominee, custodian, or trustee therefor; to a public officer or com mission, or person designated by such officer or commission or by a court, in the taking over of its assets, in whole or in part, under State or Federal law regulating or supervising such institutions, nor upon redelivery or retransfer by any such transferee or successor thereto;
e. From a bankrupt or person in receiver ship due to insolvency to the trustee in bankruptcy or receiver, from such receiver to such trustee or from such trustee to such receiver, nor upon redelivery or retransfer by any such transferee or successor thereto;
f. From a transferee under subsection F2a to e inclusive, to his successor acting in the same capacity, or from one such successor to another;
g. From a foreign country or nation thereof to the United States or any agency thereof, or to the government of any foreign country directed pursuant to the authority vested in the President of the United States by section 5(b) of the Trading with the Enemy Act (40 Stat. 415), as amended by the First War Powers Act (55 Stat. 839);
h. From trustees to surviving, substitute, succeeding or additional trustees of the same trust;
i. Upon the death of a joint tenant or tenant by the entirety, to the survivor or survivors.
G. Collection Of Tax, Revenue Stamps Required:
1. The Finance Director shall issue no revenue stamps unless (a) the Village Manager of the Village or his or her designee certifies that all water, sewer, refuse assessments, judgments, liens, encumbrances and other debts due and owing to the Village related to the property, whether attached to the property or owed by the grantor or seller, are paid in full or satisfied; and (b) the Director of Engineering, Planning and Development of the Village or his or her designee certifies that a certificate of infiltration and inflow inspection has been issued for the property pursuant to subsection 9-4D-11J of the Village Code.
2. The tax herein levied and imposed shall be collected by the Finance Director through the sale of revenue stamps, which shall be caused to be prepared by said Finance Director in such quantities as the Finance Director may from time to time prescribe. Such revenue stamps shall be in the denominations of five dollars ($5.00), ten dollars ($10.00), twenty five dollars ($25.00), fifty dollars ($50.00), one hundred dollars ($100.00), two hundred dollars ($200.00), three hundred dollars ($300.00), five hundred dollars ($500.00), one thousand dollars ($1,000.00), two thousand five hundred dollars ($2,500.00) and five thousand dollars ($5,000.00) and shall be in the following design:
Village of Real Estate Transfer Tax
Oak Lawn $000.00
Such revenue stamps shall be available for sale at, and during the regular hours of, the Village offices or at other locations designated by the Finance Director. Upon payment of the tax herein levied and imposed, the revenue stamps so purchased shall be affixed to the deed or other instrument of conveyance. Any person so using and affixing a revenue stamp or stamps shall cancel it and so deface it as to render it unfit for reuse by marking it with his initials and the day, month and year when the affixing occurs. Such markings shall be made by writing or stamping in indelible ink or by perforating with a machine or punch. However, the revenue stamp(s) shall not be so defaced as to prevent ready determination of its denomination and genuineness.
H. Refunds:
1. Reinvestment: A grantor or seller who has paid to the Finance Director the tax provided for in subsection G herein shall be entitled to a refund of such tax within one year of the date of sale provided any such grantor or seller meets all of the following requirements:
a. He owned and occupied the dwelling on the property for which such tax was paid as his principal residence;
b. He did not rent or lease any portion(s) of the dwelling or real property sold to another person or persons;
c. He buys or builds a single-family dwelling or condominium unit within the Village corporate limits within one year from the payment of the tax sought to be refunded; and
d. He owns and occupies said single-family dwelling or condominium unit as his principal residence.
2. Senior Citizens: A grantor or seller who is a senior citizen and who has paid to the Finance Director the tax provided for in subsection G herein shall be entitled to a one-time only refund of such tax within one year of the date of sale, provided any such senior citizen grantor or seller meets all of the following requirements:
a. He is sixty five (65) years of age or older;
b. He owned and occupied the dwelling on the property sold or transferred, as his primary residence, for more than one year prior to its sale or transfer;
c. He did not rent or lease any portion(s) of the dwelling or real property to any other person or persons; and
d. That if such property was owned by more than one person, at least one of such owners was sixty five (65) years of age or older, and no other co-owner was less than sixty (60) years of age at the time of the sale or, if less than sixty (60) years of age, was either the spouse or child of the owner who was sixty five (65) years of age or older.
In the event any co-owner who is sixty five (65) years of age or older dies prior to the sale of a qualifying dwelling, the surviving co-owner who is at least sixty (60) years of age at the time of the sale of said dwelling shall be entitled to claim the above refund.
In the event that the applicant for the refund meets all the criteria except the criteria set forth in subsection H2c above, the applicant shall be entitled to a partial refund based on the following formulas:
If the portion of the property that was leased was used for residential purposes only:
If the portion of the property that was leased was used for other than residential purposes only, or a combination of residential and nonresidential purposes:
3. Immediate Family Members: A grantor or seller, who has paid to the Finance Director the tax provided for in subsection G herein, shall be entitled to a refund of such tax within one year of the date of sale, provided such grantor or seller meets all of the following requirements:
a. He owned and occupied the dwelling on the property for which such tax was paid as his principal residence;
b. He did not rent or lease any portion(s) of the dwelling on the property to another person or persons; and
c. He sold the property and dwelling in question to one of the following individuals: his child, parent, grandparent, brother, sister or grandchild. For purposes of this subsection, a step-parent, step-grandparent, step-sister, step-brother, step-child, and step-grandchild shall be included in the definitions of parent, grandparent, sister, brother, child and grandchild, respectively.
I. Lien And Foreclosure Of Lien: In the event a deed is filed for recordation or there is an assignment of beneficial interest conveying real estate within the corporate limits of the Village without the revenue stamps provided by this Section, a lien is declared against said real estate conveyed in the amount of the tax. The fact that the deed or assignment does not contain an Oak Lawn revenue stamp in an amount equal to five (5) times the amount of the State transfer tax shall constitute constructive notice of the lien. The lien may be enforced by proceedings to foreclose, as in cases of mortgages or mechanics' liens. Suit to foreclose this lien must be commenced within three (3) years after the date of recording the deed. Nothing herein shall be construed as preventing the Village from bringing a civil action to collect the tax imposed in this Section from any person who has the ultimate liability for payment of the same, including interest and penalties as herein below provided.
J. Proceeds Of Tax:
1. All proceeds resulting from the imposition of the tax under this Section, including interest and penalties, shall be paid into the Treasury of the Village and shall be credited to and deposited in the General Fund of the Village.
2. Fifty percent (50%) of the revenues received by the Village from the tax provided for herein shall be used to establish a fund to be ear-marked for renovation of Village streets.
K. Failure To Pay Tax, Interest And Penalties:
1. Whenever any person shall fail to pay any taxes herein provided, or any purchaser or grantee shall accept a conveyance where the tax has not been paid, the Village Attorney shall, upon request of the Village Manager, bring or cause to be brought an action to enforce the payment of said tax, including interest and penalties as hereinbelow provided, on behalf of the Village in any court of competent jurisdiction.
2. In the event of failure by any person to collect and pay to the Finance Director the tax required herein when the same shall be due, interest shall accumulate and be due upon said tax at the rate of one percent (1%) per month commencing as of the first day following the day when the tax became due. In addition, a penalty of ten percent (10%) of the tax and interest due shall be assessed and collected against any person who shall fail to pay the tax imposed by this Section.
L. Penalty: Any person found guilty in a court of competent jurisdiction of violating, disobeying, omitting, neglecting or refusing to comply with or resisting or opposing the enforcement of any provision of this Section, upon conviction thereof, shall be punished by a fine of not less than two hundred dollars ($200.00) nor more than one thousand dollars ($1,000.00) for the first offense.
M. Effective Date: This Section shall be in full force and effect from and after January 1, 1982, provided, however, this Section shall not apply to contracts executed prior to December 1, 1981.
N. Land Trusts: For purposes of subsection H above, where property is owned by a land trust, the beneficiaries of the trust shall be considered to be the seller or grantor of said property. (Ords. 81-36-81, 83-13-29, 86-22-90; 1985 Code; Ords. 87-13-52, 94-03-12, 95-03-09, 22-08-26)
Notes
| 1 | 1. S.H.A. ch. 120, ¶1001 et. seq. |