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<p class="MsoNormal">No debt on the property. <o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
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<p class="MsoNormal"><span style="font-family:"Century Schoolbook",serif;color:black">Umar Gebril</span><span style="font-family:"Century Schoolbook",serif;color:#385723"> | Attorney | Partner<o:p></o:p></span></p>
<p class="MsoNormal"><b><span style="font-family:"Century Schoolbook",serif;color:#385723">Cascade Law, PLLC</span></b><span style="font-size:12.0pt;font-family:"Century Schoolbook",serif;color:#385723"><o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-family:"Century Schoolbook",serif;color:#002451"><a href="http://www.cascade-law.com">www.cascade-law.com</a>
<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-family:"Century Schoolbook",serif;color:#385723">1604 Hewitt Ave, Suite 515</span><span style="font-size:12.0pt;font-family:"Century Schoolbook",serif;color:#385723"><o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-family:"Century Schoolbook",serif;color:#385723">Everett, WA 98201</span><span style="font-size:12.0pt;font-family:"Century Schoolbook",serif;color:#385723"><o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-family:"Century Schoolbook",serif;color:#385723">425.300.5616<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-family:"Arial",sans-serif;color:#002451"><o:p> </o:p></span></p>
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<p class="MsoNormal"><span style="font-size:7.0pt;font-family:"Century Schoolbook",serif;color:black;background:white">Confidentiality Notice: This e-mail message, from Cascade Law, PLLC, including any attachments, is for the sole use of the intended recipient(s)
and may contain confidential and privileged information. The recipient is responsible to maintain the confidentiality of this information and to use the information only for authorized purposes. If you are not the intended recipient (or authorized to receive
information for the intended recipient), you are hereby notified that any review, use, disclosure, distribution, copying, printing, or action taken in reliance on the contents of this e-mail is strictly prohibited. If you have received this communication in
error, please notify us immediately by reply e-mail and destroy all copies of the original message.</span><o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
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<p class="MsoNormal"><b><span style="font-size:12.0pt;color:black">From: </span></b><span style="font-size:12.0pt;color:black">"wsbarp-bounces@lists.wsbarppt.com" <wsbarp-bounces@lists.wsbarppt.com> on behalf of John McCrady <j.mccrady@pstitle.com><br>
<b>Reply-To: </b>WSBA Real Property Listserv <wsbarp@lists.wsbarppt.com><br>
<b>Date: </b>Friday, January 14, 2022 at 12:14 PM<br>
<b>To: </b>WSBA Real Property Listserv <wsbarp@lists.wsbarppt.com><br>
<b>Subject: </b>Re: [WSBARP] Excise Tax Question<o:p></o:p></span></p>
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<p class="MsoNormal"><o:p> </o:p></p>
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<p class="MsoNormal">If there is debt on the property, and C is taking on part of the debt, then excise tax is owing on any consideration C is paying to B, and also on ½ the amount of debt owing.<o:p></o:p></p>
<p class="MsoNormal"> <o:p></o:p></p>
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<p class="MsoNormal">John McCrady<o:p></o:p></p>
<p class="MsoNormal">Counsel<o:p></o:p></p>
<p class="MsoNormal">Puget Sound Title Company<o:p></o:p></p>
<p class="MsoNormal">5350 Orchard Street West<o:p></o:p></p>
<p class="MsoNormal">University Place WA 98467<o:p></o:p></p>
<p class="MsoNormal">253-476-5721<o:p></o:p></p>
<p class="MsoNormal"><a href="mailto:j.mccrady@pstitle.com">j.mccrady@pstitle.com</a><o:p></o:p></p>
<p class="MsoNormal"><span style="color:#1F497D"><img border="0" width="290" height="199" style="width:3.0208in;height:2.0729in" id="Picture_x0020_3" data-outlook-trace="F:1|T:1" src="cid:image001.png@01D80940.0C313CE0"></span><o:p></o:p></p>
<p class="MsoNormal"> <o:p></o:p></p>
<p class="MsoNormal"> <o:p></o:p></p>
<p class="MsoNormal"><b><span style="font-size:13.0pt;font-family:"Bodoni MT",serif">Beginning July 26, 2021, recording fees for most documents recorded in Washington
<a href="https://www.piercecountywa.gov/DocumentCenter/View/105275/Recording-Fee-Schedule-Effective-Jul-25-2021-">
will increase by $100</a>. Please be sure to collect recording fees accordingly. Due to the above increase, our Reconveyance fees will also be increased by $100.00</span></b><o:p></o:p></p>
<p class="MsoNormal"> <o:p></o:p></p>
<p class="MsoNormal" style="margin-top:6.0pt"><b><span style="font-size:10.0pt;font-family:"Arial",sans-serif;color:#1F497D">WARNING-FRAUDULENT FUNDING INSTRUCTIONS
</span></b><o:p></o:p></p>
<p class="MsoNormal" style="margin-top:6.0pt"><span style="font-size:10.0pt;font-family:"Arial",sans-serif;color:#1F497D">Email hacking and fraud are on the rise to fraudulently misdirect funds. Please call your escrow officer immediately using contact information
found from an independent source, such as the sales contract or internet, to verify any funding instructions received. We are not responsible for any wire sent by you to an incorrect bank account.</span><o:p></o:p></p>
<p class="MsoNormal"> <o:p></o:p></p>
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<p class="MsoNormal"><b>From:</b> wsbarp-bounces@lists.wsbarppt.com <wsbarp-bounces@lists.wsbarppt.com>
<b>On Behalf Of </b>Umar Gebril<br>
<b>Sent:</b> Friday, January 14, 2022 11:32 AM<br>
<b>To:</b> WSBA Real Property Listserv <wsbarp@lists.wsbarppt.com><br>
<b>Subject:</b> [WSBARP] Excise Tax Question<o:p></o:p></p>
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<p class="MsoNormal"> <o:p></o:p></p>
<p class="MsoNormal">Listmates, <o:p></o:p></p>
<p class="MsoNormal"> <o:p></o:p></p>
<p class="MsoNormal">Here’s a scenario I’d be interested in getting your opinions on:<o:p></o:p></p>
<p class="MsoNormal"> <o:p></o:p></p>
<p class="MsoNormal">A and B are both unmarried and currently own Property in joint tenancy WROS.
<o:p></o:p></p>
<p class="MsoNormal"> <o:p></o:p></p>
<p class="MsoNormal">A wants to remove B from title, and then add C to title and own Property together as TIC. B is amenable to being bought out, and has agreed to sell her interest in the Property back to A for $350k. B does not know that C exists and B is
not aware that A intends to add C to title after B is removed. <o:p></o:p></p>
<p class="MsoNormal"> <o:p></o:p></p>
<p class="MsoNormal">My initial thought is to first utilize a QCD to break the joint tenancy and remove B from title (thereby triggering excise tax liability on the part of B for the transfer in interest), and then subsequently completing a 2<sup>nd</sup> deed
(QCD, WD…?) in order to add C to title. <o:p></o:p></p>
<p class="MsoNormal"> <o:p></o:p></p>
<p class="MsoNormal">However, by proceeding this way, I believe that in executing the 2<sup>nd</sup> deed (from A to C, as TIC), A will incur excise tax – which we want to avoid.
<o:p></o:p></p>
<p class="MsoNormal"> <o:p></o:p></p>
<p class="MsoNormal">Aside from having B transfer her interest directly to C (and thereby finding out about C’s existence), can you think of another way or means that would allow us to complete this without having A incur excise tax?<o:p></o:p></p>
<p class="MsoNormal"> <o:p></o:p></p>
<p class="MsoNormal">Thoughts and comments appreciated. <o:p></o:p></p>
<p class="MsoNormal"> <o:p></o:p></p>
<p class="MsoNormal">Umar<o:p></o:p></p>
<p class="MsoNormal"> <o:p></o:p></p>
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<p class="MsoNormal"><span style="font-family:"Century Schoolbook",serif;color:black">Umar Gebril</span><span style="font-family:"Century Schoolbook",serif;color:#385723"> | Attorney | Partner</span><o:p></o:p></p>
<p class="MsoNormal"><b><span style="font-family:"Century Schoolbook",serif;color:#385723">Cascade Law, PLLC</span></b><o:p></o:p></p>
<p class="MsoNormal"><span style="font-family:"Century Schoolbook",serif;color:#002451"><a href="https://f.xdref.com/?id=20EJddVK026247&from=wsbarp-bounces@lists.wsbarppt.com&to=j.mccrady@pstitle.com&url=http://www.cascade-law.com">www.cascade-law.com</a>
</span><o:p></o:p></p>
<p class="MsoNormal"><span style="font-family:"Century Schoolbook",serif;color:#385723">1604 Hewitt Ave, Suite 515</span><o:p></o:p></p>
<p class="MsoNormal"><span style="font-family:"Century Schoolbook",serif;color:#385723">Everett, WA 98201</span><o:p></o:p></p>
<p class="MsoNormal"><span style="font-family:"Century Schoolbook",serif;color:#385723">425.300.5616</span><o:p></o:p></p>
<p class="MsoNormal"><span style="font-family:"Arial",sans-serif;color:#002451"> </span><o:p></o:p></p>
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<p class="MsoNormal"><span style="font-size:7.0pt;font-family:"Century Schoolbook",serif;color:black;background:white">Confidentiality Notice: This e-mail message, from Cascade Law, PLLC, including any attachments, is for the sole use of the intended recipient(s)
and may contain confidential and privileged information. The recipient is responsible to maintain the confidentiality of this information and to use the information only for authorized purposes. If you are not the intended recipient (or authorized to receive
information for the intended recipient), you are hereby notified that any review, use, disclosure, distribution, copying, printing, or action taken in reliance on the contents of this e-mail is strictly prohibited. If you have received this communication in
error, please notify us immediately by reply e-mail and destroy all copies of the original message.</span><o:p></o:p></p>
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