In Ohio, the seller pays the transfer tax, known in the statute as the real property conveyance fee. Ohio Revised Code Section 319.202 puts the obligation on the grantor, and in a standard sale that’s the seller.1Ohio Legislative Service Commission. Ohio Code Title 3, Chapter 319 – Section 319.202 The total cost runs between $1 and $4 per $1,000 of the sale price depending on the county, so a $300,000 home can trigger anywhere from $300 to $1,200. Buyers and sellers are free to reassign the cost in their purchase agreement, and 25 categories of transfers are exempt from the fee altogether.
The Seller Pays by Default, but the Contract Can Change That
Section 319.202 makes the grantor responsible for both the mandatory state conveyance fee and any permissive county transfer tax levied under Chapter 322. At closing, the amount simply comes out of the seller’s proceeds, so most sellers never cut a separate check for it.
That default is a starting point, not a rule the parties are stuck with. Purchase agreements routinely shift the cost to the buyer, split it evenly, or absorb it into other closing-cost credits. The county only cares that someone pays before the deed gets stamped. The title company or closing attorney handling settlement calculates the fee, collects it from whichever party the contract assigns it to, and makes sure the auditor receives it.
How Much the Fee Is
Every Ohio county charges a mandatory base fee of $1 per $1,000 of the sale price, which is one mill. That floor applies in all 88 counties.2Ohio Legislative Service Commission. Ohio Code Title 3, Chapter 319 – Section 319.54 On top of that, a county may levy a permissive transfer tax of up to three additional mills, which brings the ceiling to $4 per $1,000.
The math is simple. On a $250,000 sale in a county charging only the base rate, the fee is $250. In a county that has adopted the full three permissive mills, the same sale costs $1,000. Most counties sit somewhere between those two ends. Hamilton County, for example, charges $3 per $1,000. Your closing disclosure will show the exact rate for the county where the property is located, and you can confirm it with the county auditor before you list or make an offer.
Transfers That Are Exempt
Not every change of ownership triggers the fee. Ohio Revised Code Section 319.54(G)(3) lists 25 exempt categories.3Ohio Legislative Service Commission. Ohio Revised Code Section 319.54 The ones that come up most often include:
- Deeds to or from the United States, the State of Ohio, or any agency or political subdivision of either.
- Gifts between spouses, or between a parent and child (or the spouse of either), whether outright or in trust.4Franklin County Auditor. Conveyance Exemptions
- Conveyances among the heirs or devisees of a deceased owner, including a surviving spouse, when no money changes hands.
- Deeds given solely to provide or release collateral for a debt.
- Transfers that confirm or correct a previously recorded deed.
- Conveyances made under a court order, to the extent the transfer is not the result of a sale completed under that order.
- Transfers between a parent corporation and its subsidiary for no real consideration, or distributions to shareholders upon dissolution.
- Most leases, unless the lease term is renewable forever.
- Conveyances where the property value does not exceed $100.
When a transfer qualifies, the filer submits a DTE 100(EX) form in place of the standard DTE 100 and states which exemption applies and why.5Union County, Ohio. Statement of Reason for Exemption From Real Property Conveyance Fee (DTE 100EX) Claiming an exemption you don’t qualify for isn’t just a billing issue; a false statement on either form is a criminal offense.
How the Fee Gets Paid at Closing
For taxable transfers, the primary document is the DTE 100, formally the Real Property Conveyance Fee Statement of Value and Receipt. Even though the seller is on the hook for the fee by default, Ohio law requires the grantee (the buyer) or the buyer’s representative to complete the form.6Ohio Department of Taxation. Real Property Conveyance Fee Statement of Value and Receipt (DTE 100) It asks for the parties’ full legal names, the parcel number, the legal description, the verified sale price, and the terms of the transaction. Every entry has to match the deed.
The completed DTE 100 and the original deed go to the county auditor first. The auditor reviews the paperwork, collects the conveyance fee, and stamps the deed to show it has been paid.7Lake County, Ohio. Real Estate Transfer Procedures The stamped deed then goes to the county recorder, which creates the public record of the ownership change. Closing agents usually handle the whole sequence for the parties on the day of closing.
What the Fee Means for Your Federal Taxes
The side you’re on determines the tax treatment. A seller who pays the conveyance fee cannot deduct it as a standalone expense. The IRS treats it as a cost of the sale that reduces the amount realized, which lowers any taxable gain.8Internal Revenue Service. Publication 530, Tax Information for Homeowners
A buyer who pays the fee, or who takes it on through the purchase agreement, adds the amount to the cost basis of the property. The IRS lists transfer taxes among the settlement costs that buyers can include in basis.9Internal Revenue Service. Publication 551, Basis of Assets A higher basis means a smaller taxable gain when you later sell, so hang onto your closing statement.
Penalties for Underreporting the Sale Price
Ohio treats the accuracy of conveyance filings as a criminal matter. The statute prohibits any person from willfully falsifying the value of property conveyed.10Ohio Legislative Service Commission. Ohio Revised Code Section 319.202 A violation of Section 319.202, whether by shaving the reported price to cut the fee or by giving false information on the DTE 100, is a first-degree misdemeanor.11Ohio Legislative Service Commission. Ohio Revised Code Chapter 319 – Section 319.99 In Ohio, that carries up to 180 days in jail and a fine of up to $1,000. County auditors have ready access to market data, which makes discrepancies easy to flag.