The Wilmette transfer tax is $3 for every $1,000 of the sale price, and the village code puts legal responsibility for paying it on the buyer. On a $500,000 home, that comes to $1,500. Buyers and sellers sometimes agree in the contract to split or shift the cost, but if nobody pays, the village looks to the buyer.1Village of Wilmette. Real Estate Tax
The tax applies to any fraction of $1,000, so round up when you estimate. The taxable figure is the total consideration stated on the state’s PTAX-203 declaration, and that same number flows into the village’s calculation.
How Much You Actually Pay at Closing
The village stamp is one of three transfer taxes on a Wilmette sale. Illinois charges $0.50 per $500 of value, which works out to $1 per $1,000, and Cook County adds $0.25 per $500, or $0.50 per $1,000.2Illinois General Assembly. 35 ILCS 200 Property Tax Code – Real Estate Transfer Tax3Illinois General Assembly. 55 ILCS 5/5-1031 County Real Estate Transfer Tax By custom, the seller pays both the state and county taxes, which is the opposite of the village rule.
On a $500,000 sale, the three layers break down this way:
- Wilmette village tax, paid by the buyer: $1,500
- Illinois state tax, paid by the seller: $500
- Cook County tax, paid by the seller: $250
If the property is transferred subject to an existing mortgage, the outstanding mortgage balance is excluded from the taxable value for the state and county taxes, which reduces the seller’s bill.2Illinois General Assembly. 35 ILCS 200 Property Tax Code – Real Estate Transfer Tax
Transfers That Are Exempt
The village exempts transfers where the actual consideration is less than $500.4Wilmette, Illinois – Code of Ordinances. Wilmette Code of Ordinances – Chapter 8 Article XXVI Real Estate Transfer Tax Beyond that, the exemptions mostly cover transfers that happen by operation of law rather than through a standard sale:
- Deeds from a deceased person to an executor, or from an executor to an heir under a will or intestacy
- Transfers between a minor and guardian, or between an incapacitated person and a conservator
- Transfers from a trustee to a surviving, substitute, or successor trustee of the same trust
- Title passing to a surviving joint tenant or tenant by the entirety on the death of the other
- Transfers to or between bankruptcy trustees and receivers
The full list is in Section 8-850 of the village code.5Wilmette, Illinois – Code of Ordinances. Wilmette Code of Ordinances – Chapter 8 Article XXVI Section 8-850 Exemptions The state has its own separate exemption list that includes transfers under $100, tax deeds, and deeds correcting previously recorded documents.6Illinois General Assembly. 35 ILCS 200 Property Tax Code – Section 31-45 Exemptions
What Has to Be Cleared Before Wilmette Issues the Stamp
The village will not sell you a stamp until both the buyer and the seller have settled every outstanding obligation with Wilmette. That is broader than just the transfer tax itself, and it is where closings get held up.
Final Water Meter Reading
The seller or their representative must schedule a final water meter reading at least two weeks before closing. The village does the actual read three business days before the closing date.7Village of Wilmette. Utility Billing – Starting and Ending Service You can request it online through the village’s utility billing page or by calling the Finance Department. The final utility bill must be paid in full before stamps are released, and that falls on the seller.1Village of Wilmette. Real Estate Tax
Any Other Village Debts
The village requires that all amounts owed by either party be settled before stamps go out. That includes miscellaneous accounts receivable and unpaid parking tickets.1Village of Wilmette. Real Estate Tax An old parking ticket is a small bill with an outsized ability to delay a six-figure closing, so it is worth checking early.
Declaration and Deed
You will need a completed Real Estate Transfer Tax Declaration with the property index number, the full names and addresses of buyer and seller, the purchase price, and the date of sale. You also need a copy of the deed so the village can verify the legal description.1Village of Wilmette. Real Estate Tax Any non-exempt transfer also needs a PTAX-203 (Illinois Real Estate Transfer Declaration) that gets filed with the deed at the Cook County Recorder’s office.8Illinois Department of Revenue. Instructions for Form PTAX-203, Illinois Real Estate Transfer Declaration Your closing attorney or title company usually prepares both forms.
Buying the Stamp and Recording the Deed
Once the debts are paid and the paperwork is in order, the buyer purchases the stamp from the Wilmette Finance Department. The village has moved toward issuing stamps digitally, though the process still runs through Finance.1Village of Wilmette. Real Estate Tax If everything checks out, the stamp is typically issued the same day.
The stamp must be affixed to the deed before you record it with Cook County. The Recorder treats the municipal stamp as evidence that local requirements are met, and a deed submitted without one when it is required will not be recorded. The county charges a separate $107 fee to record a standard deed, which covers the county recording fee, GIS fee, document storage fee, and state rental housing support fee.9Cook County Clerk. Recording Fees
Can You Deduct the Transfer Tax?
No. The IRS lists transfer taxes as nondeductible on Schedule A.10Internal Revenue Service. Topic No. 503, Deductible Taxes Buyers can, however, add the transfer tax they paid to the cost basis of the property, which reduces any taxable capital gain when they eventually sell.11Internal Revenue Service. Publication 551, Basis of Assets For a primary residence that stays within the home sale exclusion, the basis bump may never matter. On a sale with a gain above the exclusion, it does.