How to Fill Out the Alabama RT-1 Real Estate Sales Validation Form

Alabama’s RT-1 Real Estate Sales Validation Form is a one-page disclosure you file with the county Judge of Probate whenever you record a deed. It tells the probate office the purchase price or fair market value of the property so the clerk can calculate the deed recording tax. You can download a blank RT-1 from the Alabama Department of Revenue website or pick one up at your local probate office.1Alabama Department of Revenue. Real Estate Sales Validation Form

When You Need to File an RT-1

Alabama Code Section 40-22-1 requires any deed, bill of sale, or similar instrument conveying real or personal property to be accompanied by proof of the actual purchase price or actual value when presented for recording.2Alabama Legislature. Alabama Code 40-22-1 – Deeds, Bills of Sale, Etc. The RT-1 is the form the Department of Revenue developed to satisfy that requirement. It applies to warranty deeds, quitclaim deeds, deeds of distribution from an estate, and most other conveyance instruments, regardless of the dollar amount.

Technically, the RT-1 is not required if the deed itself already contains everything the form would capture: the grantor and grantee names and addresses, property address, date of sale, and the purchase price or actual value.3Jefferson County Probate Court. RT-1 Alabama Real Estate Sales Validation Form Most deeds don’t include all of that, so plan on completing an RT-1 for every recording.

How to Fill Out the Form

Grantor and Grantee Information

Enter the full legal name and current mailing address of the grantor (the party transferring the property) and the grantee (the party receiving it). List every name if more than one person appears on either side. The grantee’s mailing address matters especially: the county uses it to send future property tax notices.

Property Details

Write the physical street address of the property. Vacant land sometimes has no street address, so provide whatever location description you have. You do not need to copy the full legal description or metes-and-bounds language from the deed, but keep the deed’s legal description on hand because the clerk may cross-reference it. Include the county tax parcel identification number, which helps the clerk match the RT-1 to the correct parcel in the county’s records.3Jefferson County Probate Court. RT-1 Alabama Real Estate Sales Validation Form

Date of Sale

Enter the date the property interest was conveyed. For a standard sale, this is the closing date.

Value Fields

Which value fields you complete depends on the transaction:

  • Total purchase price. If the property was sold, enter the total amount paid, including both the cash portion and any personal property included in the deal. This is the figure the probate office uses to calculate the recording tax.
  • Actual value. If there was no sale, such as a gift or inheritance distribution, enter the fair market value. You can support the figure with a licensed appraisal or the tax assessor’s current market value.3Jefferson County Probate Court. RT-1 Alabama Real Estate Sales Validation Form
  • Assessor’s market value. The county assessor’s most recent valuation of the property, which serves as a backup reference for the probate office.

Documentary Evidence

Check the box showing what type of document supports the value: bill of sale, appraisal, sales contract, closing statement, or other. You are not required to attach the document. Anyone who attests to the accuracy of the RT-1 does not have to provide further proof.2Alabama Legislature. Alabama Code 40-22-1 – Deeds, Bills of Sale, Etc. Keep your closing statement or appraisal handy in case questions come up later.

Signature

Print your name, sign, and date the form. Circle whether you are signing as grantor, grantee, owner, or agent. Either side of the transaction, or an authorized agent such as an attorney or title company representative, can sign. No notarization is required on the RT-1 itself. The deed it accompanies will have its own notarization requirements.

How the Recording Tax Is Calculated

The probate clerk calculates the deed recording tax from the value you report. The rate is $0.50 for every $500 of value, or any fraction of $500. A property sold for $200,000 owes $200 in recording tax ($200,000 ÷ $500 = 400 increments × $0.50).2Alabama Legislature. Alabama Code 40-22-1 – Deeds, Bills of Sale, Etc. A property worth $250,750 owes $251.00, because the final $250 counts as a full $500 increment.

The recording tax must be paid before the probate office will accept the instrument. On top of the deed tax, expect a per-page recording fee. In Mobile County, for example, the fee is $2.50 per page.4Mobile County Probate Court. Recording Fees Fees vary by county, so call ahead or check your county probate website for the exact amount.

Filing at the Probate Office

Bring the completed RT-1, the original deed, and payment for the recording tax and fees to the office of the Judge of Probate in the county where the property is located. The clerk reviews the form, calculates the tax, accepts payment, and records the deed in the public land records. The recorded deed receives a stamp showing the date, time, and the book and page number where it is archived. The county then forwards the RT-1 data to the tax assessor’s office to update ownership records and assessment rolls.

Some Alabama counties now accept electronic recording through e-recording vendors. Jefferson County and Coffee County are among those that do.5Probate Court of Coffee County. Recording The RT-1 remains a required form when e-recording. The vendor uploads both the deed and the RT-1, and you pay the recording tax and fees electronically. Confirm availability with your county probate office before assuming you can file that way.

Penalties for Skipping the RT-1 or Reporting a False Value

Failing to file an RT-1 does not necessarily block your deed from being recorded, but it gets expensive. If you fail to provide proof of value, the probate clerk bases the recording tax on the county’s most recent tax assessment of the property, which may be higher or lower than what you actually paid, and adds a penalty on top.2Alabama Legislature. Alabama Code 40-22-1 – Deeds, Bills of Sale, Etc.

The penalty for intentionally failing to submit proof of value after the probate office specifically requests it, or for submitting false information, is $100 or 25 percent of the recording tax actually due, whichever is greater. On a $300,000 property with $300 in recording tax, the 25 percent penalty ($75) falls below the $100 floor, so you owe a flat $100 penalty plus the $300 tax. On a $1,000,000 property with $1,000 in tax due, the penalty rises to $250.2Alabama Legislature. Alabama Code 40-22-1 – Deeds, Bills of Sale, Etc.

The statute includes a good-faith safe harbor. If you completed and signed the RT-1 honestly but the value turned out to be off, you are not treated as having submitted false proof, and the penalty does not apply. The protection covers genuine mistakes, not intentional underreporting.

Transfers That Don’t Owe the Recording Tax

Not every transfer triggers the tax the RT-1 is used to compute. Section 40-22-1 exempts three categories from the privilege tax:2Alabama Legislature. Alabama Code 40-22-1 – Deeds, Bills of Sale, Etc.

  • Assignments of mortgages on which the separate mortgage recording tax has already been paid.
  • Deeds for nominal consideration recorded solely to perfect title, such as a corrective deed between family members for ten dollars.
  • Re-recordation of a deed or mortgage to fix a clerical error, such as a wrong maturity date.

Instruments that convey only leaseholds, easements, or licenses are excluded from the requirement to prove value in the first place, as are copies of original land patents from the United States or the State of Alabama. When the probate office records a tax-exempt instrument, the clerk stamps it “No Tax Collected.”