(a) There is hereby imposed on each deed instrument or writing ("instrument") by which any lands, interests in lands, tenements or other realty ("realty") sold within the city of Palo Alto shall be granted, assigned, transferred or otherwise conveyed to, or vested in ("conveyed"), the purchaser or purchasers, or any other person or persons, by his, her, its or their direction, when the value of the consideration exceeds $100.00, a tax at the rate of $1.65 for each $500.00, or fractional part thereof, of the value of the consideration.
(b) As used herein, "value of the consideration" means:
(1) The total consideration, valued in money of the United States, paid or delivered or contracted to be paid or delivered in return for the grant, assignment, transfer, or conveyance ("conveyance") of realty, including the amount of any indebtedness, existing immediately prior to the conveyance which is secured by a lien, deed of trust or other encumbrance ("encumbrance") on the realty conveyed and which continues to be secured by such encumbrance after the conveyance and also including the amount of any indebtedness which is secured by an encumbrance given or placed upon the realty in connection with the conveyance to secure the payment of the purchase price of any part thereof which remains unpaid at the time of the conveyance; and
(2) The amount of any special assessment levied or imposed upon the realty by a public body, district or agency, where the special assessment is an encumbrance on the realty and the purchaser or transferee agrees to pay such special assessment or takes the realty subject to the encumbrance of such special assessment. The value of any encumbrance of a type other than those which are hereinabove specifically included, existing immediately prior to, and remaining after, the conveyance, shall not be included in determining the value of the consideration. If the value of the consideration cannot be definitely determined, or is left open to be fixed by future contingencies, "value of the consideration" shall be deemed to mean the fair market value of the realty at the time of conveyance after deducting the amount of any encumbrance, if any, of a type which would be excluded in determining the value of the consideration pursuant to the provisions of this Section 2.34.020.
(Ord. 4073 § 3, 1992: Ord. 2398 § 1 (part), 1967)