Which document is used to determine if a transfer of property might be eligible for exclusions to avoid reassessment?

• A. PCOR
• B. TIL
• C. HUD-1
• D. 1099-S

Answer: (A)

In California property tax practice, deciding whether a transfer might be excluded from reassessment hinges on the right form being used to flag and review the transfer details. The document that serves this purpose is the Preliminary Change of Ownership Report. It is filed with the county assessor when a property changes hands and collects information about the transfer, including who is involved, their relationship, the type of transfer, and any claimed exclusions. The assessor uses this information to determine if the transfer qualifies for exclusions from reassessment under Prop 13 (and related exclusions between family members, etc.), allowing the tax base to be preserved or reassessment to be avoided.

Other papers like the HUD-1, which is the closing statement detailing costs of the transaction; the 1099-S, which reports real estate proceeds for IRS purposes; and the Truth in Lending or Tax Information materials serve different functions in closing, tax reporting, or lending disclosures, and do not determine reassessment eligibility.