SECTION 710:30-1-5. Use of documentary stamps on conveyances by defaulting mortgagee; exemptions

(a)   Unless otherwise exempt, a conveyance by a defaulting mortgagee in consideration of the cancellation of the mortgage debt is subject to the documentary stamp tax based on the remaining balance plus accrued interest.

(b)   Effective with deeds filed July 1, 1988 or subsequent, 68 O.S.Supp.1988, Section 5102(13), now codified at 68 O.S.1991, §3202(13), was amended to exempt three categories of conveyances:

(1)   Deeds in foreclosure actions. Deeds executed in a foreclosure action in which the grantee of the new deed was the mortgage holder of the property being foreclosed, and the property was deeded to the mortgagee for no additional consideration.

(2)   Deeds executed pursuant to a power of sale. Deeds executed pursuant to a Power of Sale in which the grantee of the new deed was the mortgage holder of the property being sold and no additional consideration is exchanged.

(3)   Deeds in lieu of foreclosure. Deeds accepted In Lieu of Foreclosure in which the grantee of the new deed was the mortgage holder of the property being conveyed to the mortgage holder for no consideration other than the cancellation of the debt and no additional consideration is exchanged. [See: 68 O.S.1991, §3202(13)]

[Source: Amended at 10 Ok Reg 4677, eff 9-1-93 (emergency); Amended at 11 Ok Reg 3493, eff 6-26-94]