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

[Lenard]

I never use form 21 but my experience has been like Howard's.  The tax is
imposed on the seller so that is the default but the parties can negotiate
otherwise and often do. 

 

Lenard L. Wittlake, PLLC

Attorney & Counselor at Law

22 E. Poplar Street, Suite 200

P.O. Box 1233

Walla Walla, WA  99362

(509) 529-1529 voice

(509) 850-3515 fax

 <mailto:LWLaw at my180.net> LWLaw at my180.net

 <http://www.lwattorney.com> www.lwattorney.com

 

From: wsbarp-bounces at lists.wsbarppt.com
[mailto:wsbarp-bounces at lists.wsbarppt.com] On Behalf Of Howard Herman
Sent: Wednesday, July 01, 2015 10:12 PM
To: 'WSBA Real Property Listserv'
Subject: Re: [WSBARP] Form 21 - no express language re payment of REET

 

It is often a matter of negotiation when trying to put a deal together. I
have seen the purchaser pay the tax many times. "Purchaser to pay all
closing costs." A real anxious buyer may offer to pay some or all of the
broker's commission. Money is fungible.

 

Howard Herman

Herman Herman & Jolley

509 220 5810

 

 

From: wsbarp-bounces at lists.wsbarppt.com
[mailto:wsbarp-bounces at lists.wsbarppt.com] On Behalf Of Eric Nelsen
Sent: Wednesday, July 01, 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

 

-------------- next part --------------
An HTML attachment was scrubbed...
URL: <http://mailman.fsr.com/pipermail/wsbarp/attachments/20150702/8d5c0e2c/attachment.html>