When a piece of real estate changes hands in Allegheny County, Pennsylvania, the buyer and seller together owe a real estate transfer tax. The amount depends on where in the county the property sits, what price was paid, and whether any mortgage debt was assumed. Get it wrong and the deed simply won’t be recorded — the Recorder of Deeds office collects the tax before the deed goes on file.
This calculator exists to take the guesswork out of that process. Below is a full walkthrough of every rule it follows, with real numbers at each stage.
Step 1 — Who Owes the Tax?
Under Pennsylvania law (72 P.S. §8101-C et seq., Act 77 of 1986), the seller and the buyer are jointly and severally liable for the full transfer tax. That means the government can collect the whole amount from either party if the other doesn’t pay. In practice, the two sides split it 50/50 at closing — unless the purchase contract says otherwise.
If one party is a tax-exempt entity (a government body, a qualifying nonprofit), the other party owes 100% of the tax on their own, unless the contract allocates it differently.
Example A
Standard 50/50 split
A homeowner sells to a private buyer in Shaler Township. The total tax owed is $4,000. Each side brings $2,000 to closing. Neither party is exempt.
Example B
One exempt party
A church (a qualifying religious nonprofit) sells a building to a private investor. The church is fully exempt. The investor owes 100% of the tax — $6,000 — on their own.
Step 2 — Building the Taxable Base
The transfer tax doesn’t just apply to the cash that changes hands. It applies to the total consideration — the sale price plus any mortgage debt the buyer formally assumes and keeps attached to the property.
The logic is simple: if a buyer takes over a $30,000 mortgage along with paying $120,000 in cash, they have effectively paid $150,000 for the property. Pennsylvania taxes the full $150,000.
On the other hand, if the seller’s mortgage is paid off at closing (the most common scenario), only the cash sale price is taxed — because the lien is gone and no debt is being transferred.
Example A
Sale with a mortgage assumption
A property sells for $150,000 in Bethel Park. The buyer also assumes a $50,000 existing mortgage.
Cash price: $150,000
Assumed debt: $50,000
Taxable base: $200,000
Example B
Clean cash sale, no assumption
A condo sells for $300,000 in the City of Pittsburgh. The seller’s existing mortgage is paid off at closing. No debt transfers.
Cash price: $300,000
Assumed debt: $0
Taxable base: $300,000
Step 3 — What If No Money Changes Hands?
Not every deed involves a cash payment. Foreclosures, gifts, and certain court-ordered transfers all move property without a traditional sale price. In those cases, Pennsylvania requires the tax to be based on a computed value rather than a purchase price.
The formula is:
Computed Value = County Assessed Value × Common Level Ratio (CLR)
The Common Level Ratio is a factor published annually by the Pennsylvania Department of Revenue. It adjusts the county’s assessed value (which can be years out of date) up to a current fair market estimate. For Allegheny County, the CLR was 1.99 as of July 1, 2024 — meaning the state estimates that a property’s fair market value is roughly twice its assessed value.
Example A
Foreclosure — no purchase price paid
A bank takes title by sheriff’s deed after a borrower defaults. The county assessed value is $60,000.
Assessed value: $60,000
CLR: 1.99
Computed taxable value: $60,000 × 1.99 = $119,400
Example B
Gift from parent to child
A parent deeds a house to their adult child for no money. The county has the property assessed at $80,000. (Note: this transfer may qualify for a family exemption — see Step 5 — but if the exemption doesn’t apply, the computed value is used.)
Assessed value: $80,000
CLR: 1.99
Computed taxable value: $80,000 × 1.99 = $159,200
Step 4 — Applying the Tax Rates
Pennsylvania’s transfer tax has two layers: a state portion that is fixed statewide, and a local portion that varies by municipality and school district.
The state rate is always 1%, set by Act 77 of 1986 (72 P.S. §8101-C). Every county in Pennsylvania pays this same 1% to the Commonwealth.
The local portion is up to an additional 2%, split between the municipality (borough or township) and the school district. In practice, most Allegheny County communities charge 0.5% + 0.5%, bringing the typical total to 2%. A few charge more. Pittsburgh is the highest in the county at 3% city + 1% school district, for a total of 5% when combined with the state rate.
Here is a sample of 2026 rates from the county’s official published table:
| Municipality (School District) | State | Municipal | School | Total |
|---|---|---|---|---|
| Shaler Twp (Shaler SD) | 1.0% | 0.5% | 0.5% | 2.0% |
| Trafford Boro (no school tax) | 1.0% | 1.0% | 0.0% | 2.0% |
| Pine Twp (Pine-Richland SD) | 1.0% | 1.0% | 0.5% | 2.5% |
| Mt. Lebanon (Mt. Lebanon SD) | 1.0% | 1.0% | 0.5% | 2.5% |
| McKeesport City (McKeesport SD) | 1.0% | 1.5% | 0.5% | 3.0% |
| Pittsburgh, City of (Pittsburgh SD) | 1.0% | 3.0% | 1.0% | 5.0% |
Each rate applies to the same taxable base. They are calculated separately and then added together for the total due.
Example A
$200,000 sale in Carnegie (Carlynton SD — 2% total)
Taxable base: $200,000
State tax (1.0%): $2,000
Municipal tax (0.5%): $1,000
School district tax (0.5%): $1,000
Total tax due: $4,000
Each side’s share (50/50): $2,000
Example B
$300,000 sale in Pittsburgh (5% total)
Taxable base: $300,000
State tax (1.0%): $3,000
City of Pittsburgh tax (3.0%): $9,000
Pittsburgh SD tax (1.0%): $3,000
Total tax due: $15,000
Each side’s share (50/50): $7,500
Step 5 — Exemptions: When No Tax Is Owed
Pennsylvania law (72 P.S. §8102-C(18) and PA Code Chapter 91) exempts a wide range of transfers from the tax entirely. The most commonly encountered exemptions are:
Family transfers. Transfers between spouses are always exempt. Transfers between close relatives — such as parent to child — are also exempt under state law. The property deed must state the family relationship, and the parties must file a PA Form REV-183 (Statement of Value) with the Recorder of Deeds documenting the exemption.
Government and nonprofit transfers. Any transfer to or from the Commonwealth of Pennsylvania, the U.S. government, a Pennsylvania municipality, a school board, or a qualifying nonprofit (religious, charitable, or industrial development) is exempt for that party’s share.
Other exempt categories. Transfers by will or intestate succession (inheritance), transfers correcting a defective earlier deed, and agent-to-principal transfers (where a real estate agent deeds property back to the person they were acting for) are also fully exempt.
First-time homebuyers: As of June 2026, there is no statewide first-time homebuyer transfer tax exemption in Pennsylvania. Legislative proposals such as SB 815 have been discussed but not enacted. Allegheny County does not offer any additional local exemption for first-time buyers.
Example A
Parent deeds house to child — full exemption
A parent transfers a home assessed at $100,000 to their adult child. No money is exchanged. Under Pennsylvania’s family transfer exemption, no transfer tax is owed. The parties file Form REV-183 noting the familial relationship, and the deed is recorded without any tax payment.
Transfer tax due: $0
Example B
Municipality buys land — partial exemption
A township acquires a $500,000 parcel from a private landowner. The township is fully exempt from its share. The private seller must pay 100% of the state and local tax — there is no one to split it with.
Total tax rate (example: 2.0%): $10,000
Township’s share (exempt): $0
Seller owes full $10,000
Step 6 — When Is the Tax Due?
There is no annual return or deferred filing. The transfer tax is due at the moment the deed is recorded with the Allegheny County Recorder of Deeds. The office will not record the deed until it receives payment — the deed simply sits unrecorded until the tax clears.
Payment is made by a separate check (or certified funds) made out to “Recorder of Deeds.” Note that this is a separate check from the one covering recording fees — the county requires two distinct payments.
If the deed is signed but not recorded immediately, Pennsylvania law treats the tax as delinquent 30 days after the transfer’s effective date, at which point penalties and interest begin to accumulate.
Example A
Same-day recording (typical)
A closing occurs on June 15, 2026. The settlement agent brings two checks to the Recorder of Deeds office the same afternoon — one for recording fees, one for the transfer tax. The deed is recorded immediately. No penalty applies.
Example B
Delayed recording — penalty kicks in
A deed is signed on June 1, 2026, but the parties forget to record it. The deed is finally brought to the Recorder’s office on July 15, 2026 — 44 days later. The tax is now delinquent. Pennsylvania adds a penalty (commonly 10% of tax due) plus daily interest at Pennsylvania’s 2026 annual rate of 7%. On a $4,000 tax bill, that’s a $400 penalty plus roughly $34 in interest by the time it’s paid.
Step 7 — Penalties and Interest for Late or Underpaid Tax
Pennsylvania’s enforcement provisions (72 P.S. §8107-C) allow the state to collect both a penalty and interest when transfer tax goes unpaid or is underreported.
Interest accrues daily at Pennsylvania’s statutory rate, which is set at 7% per year for 2026. On $1,000 of unpaid tax, that works out to approximately $0.19 per day, or about $5.75 for a 30-day delay.
Penalty is typically applied as a flat percentage of the unpaid amount — commonly 5% to 10% under the Tax Reform Code. So a $4,000 underpayment could carry a $400 penalty before interest is even added.
Example A
30-day late payment on $1,000 tax
Tax owed: $1,000
Penalty (10%): $100
Interest (7% annual, 30 days): $5.75
Total due: $1,105.75
Example B
Underpayment on a Pittsburgh sale
A $300,000 Pittsburgh sale is reported as $250,000, understating the base by $50,000. The unreported tax is $2,500 (5% of $50,000). With a 10% penalty plus 60 days of interest at 7% annual:
Unreported tax: $2,500
Penalty (10%): $250
Interest (60 days): $28.77
Additional amount due: $2,778.77
How the Calculator Puts It All Together
When you enter a property address, sale price, and mortgage assumption amount into the calculator, it runs through each step above in order:
It looks up the municipality and school district for that address, finds the correct local rates from Allegheny County’s published rate table, adds them to the fixed 1% state rate, and applies the total to your taxable base. If you indicate no cash consideration, it switches to the computed value method using the current CLR. If you indicate an exempt transfer type, it zeroes out the tax and notes the need for Form REV-183.
The result is the total transfer tax due at closing, broken out by who owes what — state, municipality, school district, and each party’s 50% share.
Where the Data Comes From
This calculator is built on official published sources. The local tax rates come directly from Allegheny County’s Recorder of Deeds, which maintains and updates the official Local Realty Transfer Tax Rates table. The 1% state rate is set by Act 77 of 1986 and confirmed by the Pennsylvania Department of Revenue’s Realty Transfer Tax guidance. The 2026 penalty interest rate of 7% is published by the PA Department of Revenue. The Allegheny County Common Level Ratio of 1.99 was certified by the Pennsylvania State Tax Equalization Board effective July 1, 2024, and is updated annually.
Rates are verified against the county’s published data and updated when official rate changes are announced. Because municipal ordinances can change between updates, we recommend confirming the exact rate for your transaction with the Allegheny County Recorder of Deeds or a licensed Pennsylvania real estate attorney before closing.
References
- Pennsylvania General Assembly. Tax Reform Code of 1971, Article XI-C — Realty Transfer Tax, 72 P.S. §§8101-C through 8107-C. Act 77 of 1986. Establishes the 1% state rate, joint liability, the computed-value method, exemptions, and penalties.
legis.state.pa.us - Pennsylvania Department of Revenue. Realty Transfer Tax. Confirms the statewide 1% rate, joint and several liability, Form REV-183 requirements, the 2026 interest rate of 7%, and exemption categories.
revenue.pa.gov - Pennsylvania Department of Revenue. Form REV-183, Statement of Value. Required at recording when consideration is not stated in full or when an exemption is claimed.
revenue.pa.gov — REV-183 - Pennsylvania Code, Title 61, Chapter 91. Realty Transfer Tax Regulations. Detailed rules on the taxable base, assumption of debt, proration of partial interests, and exemption procedures.
pacodeandbulletin.gov - Allegheny County Recorder of Deeds. Local Realty Transfer Tax Rates — Allegheny County. Official table of all municipal and school district rates used in the calculator. Updated when local ordinances change.
alleghenycounty.us - Pennsylvania State Tax Equalization Board (STEB). Common Level Ratio Factors, 2024. Allegheny County CLR: 1.99, effective July 1, 2024. Used to compute taxable value when no monetary consideration exists.
revenue.pa.gov — CLR
This article is for informational purposes only and does not constitute legal or tax advice. Transfer tax rates and exemptions can change. Always verify current rates with the Allegheny County Recorder of Deeds and consult a licensed Pennsylvania real estate attorney for guidance on your specific transaction.