Rent Control Rules issue

[sefnfot]

Rent Control Tax issue

Santa Monica, CA

i am not sure if i should post this in the landlord/ tenant area or the taxes area

The local rent control fee is due from July 1 through August 1 to qualify for passing through this fee to the tenants. I purchased the property on July 28th and the transaction to be finalized on September 28th. I received the bill from the Rent control board on August 27th and sent in payment on August 29th.

So my question is: would a sale transaction that occurs during this “payment due period” fall under extraordinary circumstances to qualify for an extension below? Does anyone know of extraordinary circumstances referring to a sale transaction? since this is a local city tax, how do taxes treat sale transactions that occur concurrently with taxes due?

(e) Registration Fee Pass-Through.
(1) A landlord may increase the rent on any controlled rental unit by eleven dollars ($11.00) per month in accordance with the provisions of this regulation, provided all current and past registration fees and penalties for the property have been timely paid in accordance with subsection (d) above. This rent increase shall not apply to any controlled rental unit for which a fee waiver is in effect.

The rent control administrator said I could not pass through the fee because payment was late.

(2) If a landlord does not pay the registration fees for any fiscal year by the deadline set forth in subsection (d) above, that landlord shall not increase rents as provided by this subsection for that fiscal year, unless authorized by the Administrator pursuant to subsection (d)(2), above.

Even though the statute allows an exemption

(4) Insofar as the landlord falls within the exceptions delineated in subsections (d)(3) and (4) above, the rent increases may be noticed immediately following the payment of the prorated registration fees due. Such rent increases shall not exceed eleven dollars ($11.00) per month.

In addition, the exemption is limited to the following

(d) Deadline for Payment of Registration Fees

(2) Except in extraordinary circumstances, and at the discretion of the Administrator, no exceptions to, nor extensions of, the deadline set forth in subsection (1) above shall be granted.