OFFICE OF FISCAL ANALYSIS

Legislative Office Building, Room 5200

Hartford, CT 06106 (860) 240-0200

http: //www. cga. ct. gov/ofa

May 1, 2008

ADDENDUM

To Fiscal Note on LCO No. 5443

sHB-5885, File No. 609

AN ACT CONCERNING THE MUNICIPAL SHARE OF THE REAL ESTATE CONVEYANCE TAX.

The amendment exempts from the Real Estate Conveyance Tax sales of primary residences where the sale price is less than the outstanding balance on the mortgage on the property. This will result in an indeterminate General Fund revenue loss from the Real Estate Conveyance Tax to the degree in which primary residences are sold for less than the outstanding balance on the mortgage of the property as indicated in the initial fiscal note.

The amendment will also result in an indeterminate revenue loss to various municipalities from the municipal portion of the Real Estate Conveyance Tax to the degree in which primary residences are sold for less than the outstanding balance on the mortgage of the property.