What Is Documentary Stamp Tax?
Documentary stamp tax (also called doc stamps) is a state transfer tax imposed on documents that transfer an interest in Florida real property. It is one of the largest closing costs in a Florida transaction and is typically paid by the seller (though the parties can negotiate otherwise).
Florida Documentary Stamp Tax Rates
- Deeds (transfer of real property) — $0.70 per $100 of the consideration (sale price), rounded up to the nearest $100. On a $400,000 sale, the doc stamp tax is $2,800.
- Mortgages and other obligations — $0.35 per $100 of the indebtedness. On a $400,000 mortgage, the doc stamp tax is $1,400.
- Miami-Dade County surtax — An additional $0.45 per $100 applies to deed transfers in Miami-Dade County (for a total of $1.05 per $100 on single-family residences, or $0.60 per $100 for non-homestead properties).
Documentary stamp taxes are governed by Chapter 201, Florida Statutes.
Who Pays Documentary Stamp Tax?
Florida custom varies by region:
- Most of Florida — The seller pays doc stamps on the deed. The buyer pays doc stamps on the mortgage.
- Some contract negotiations — The parties can agree to split or shift doc stamp costs. The standard FAR/BAR contract assigns doc stamps on the deed to the seller.
The doc stamp tax is collected at recording. The title company calculates the tax, collects it from the appropriate party at closing, and remits it to the Florida Department of Revenue through the county clerk when the deed is recorded.
Exemptions
Certain transfers are exempt from documentary stamp tax, including:
- Transfers between spouses as part of a divorce
- Transfers to a revocable living trust where the grantor retains full control
- Transfers by government entities
- Corrective deeds that do not change ownership
Related Terms
- Closing Costs — Doc stamps are a major closing cost component
- Closing Disclosure — Shows doc stamp calculations
- Mortgage — Subject to a separate doc stamp rate
- Warranty Deed — The document on which deed doc stamps are calculated
Barnes Walker Doc Stamp Calculations
Barnes Walker Title calculates and collects documentary stamp taxes on every closing, ensuring accurate remittance to the Florida Department of Revenue. Submit a title inquiry for a closing cost estimate.
Florida Law Reference
Fla. Stat. Ch. 201
Imposes a documentary stamp tax on deeds, mortgages, and other documents that transfer an interest in Florida real property. The rate is $0.70 per
Reviewed by the attorneys at Barnes Walker, Goethe, Shea & Robinson, PLLC