• Georgia Transfer Tax Exemptions
  • December 1, 2005 | Authors: Evan S. Cohn; James A. Gober; David B. McAlister
  • Law Firm: Arnall Golden Gregory LLP - Atlanta Office
  • Under Georgia law, a tax is levied on any deed, instrument or writing by which land or realty is transferred, when the amount paid or the value of the property exceeds $100. When a deed conveying an interest in real property is recorded, it incurs a tax based on the purchase price of the interest conveyed or, if no purchase price is being paid, on the value of the property. The rate of the "transfer tax," as it is commonly known, is $1.00 for the first $1,000 of consideration (or fraction thereof), plus 10 cents for each additional $100 (or fraction thereof). The transfer tax in Georgia is customarily paid by the seller, but the parties can agree to have it paid by the purchaser. The amount of any preexisting lien or encumbrance on the property which exists prior to the sale, and which is not removed by the sale, can be deducted in calculating the tax.