Marion County Assessor’s Office

Sales Disclosure Form 46021: Frequently Asked Questions

Last Updated: July 5, 2007

1.                  Why are sales disclosures required?

Sales disclosures are required by law (Ind. Code § 6-1.1-5.5). The forms are used by local assessing officials and the state for a variety of purposes, including sales ratio studies, equalization, and annual market adjustments of assessed values.

2.                  Why do the forms contain so much information?

The form attempts to collect information required to describe a parcel and determine the validity of its sales price for use in studies designed to make property tax assessments fair and equitable.

3.                  Is it necessary for filers to complete all fields on the form?

Under Indiana law, a conveyance document may not be accepted or recorded without a properly completed sales disclosure form. All fields that apply to the sale should be completed. County assessors are responsible for ensuring that all parties to the conveyance have completed and signed the form as required.

4.                  Are sales disclosure forms in a modified format acceptable?

Ind. Code § 6-1.1-5.5-3(b) requires the parties to the transaction to file “a sales disclosure form as prescribed by the department of local government finance ....”  In Marion County forms must be filled out electronically through www.salesdisclosure.com in addition to presenting an original, signed form to the county assessor and county auditor.

5.                  Are there requirements concerning the printing of the sales disclosure form, i.e., size, one-sided versus two-sided, etc.?

The form was designed to fit on standard 8 ½ by 11 sized paper. Filers are encouraged to submit two-sided forms to reduce the amount of paper. However, recognizing that all filers do not have access to two-sided printing capabilities (especially those who choose to complete the form on the Internet), one-sided forms are also acceptable.

6.                  Are contract sales exempt transactions? At what point is a sales disclosure to be filled out for a contract sale?

Contract sales are not exempt transactions and require two separate sales disclosure forms at both ends of the transaction. At the beginning of the contract (when a Contract or Memorandum thereof is recorded), a sales disclosure is to be completed. At the beginning of the contract, the right to use and occupy the premises is being transferred. At the end of the contract term, the deed is recorded and another disclosure is to be filled out to show the conveyance of legal title. The sales disclosure filing fee applies for each transaction.

7.                  May the Sales Disclosure Form be submitted by fax?

No.  Ind. Code § 6-1.1-5.5-3(b) requires the parties to sign the form.  Under Ind. Code § 6-1.1-5.5-9, “A person who signs a sales disclosure form shall attest in writing and under penalties of perjury that to the best of the person’s knowledge and belief the information contained in the sales disclosure form is true and correct.”  Because of these requirements, an original signature is required. .

8.                  The sales disclosure form prepared by www.salesdisclosure.com includes a third page.  The paper sales disclosure form obtained from the Department of Local Government Finance includes instructions.  Which pages must be filed?

The instructional pages of the paper form do not have to be submitted.  The third page prepared by www.salesdisclosure.com is your receipt showing the fees have been paid.  Bring all three pages prepared by www.salesdisclosure.com to the county assessor’s office to begin the process.

9.                  What is the sales disclosure filing fee? Is a fee to be collected for every parcel?

There are several fees associated with the filing of a sales disclosure form.  The State of Indiana imposes a $10 fee on each form.  In Marion County, where electronic filing is required through www.salesdisclosure.com, an additional $10 is required, $5 of which is for the electronic processing, and the remaining $5 earmarked for the neighborhood housing trust fund.  The Marion County Auditor also charges $5 for each parcel affected by the sale.  For those transactions where only one parcel is being transferred, the total of all these fees will be $25.  In multi-parcel transactions, you are allowed to use one sales disclosure form, but for each additional parcel affected by the sale, must add $5.  All of these fees are to be paid through www.salesdisclosure.com.  Please keep in mind that the Marion County Recorder also has fees associated with the recording of the documents.

10.              Part 1 says that the form should be typed or printed in black ink. Does the black ink requirement apply to buyer and seller signatures?

Signatures do not have to be in black ink. The black ink requirement applies only to typed or printed information on the form.

11.              How should filers complete acreage information for irregularly sized lots (i.e. those where acreage is not apparent or easily calculated from the surveyor’s description)?

The preferred method to disclose the size of the parcel is by acreage.  One acre is 43,560 square feet.  Please divide the square feet of the parcel by 43,560 to determine the acreage.  For those lots where the acreage or square feet is difficult to determine because of the shape of the parcel, any reasonable method of disclosing the lot size will be accepted.

12.              Is it the intent for the area on the form identified as “# of parcels” to be the total number of parcels involved in the transaction for which the sales disclosure is being filed?

Yes. The form provides space to show up to three parcels. If the transaction includes more than three parcels, an additional list of parcel numbers and lot sizes must be attached to the printed sales disclosure form.

13.              In the sales data section of the form, what date should be used in the “Contract Date” field?

The Contract Date should indicate the date on which the parties agreed on the sales price. In a typical sale of a home, the parties sign a purchase agreement, and then several weeks later transfer the deed with a closing agent or title company.  The date used on the sales disclosure form should be the date of the purchase agreement.

14.              How should multiple parcels in multiple taxing districts or involving multiple class codes be handled? There is only one taxing district code, neighborhood code and property class per form.

Use the taxing district, neighborhood, and property class for the primary parcel. (i.e. the parcel with the main improvement or largest assessed value). Note that the sales price at the bottom of page 1 should reflect the total price for all parcels reported in the form.

15.              On page 2 in the seller section, there is a field entitled, “Preparer Name and Address”.  Whose information goes in this field?

In many cases an attorney or title company prepares the sales disclosure form for the buyer and seller.  The name, address, and telephone number of the person or company preparing the form should be filled in.

16.              The statement at the top of page 1 of the form declares that the telephone numbers placed on this form will be considered as confidential. If a form is filed without a telephone number, is the form rejected because it is incomplete or is that acceptable because of the confidentiality statement?

Telephone numbers must be included on the form to provide contact information to local officials to help with the sales validation process. The confidentiality of phone numbers means that phone numbers should not be provided as part of public information requests for sales information.

17.              If there are multiple buyers/sellers, do they all have to sign the sales disclosure form?

One buyer and one seller must sign. However, all buyers and sellers may sign the form if they so desire.

18.              Is a Power of Attorney form required from all buyer/seller representatives for purposes of the signature section of the sales disclosure form?

If the buyer or seller is not able to sign the form, a lay person signing for the buyer or seller must present a notarized power of attorney document authorizing him to sign. A licensed attorney may sign on behalf of a client without presenting a power of attorney document. Note that in cases where a corporation is seller or buyer, a resolution or other legal document that designates authorized signatories for the business is an acceptable substitute for a Power of Attorney. Any person signing for the buyer or seller must be identified.  The address and telephone information should correspond to the buyer or seller, and not the person signing on his behalf.

19.              What are some common problems that would cause the sales disclosure form to be rejected?

- The most common problem would be an incomplete form.  All fields must be completed where appropriate.  The use of www.salesdisclosure.com will aid in completing the forms because some information taken from the county’s database once the parcel number is entered automatically.  Other fields must be entered manually, such as information for the buyer(s), the seller(s) and the preparer, the date of the contract, the sales price, the acreage, and the type of transaction involved.

- A sales disclosure form is required before documents may be recorded.  Please be certain your documents meet the requirements for recording set out by the county recorder.

- Particular attention should be paid to Box 10 on the first page.  If the transfer is made by warranty deed, no action should be taken.  If another type of deed is used, this box must be checked, and the type of deed must be identified in the space provided in Box 10.  With www.salesdisclosure.com, a drop down menu will assist the preparer.

- Some parties to the transaction are reluctant to provide a sales price as required by law.  If the county assessor believes the price disclosed in the form is not accurate, for example, where $1.00 or $10.00 is stated, the form may be rejected.

- Some filers do not fill in their telephone numbers correctly.  It is not acceptable for the buyer or seller to use the telephone number of the title company.  The address and telephone number should reflect the number where the buyer or seller can be reached after the transaction is complete.

- Because the form must be signed under the penalties for perjury, an original signature is required.  There must be an original signature from at least one buyer and one seller.  In the event one buyer and one seller are unable to sign, the signature may be provided by a licensed attorney who represents that party, or by any person with a power of attorney to sign on behalf of that party.  In the case of the power of attorney, a copy of the power of attorney document must be presented along with the sales disclosure form.

20.              What is the fee structure?

Each county may be different. Consult the receipt that you get when you submit the disclosure form. For example the fee structure for this service in Marion County will be the $10 that you pay currently plus a new transaction fee of $5. The transaction fee will go towards this system and will assist us in updating and maintaining our Computer systems. You will be able to pay the entire fee through electronic transfers.

For any questions regarding Marion County, please contact the Marion County Assessor, 200 E Washington St Ste 1121, Indianapolis IN  46204, 317-327-4907, www.indygov.org/assessor.