[WSBARP] Form 21 - no express language re payment of REET

[Marc Holmes]

I agree simply stating "seller pays real estate excise tax" would be much
cleaner but I think you can get there with a little parsing.  Lines 102-103
of paragraph H of the Form 21 state "Seller will pay such charges that .
become due on . Closing."  

 

Closing is defined in paragraph F as the date on which "all the documents
are recorded and the sale proceeds are available to the Seller."  

 

Excise tax becomes due upon recording of the deed per 458-61A-301(1)(a). 

 

 

 

 

Marc Holmes

Holmes Law Group PLLC

808 5th Ave N

Seattle WA 98109

 <http://holmeslawgroup.com/> HolmesLawGroup.com

marc at holmeslawgroup.com

Ofc: 206-357-4224

Cell: 206-849-0853

 

From: wsbarp-bounces at lists.wsbarppt.com
[mailto:wsbarp-bounces at lists.wsbarppt.com] On Behalf Of Eric Nelsen
Sent: Wednesday, July 1, 2015 3:37 PM
To: WSBA Real Property Listserv
Subject: Re: [WSBARP] Form 21 - no express language re payment of REET

 

I think I phrased my question rather badly.

 

I wonder why the PSA doesn't say, "Seller pays real estate excise tax." I
know it's required by law anyway, but there are often statements in a
contract that are redundant with legal requirements....so is there some
reason in this case to avoid saying it in the contract? Or is it just as a
case of "everybody knows who pays it so we don't mention it in the PSA?"

 

Sincerely,

 

Eric

 

Eric C. Nelsen

SAYRE LAW OFFICES, PLLC

1320 University St

Seattle WA  98101-2837

phone 206-625-0092

fax 206-625-9040

 

 

 

From: wsbarp-bounces at lists.wsbarppt.com
[mailto:wsbarp-bounces at lists.wsbarppt.com] On Behalf Of Eric Nelsen
Sent: Wednesday, July 01, 2015 2:20 PM
To: WSBA Real Property listserve (wsbarp at lists.wsbarppt.com)
Subject: [WSBARP] Form 21 - no express language re payment of REET

 

I've noticed this before, but now I'm motivated to ask about it. NWMLS Form
21 -- the standard residential PSA -- does not expressly say that Seller
shall pay the real estate excise tax. It is in fact Seller's tax burden per
WAC 458-61A-301(1)(b)
<http://app.leg.wa.gov/WAC/default.aspx?cite=458-61A-301> , and I know
that's how it gets paid as a matter of course.

 

Now a client is wondering why it's not expressly stated. Is there a reason
why it's not stated explicitly in the PSA?

 

Sincerely,

 

Eric C. Nelsen

SAYRE LAW OFFICES, PLLC

1320 University St

Seattle WA  98101-2837

phone 206-625-0092

fax 206-625-9040

 

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