Groesbeck v. Department of Revenue

Paul E. Groesbeck ran into financial turbulence and fell behind in his payments on the note secured by a deed of trust on his business property in Spokane County. G. Wesley Sodorff agreed in writing to assume the balance owing, and Groesbeck quitclaimed the property to Sodorff. The Department of Revenue tried to collect a real estate excise tax on the transaction, but the Superior Court, by summary judgment, agreed with Groes-beck that the transaction was exempt. We affirm the Superior Court.

A real estate excise tax is due on a "sale". RCW 82.45.010 states in relevant part that "sale"

shall…