Florida Senate - 2010                       CS for CS for SB 234
       By the Committees on Finance and Tax; and Judiciary; and Senator
       593-02427-10                                           2010234c2
    1                        A bill to be entitled                      
    2         An act relating to the excise tax on documents;
    3         amending s. 201.02, F.S.; imposing the tax on the
    4         consideration for short sale transfers of real
    5         property; excluding certain unpaid indebtedness from
    6         such consideration; defining the term “short sale”;
    7         providing an effective date.
    9  Be It Enacted by the Legislature of the State of Florida:
   11         Section 1. Subsection (11) is added to section 201.02,
   12  Florida Statutes, to read:
   13         201.02 Tax on deeds and other instruments relating to real
   14  property or interests in real property.—
   15         (11) The taxable consideration for a short sale transfer
   16  does not include unpaid indebtedness that is forgiven or
   17  released by a mortgagee holding a mortgage on the grantor’s
   18  interest in the property. For purposes of this subsection, the
   19  term “short sale” means a purchase and sale of real property in
   20  which all of the following apply:
   21         (a) The grantor’s interest is encumbered by a mortgage or
   22  mortgages securing indebtedness in an aggregate amount greater
   23  than the purchase price paid by the grantee.
   24         (b) A mortgagee releases the real property from its
   25  mortgage in exchange for a partial payment of less than the
   26  total of the outstanding mortgage indebtedness owed to the
   27  releasing mortgagee.
   28         (c) The releasing mortgagee does not receive, directly or
   29  indirectly, any interest in the property transferred.
   30         (d)The releasing mortgagee is not controlled by or related
   31  to the grantor or the grantee.
   32         Section 2. This act shall take effect July 1, 2010.