Bulletin: WA2018003

Date:
September 20, 2018
To:
All Washington Issuing Offices
RE:
UNDERWRITING - House Bill 2539 Documentation Required In Order To Receive Excise Tax Exemption As It Relates To Inheritance

Dear Associates:

Since House Bill 2539 was enacted during the 2016 Regular Session amending RCW 82.45.197 the County Treasurers responsible for gathering information necessary to receive an Excise Tax Exemption under RCW 82.45.197 have been inconsistent in their application of the rule. In anticipation of a push for uniformity, it is advised that the necessary documents be provided with the Excise affidavit at the time of recording. Please note that this act applies to decedents dying on or after January 1, 2017.

As to lack of probate document requirements, please refer to Bulletins WA2016001 and WA2016002; otherwise:

(a) If the property is being transferred under the terms of a community property agreement, a copy of the recorded agreement and a certified copy of the death certificate;

(b) If the property is being transferred under the terms of a trust instrument, a certified copy of the death certificate and a copy of that portion of the trust instrument showing the authority of the grantor;

(c) If the property is being transferred under the terms of a probated will, a certified copy of the letters testamentary or in the case of intestate administration, a certified copy of the letters of administration showing that the grantor is the court-appointed executor, executrix, or administrator;

(d) In the case of joint tenants with right of survivorship and remainder interests, a certified copy of the death certificate;

(e) If the property is being transferred pursuant to a court order, a certified copy of the court order requiring the transfer, and confirming that the grantor is required to do so under the terms of the order;

(f) If the property is being transferred pursuant to a transfer on death deed, a certified copy of the death certificate.

The documentation provided to the county treasurer under this section must also be recorded with the county auditor. 

If you have any questions relating to this or other bulletins, please contact a Stewart Title Guaranty Company underwriter.

For on-line viewing of this and other bulletins, please log onto www.vuwriter.com.

THIS BULLETIN IS FURNISHED TO INFORM YOU OF CURRENT DEVELOPMENTS. AS A REMINDER, YOU ARE CHARGED WITH KNOWLEDGE OF THE CONTENT ON VIRTUAL UNDERWRITER  AS IT EXISTS FROM TIME TO TIME AS IT APPLIES TO YOU, AS WELL AS ANY OTHER INSTRUCTIONS. OUR UNDERWRITING AGREEMENTS DO NOT AUTHORIZE OUR ISSUING AGENTS TO ENGAGE IN SETTLEMENTS OR CLOSINGS ON BEHALF OF STEWART TITLE GUARANTY COMPANY. THIS BULLETIN IS NOT INTENDED TO DIRECT YOUR ESCROW OR SETTLEMENT PRACTICES OR TO CHANGE PROVISIONS OF APPLICABLE UNDERWRITING AGREEMENTS. CONFIDENTIAL, PROPRIETARY, OR NONPUBLIC PERSONAL INFORMATION SHOULD NEVER BE SHARED OR DISSEMINATED EXCEPT AS ALLOWED BY LAW. IF APPLICABLE STATE LAW OR REGULATION IMPOSES ADDITIONAL REQUIREMENTS, YOU SHOULD CONTINUE TO COMPLY WITH THOSE REQUIREMENTS.

References

Bulletins Replaced:
None
Related Bulletins:
WA2016001 LEGISLATIVE UPDATE - WA Legislative update
 
WA2016002 UNDERWRITING - Lack of Probate Affidavit for Real Estate Excise Tax, (“REET”) exemption
Underwriting Manual:
None
Exceptions Manual:
None
Forms:
None