Appeal from judgment of Court of Common Pleas of Allegheny County, July T., 1967, No. 3156, in case of Morris Wolf et al. v. Township of Mount Lebanon et al.
Edward Goldberg, for appellants.
Donald C. Bush, with him Frank L. Seamans, Edwin L. Klett, Robert W. Doty, and Eckert, Seamans & Cherin, and Griggs, Moreland, Blair & Anderson, for appellees.
Ervin, P. J., Watkins, Montgomery, Jacobs, Hoffman, and Spaulding, JJ. (Wright, J., absent). Opinion by Spaulding, J.
[ 212 Pa. Super. Page 65]
Appellants (plaintiffs) appeal from an order denying their motion for judgment on the pleadings and from judgment entered for appellees (defendants) in the Court of Common Pleas of Allegheny County.
Pursuant to a plan of complete liquidation, the Lemm Land Company, a Pennsylvania corporation,
[ 212 Pa. Super. Page 66]
transferred its real estate to Morris Wolf and Mary Wolf; Edward Goldberg and Selma Goldberg; Rose Sparks; Jane Plung, Howard Plung and Donald Plung, deceased, the appellants and sole shareholders of the Lemm Company. The plan of liquidation and dissolution was approved by a stockholders' resolution on January 3, 1966 and the Internal Revenue Service was notified on January 10, 1966. The deed in question dated January 15 was recorded January 17, 1966.*fn1 On January 20, 1966, the Commonwealth approved and filed a certificate of election to dissolve the Company. The January 15th deed concerns property located in the Township and School District of Mount Lebanon,*fn2 appellees. A real estate transfer tax in the amount of $922.01 was paid to the appellees.
Subsequent to payment, appellants concluded that the real estate transfer tax which had been paid was improperly imposed, and suit in assumpsit was instituted by appellants to obtain a refund. The trial court, adjudging that the tax was properly paid, denied appellants' motion for judgment on the pleadings, and entered judgment for appellees.
Appellants allege that neither the Township nor the School District has the authority to impose a transfer tax on a transaction made pursuant to a plan of complete dissolution and liquidation of a corporation. This contention is based on appellants' assertion that the tax imposed by the Township and the School District is the same tax imposed by the Commonwealth of Pennsylvania. We find this position without merit.
The Commonwealth is authorized to impose a tax on realty transfers pursuant to The Realty Transfer Tax Act of 1951 which ...