O 018 C.S.
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ORDIl'tANCE NO. 18C.S.
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ORD1'NMreE OF'THE CITY OF ARRCMJ''GRAM>E ADDING
CFI'A!"TER' 4"."TO~ TITLE 3 OF THE ARROYO GRANDE
....MIDUCIPALCODE IMPOSING A DOCUMENTARY STAMP
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TAX ON'TRE' SALE OF REAL PROPERTY.
The Council ofth~City of Arroyo Grande does hereby ordain as
follows: '.
Section 1. Chapter 4 is added to Title 3 of the Arroyo Grande
Municipal Code imposing a documentary stamp tax on the sale of real
property to read as follows:
CHAPTER 4. REAL PROPERTY TRANSFER TAX LAW
Sec. 3-4.01. Title.
This chapter shall be known as the "Real Property
Transfer Tax Law of the City of Arroyo Grande." It
is adopted pursuant to the authority contained in
Part 6.7 (commencing with Section 11901) of Division
2 of the Revenue and Taxation Code of the State of
California.
Sec. 3-4.02. Tax Imposed.
There is hereby imposed on each deed, instrument or
writing by which any lands, tenements, or other realty
sold within the City of Arroyo Grande shall be granted,
assigned, transferred or otherwise conveyed to, or
vested in, the purchaser or purchasers, or any other
person or persons, by his or their direction, when the
consideration or value of the interest or property
conveyed (exclusive of the value of any lien Or en-
cumbrances remaining thereon at the time of sale) ex-
ceeds One Hundred Dollars ($100.00), a tax at the rate
of twenty-seven and one-half cents ($0.275) for each
Five Hundred Dollars ($500.00) or fractional part
thereof.
Sec. 3-4.03. Person Responsil>le for Payment.
Any tax imposed pursuant to Section 3-4.02 of this
chapter shall be paid by any person who makes, signs
or issues any document Or instrument subject to the
tax, or for whose use or benefit the same is made,
signed or issued.
Sec. 3~4.04. Debt Security Instruments Exem~ted. ...
Any tax imposed pursuant to this chapter shall not
apply to any instrument in writing given to seCUre a
debt.
Sec. 3-4.05. Governmental Agencies Exempted.
The United States Or any agency or instrumentality
thereof, any state or territory, or political subdivision
thereof, or the District of Columbia shall not be liable
for any tax imposed pursuant to this chapter with respect
to any deed, instrument, or writing to which it is a
party, but the tax may be collected by assessment from
any other party liable therefor.
Sec. 3-4.06. Bankr~Ptcies, etc.
Any tax imposed pursuant to this chapter sh~ll not
apply to the making, delivering or filing of con-
veyances to make effective any plan of reorganization
or adjustment:
(a) Confirmed under the Federal Bankruptcy Act,
as amended;
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. (b) Approved in an equity receivership proceeding
in a court involving a railroad corporation, as defined
in subdivision (m) of Section 205 of Title 11 of the
United States Code, as amended;
(c) Approved in an equity receivership proceeding
in a court involving a corporation, as defined in sub-
division (3) of Section 506 of. Title 11 of the United
States Code, as amended; or
(d) Whereby a mere change in identity, form or
place of organization is effected.
Subdivisions (a) to (d), inclusive, of this section
shall only apply if the making, delivery or filing of
instruments of transfer or conveyances Occurs within
five (5) years from the date of such confirmation,
approval or change.
Sec. 3-4.07. Securities and Exchange Commission.
Any tax imposed pursuant to this chapter shall not
apply to the mak~ng or delivery of conveyances to make
effective any order of the Securities and Exchange
Commission, a~ defined in subdivision (a) of Section
1083 of the Internal Revenue Code of 1954; but only if:
(a) The order of the Securities and Exchange
Commission in obedience to which such conveyance is
made recites that such conveyance is necessary Or
appropriate to effectuate the provisions of 79k of Title
15 of the United States CodeJ~elating to the Public
Utility Holding Company Act of 1935;
(b) Such order specifies the property which is
ordered to be conveyed,and
(c) Such conveyance is made in obedience to such order.
Sec. 3-4.08. Partnerships.
(a) In the case of any realty held by a partnership,
no levy shall be imposed pursuant to this chapter by reason
of any transfer of an interest in a partnership Or other-
wise, if:
(1) Such partnership (or another partnership)
is considered a continuing partnership within the meaning
of Section 708 of the Internal Revenue Code of 1954; and
(2) Such continuing partnership continues to
hold the realty concerned.
(b) If there is a termination of any partnership
within the meaning of Section 708 of the Internal Revenue
Code of 1954, for purposes of this chapter, s~ch partner-
ship shall be treated as having executed an instrument
whereby there was conveyed, for fair market value (ex-
clusive of the value of any lien or encumbrance remaining
thereon), all realty held by such partnership at the time
of such termination.
(c) Not more than one tax shall be imposed pur-
suant to this chapter by reason of a terminat.ion des-
cribed in subdivision (b), and any transfer pursuant
thereto, with respect to the realty held by such partner-
ship at the time of such termination.
Sec. 3-4.09. Administration.
The County Recorder shall administer this chapter in
conformity with the provisions of Part 6.7 of Division 2
of the Revenue and Taxation Code and ,the provisions of
any county ordinance adopted pursuant thereto.
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Sec. 3-4.10. Claims for refund.
Claims for refund of taxes imposed pursuant to this
chapter shall be governed by the provisions of Chapter
5 (commencing with Section 5096) of Part 9 of Division
1 of the Revenue and Taxation Code of the State of
California.
Sec. 3-4.11. Operative date.
This chapter shall become operative upon the operative
date of any ordinance adopted by the County of San Luis
Obispo, pursuan~ to Part 6.7 (commencing with Section
11901) of Division 2 of the Revenue and Taxation Code of
the State of California, or upon the effective date of
this ordinance, whichever is the later.
Section 2. Upon ~he Qdoption of this ordinance the City Clerk shall
file two (2) copies of this ordinance with the Coun~y Recorder of the
County of San Luis Obispo,
Section 3. This ordinance, inasmuch as it provides a tax levy for
the usual and current expenses of the City, shall take effect immediately
upon its adoption.
Section 4. The City Clerk shall cause this ordinance to be pub-
lished once, within fifteen days after lts passage, in a newspaper of
general circulation, prin~ed, published, and circulated in this City;
together with the names of the Councilmen voting thereon.
On motion of Councilman Levine, seconded by Councilwoman Thompson,
and on the following roll call vote, to wit:
AYES: Councilwoman Thompson~ Councilmen Levine, Schlegel, Burt
and Mayor Wood.
NOES: None
ABSENT: None
the foregoing Ordinance was adopted this 28th day of November, 1967,
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MAYOR
ATTES~~W~A/
Y CLERK
I, POLLY S. MILLER, City Clerk of the City of Arroyo Grande,
County of San Luis Obispo, State of California, do hereby certify that
the foregoing Ordinance No. 18 C.S. is a true, full and correct copy of
said Ordinance passed and adopted by the City Council of the City of
Arroyo Grande at a regular meeting of said Council on the 28th day of
November, 1967.
WITNESS my hand and the seal of the City of Arroyo Grande affixed
this 29th day of November, 1967.
Arroyo Grande
(SEAL)
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