Math lesson 242 · Finance and Closing

Georgia Real Estate Transfer-Tax Calculation

Georgia real estate transfer tax is $1 for the first $1,000 or fractional part of taxable consideration, plus $0.10 for each additional $100 or fractional part. The seller is statutorily liable, although the sales contract may allocate payment to the buyer.

Facts checked against the current PSI Candidate Information Bulletin and GREC sources. Last reviewed August 2, 2026. Editorial standards.

What is the exam-ready answer?

Official syllabus mapping for Georgia Real Estate Transfer-Tax Calculation
Roadmap post	242 of 500
Official syllabus topic	Georgia Supplement III.B Closing Procedures and XI.A.4 Real property transfer fees
Official PSI area	Finance and Closing
Published weight	15 of the 52 Georgia questions
Source edition	PSI Georgia Candidate Information Bulletin dated July 1, 2026
Content checked through	August 2, 2026

The Rule

PSI publishes a weight for the complete official area, not a guaranteed count for this individual calculation. Follow the stated facts, units, time basis, and rounding instruction.

Formula and variables

Georgia real estate transfer tax: For positive taxable consideration: $1 for the first $1,000 or fraction + $0.10 for each additional $100 or fraction

Variables used in Georgia real estate transfer tax
Symbol or term	Meaning
Taxable consideration	The deed-transfer consideration after any exclusion or exemption stated in the problem
Additional $100 units	The amount above the first $1,000, divided by $100 and rounded up for any fraction

Step-by-step method

Identify the taxable transfer consideration, not the secured loan amount.
Charge $1 for the first $1,000 or fractional part when positive taxable consideration exists.
Subtract the first $1,000, divide the remainder by $100, and round any fractional unit up.
Multiply additional units by $0.10 and add the first-dollar charge.
Keep statutory liability separate from a contract term allocating who will write the check.

Georgia-specific distinction

This is a Georgia-specific tax. Georgia DOR states that transfer tax follows the property's sale price at the statutory fractional-unit rates. The seller is liable by statute, but parties frequently agree in the contract that the buyer will pay. Do not confuse liability, economic allocation, and the tax base.

Worked examples

Example 1: Exact $100 units

Scenario. Taxable consideration is $340,400.

First $1,000 charge = $1.
Remainder = $340,400 - $1,000 = $339,400.
$339,400 / $100 = 3,394 additional units.
Tax = $1 + 3,394 x $0.10 = $340.40.

Answer. Georgia transfer tax is $340.40.

Reasonableness check. At approximately $1 per $1,000, the tax should be approximately $340, not $3,400.

Example 2: Fractional unit rounds up

Scenario. Taxable consideration is $285,650.

First $1,000 charge = $1.
Remainder = $284,650.
$284,650 / $100 = 2,846.5, which rounds up to 2,847 statutory units.
Tax = $1 + 2,847 x $0.10 = $285.70.

Answer. Georgia transfer tax is $285.70.

Reasonableness check. Rounding the half unit down would underpay the statutory fraction by $0.10.

Common exam traps

Using the loan amount instead of taxable transfer consideration
Rounding a fractional $100 unit down
Multiplying every $1,000 by $1 without handling a fractional additional $100
Treating the seller's statutory liability as a ban on contractual allocation

Original practice questions with detailed explanations

These original instructional questions map to the July 1, 2026 PSI outline. They are not copied from PSI or any live examination. Write the setup before opening the explanation.

Question 1

A Georgia deed transfers for $250,000 in taxable consideration. What is the transfer tax?

A. $25
B. $250
C. $375
D. $750

Show answer and explanation →

Answer: B. $250

$1 for the first $1,000 plus 2,490 additional $100 units at $0.10 equals $250.

Question 2

Taxable consideration is $100,050. What is the Georgia transfer tax?

A. $100.00
B. $100.05
C. $100.10
D. $101.00

Show answer and explanation →

Answer: C. $100.10

After the first $1,000, $99,050 remains. That is 990.5 additional $100 units, rounded up to 991. Tax is $1 + $99.10 = $100.10.

Question 3

Who is statutorily liable for Georgia real estate transfer tax, subject to a different contract allocation?

A. Seller
B. Buyer
C. Lender
D. Closing attorney personally

Show answer and explanation →

Answer: A. Seller

Georgia DOR identifies the seller as liable, while noting that the parties frequently allocate payment to the buyer by contract.

Mastery tracking

Mark this calculation mastered only when every statement is true.

I use taxable consideration rather than the note amount.
I can apply the first-$1,000 and additional-$100 structure.
I always round a fractional statutory unit up.
I distinguish statutory liability from contract allocation.
I can estimate roughly $1 per $1,000 to catch a misplaced decimal.

Recommended next lesson

Continue with Georgia Intangible Recording-Tax Calculation. Contrast the deed-transfer base with the secured-note base.

Return to the complete calculation hub, formula sheet, or mixed math drill.

Georgia Real Estate Transfer-Tax Calculation questions

Facts checked against the current PSI Candidate Information Bulletin and GREC sources. Last reviewed August 2, 2026. Editorial standards.

Is Georgia Real Estate Transfer-Tax Calculation on the Georgia real estate exam?

It maps to Georgia Supplement III.B Closing Procedures and XI.A.4 Real property transfer fees in the official Finance and Closing area. PSI assigns 15 of the 52 Georgia questions to the complete area but does not guarantee a count for this individual formula.

What formula should I use for Georgia Real Estate Transfer-Tax Calculation?

For positive taxable consideration: $1 for the first $1,000 or fraction + $0.10 for each additional $100 or fraction

What Georgia-specific point should I remember?

Can I use a calculator on the Georgia real estate exam?

PSI provides an online calculator during the examination. Handheld calculators are prohibited. Write the setup and label the units before entering numbers.