Fannie Mae Exempt From County Transfer Taxes, Judge Rules
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Fannie Mae and Freddie Mac are exempt from paying real-estate transfer taxes, a federal judge in Philadelphia said in a ruling that threw out a lawsuit by two Pennsylvania counties.
U.S. District Judge Gene E.K. Pratter rejected arguments by Delaware and Chester counties that the transfer tax is a levy on real estate and thus is an exception to broad, Congressionally-mandated immunity from state and local taxes enjoyed by Federal National Mortgage Association, or Fannie Mae, and the Federal Home Loan Mortgage Corp., known at Freddie Mac.