A Nevada home sells for $525,000. Transfer tax in Clark County is $1.95 per $500. Proration: seller owns for 15 of 30 days in the closing month. Annual property taxes are $6,000. How much does the seller owe in prorated taxes for the closing month (seller's share)?

Explanation

Monthly taxes = $6,000 ÷ 12 = $500/month. For 15 days (seller's portion of a 30-day month): seller's share = $500 × (15/30) = $500 × 0.5 = $250. Transfer tax is a separate calculation: $525,000 ÷ $500 = 1,050 units × $1.95 = $2,047.50. Proration questions test the ability to calculate each party's proportionate share based on days of ownership during the billing period.