The short answer
Documentary stamp tax is a state excise tax on documents that transfer real estate or evidence debt, such as deeds, notes and mortgages, historically paid by fixing stamps to the document and now usually paid at recording. Florida's version is the best known: Florida Statutes chapter 201 charges 70 cents per $100 of consideration on deeds and 35 cents per $100 on notes and mortgages. Section 1031 defers federal income tax only, so the stamp tax on each deed in an exchange is still due unless the state's own law exempts it.
At a glance
| Florida deeds | 70 cents per $100 of consideration; Miami-Dade 60 cents plus a 45-cent surtax |
|---|---|
| Florida notes and mortgages | 35 cents per $100; unsecured notes capped at $2,450 |
| Nebraska deeds | $3.32 per $1,000 of value before 2032, then $2.32 |
| Exchange exemption | None in Florida chapter 201 or Nebraska's exemption list |
The tax is a state levy on the document, set by each state's statute.
The Florida Department of Revenue describes documentary stamp tax as an excise tax on certain documents executed, delivered or recorded in Florida. Under section 201.02(1)(a), consideration includes money paid, the discharge of an obligation and any mortgage or lien, whether or not it is assumed, and when property other than money is given, consideration is presumed to equal the property's fair market value. Section 201.08 taxes notes, mortgages and other written obligations to pay money.
Other states use the same stamp-on-the-deed design under different names. Nebraska's section 76-901 taxes the grantor at $3.32 per $1,000 of value for transfers before January 1, 2032, as amended in 2026, with value including liens assumed and the tax evidenced by stamps attached to the deed. Its section 76-902 lists the exemptions, and an exchange of like-kind property is not among them.
A worked example prices the stamps on both legs of one exchange.
Hypothetical: you sell a Nebraska rental for $1,200,000 and buy a $2,000,000 Florida building outside Miami-Dade with an $800,000 mortgage. Nebraska's deed tax on the sale is 1,200 units of $1,000 times $3.32, or $3,984.
On the purchase, Florida deed stamps are 20,000 units of $100 times 70 cents, or $14,000, and stamps on the $800,000 mortgage are 8,000 units times 35 cents, or $2,800. The exchange defers your federal gain, but all three taxes are paid at closing. These rounded figures only show the pattern; your CPA can run your actual sale.
It bites when an exchange adds deeds or when sellers assume the deferral covers transfer taxes.
Under Reg. section 1.1031(k)-1(g)(4)(iv) the property can be deeded directly from seller to buyer while the qualified intermediary is treated as acquiring and transferring it, so each leg can close on a single deed; see direct deeding. Structures that put title in another holder first, such as a parking arrangement in a reverse exchange, can mean an extra recorded deed, and whether that deed is taxed is a question of each state's law.
Florida's own rules, rates for Miami-Dade, the intangible tax on new mortgages and the conduit-entity rule are covered in Florida doc stamps and the 1031 exchange. Whether stamps can be paid from exchange funds without creating boot is covered in closing costs paid from exchange funds, and state-by-state treatment of the exchange itself is in the state guides.
Related questions
Does a 1031 exchange exempt me from documentary stamp tax?
No, not in Florida or Nebraska. Section 1031 is a federal income tax rule, and neither state's stamp tax statute lists an exchange exemption.
Is documentary stamp tax the same as a transfer tax?
It is one form of real estate transfer tax. States and cities use names such as deed tax, conveyance tax, excise tax or realty transfer tax for similar levies, with different rates and exemptions.
Who pays documentary stamp tax on a deed?
It depends on the state and the contract. Nebraska's statute places the tax on the grantor, while Florida's Department of Revenue says all parties to the document are liable regardless of which one agrees to pay.
Sources
Checked against these publications on September 30, 2026. Rules and figures change; confirm the current version with your CPA or attorney before you act. This page is general information, not tax or legal advice.