SAN FRANCISCO-The San Francisco Board of Supervisors may place a measure on November’s ballot doubles the real estate transfer tax on commercial and residential properties sold for more than $1 million. The supervisors will make a decision this month.

The supervisors are discussing a November ballot initiative to revise the city’s business tax. If voters approve this measure, it would add approximately $21 million to San Francisco’s nearly $5 billion budget. This measure would have no effect on sales transactions that are under $1 million, which make up 85% of annual transactions. However, property owners that sell their commercial or residential sites would be subject to additional taxes of $7,500 for every $1 million of property that is sold.

The measure, which is sponsored by Supervisors Aaron Peskin, Tom Ammiano, Matt Gonzalez and Sophie Maxwell, would mostly affect the seller, as in San Francisco, the seller is responsible for the transfer tax. Still, according to city officials, in many transactions, the buyer and seller split the costs.

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