Delaware General Assembly


CHAPTER 277

FORMERLY

HOUSE BILL NO. 712

AN ACT TO AMEND CHAPTER 96, TITLE 9 OF THE DELAWARE CODE RELATING TO THE RECORDING OF DEEDS OR OTHER INSTRUMENTS CONVEYING TITLE TO REAL ESTATE AND REQUIRING THE EXECUTION OF AN AFFIDAVIT OF RESIDENCE AND GAIN AND THE TRANSMISSION OF INFORMATION TO THE STATE DIVISION OF REVENUE TO ASSIST IN COLLECTING TAXES DUE THE STATE.

Be it enacted by the Genera! Assembly of the State of Delaware:

Section 1. Amend §9605, Chapter 96, Title 9, Delaware Code, by adding two new subsections thereto to be designated as subsections ("h") and "(i)", which subsections shall read as follows:

"(h) After the effective date of this act, no recorder in any County of the State of Delaware shall accept for recording any deed or other instrument purporting to convey title to real estate unless and until he has first received an Affidavit of Residence and Gain in the form in subsection (i) hereinafter; provided, however, that he may accept for recording any such deed or other such instrument purporting to convey title to real estate without first receiving such an Affidavit of Residence and Gain if the transaction or instrument is one of those transactions or instruments exempted from the definition of "document" for the purposes of imposition of the Realty Transfer Tax §5401 (1) of Title 30 of this Code.

(i) The form to be used in making such Affadivit of Residence and Gain shall be separately made available by each recorder and such form shall require answers to questions which shall provide the following information and authorization from, by or on behalf of the seller, to the extent such information is known to the person making the affadivit or such person can make such authorization; provided, however, that if the seller is a Delaware resident or a corportion domiciled in Delaware, it shall be necessary only to so state on the Affidavit of Residence and Gain or any other affidavit provided by the Recorder for this purpose:

(1) An adequate description of the seller including name, residence, address, social security number and principal place of business as appropriate.

(2) Whether or not the seller is a non-resident individual, non-resident estate, non-resident trust or nonresident partner, as such terms are defined in Chapter 11 of Title 30, Delaware Code, or, if the seller is a corporation, whether or not it is a foreign corporation.

(0) The actual consideration received by the seller and whether or not he had a gain on the sale of the real estate to which title is purporting to be conveyed.

(1) Within such Affidavit the seller shall also authorize the Division of Revenue or such other appropriate State agency as may be designated to obtain any appropriate or necessary federal income tax forms, including their attached schedules or other attachments, and any other related papers filed by such seller which relate solely to the said real estate to which title is purported to be conveyed by the deed or instrument being recorded."

Section 2. Amend §9614, Chapter 96, Title 9, Delaware Code, by adding thereto a new section to be designated as section (c) which shall read as follows:

agency or department which is assigned the responsibility of the collection of income taxes by the State of Delaware, each recorder shall also, within thirty (30) days of the date of recording any deed or other instrument purporting to convey title to real estate as to which an Affidavit of Residence and Gain was filed pursuant to subsection (h) of §9605 of this Title, forward to the Division of Revenue or such other State department or agency a copy of the said Affidavit of Residence and Gain filed as part of that transaction."

Section 3. This Act shall take effect September 1, 1975.

Approved August 4, 1975