In Michigan, the transaction between a corporation and its president would be with a QCD and they would have to state on the face of the QCD the exemption they were claiming. They could then "sell" the property for $1. It would be the same situation if a husband sells the house to the wife -- just have to state a different exemption.
The STATED sales price is $290K (or $295K ... that was a typo) and THAT'S what the transfer tax is based on. But if it were legal to do it that way, EVERYONE would state the price of their home as much less than it actually is. (so the laws in MA must be similar...you can't be paying transfer tax on a home with an assessed value of $500,000 for $300,000 to avoid $200,000 worth of transfer tax!) If there was money being transferred from buyer to seller under the table, that is clearly a violation. If the house is worth only $290,000, then why would a mortgage company immediately allow a $425,000 mortgage be put on the place? This was NOT a construction mortgage and no construction/modifications/changes to the house are being done.
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