Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Local Revenue topic
No spam. Unsubscribe anytime.
Register of Deeds warns of $10,000 hit if state applies new transfer-tax rate early
Summary
The Register of Deeds told commissioners that Maine Revenue Services is proposing to apply a new transfer-tax rate starting Sept. 1 for a law effective Sept. 24; the office projected roughly a $10,000 revenue shortfall for September and asked for review of the agency's policy.
The Kennebec County Register of Deeds told commissioners that the office is tracking an apparent timing dispute with Maine Revenue Services over a newly enacted real estate transfer-tax rate.
The register said the state has suggested applying a new transfer-tax split beginning Sept. 1 even though the statute implementing that change takes effect Sept. 24. "If we hold to the same numbers, [September] will be down $10,000 because of that," the register said, urging county legal staff to review the state's justification.
The register said the office and the registered-deeds association pushed back during legislative debate to avoid losing a larger share of transfer tax revenue; registry staff testified and engaged the association to retain a portion of the revenue. County staff asked the state agency for written justification of the earlier effective-application date and requested that county counsel review internal policy if necessary.
Why it matters: Transfer taxes finance local recording offices and form a notable revenue source for county services. A disputed start date or early application of a new split could reduce recorded-deeds revenue and complicate this year's revenue projections.
What's next: County counsel was asked to review any correspondence from Maine Revenue Services and advise the commission; the Register of Deeds will continue to monitor receipts and share details with finance staff.
