2023 -- H 6014
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LC001916
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S TATE OF RHODE IS LAND
IN GENERAL ASSEMBLY
JANUARY SESSION, A.D. 2023
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A N A C T
RELATING TO TAXATION -- STATEWIDE TANGIBLE PROPERTY TA X EXEMPTION
Introduced By: Representatives Rea, Shallcross Smith, Chippendale, Newberry, Place,
Nardone, Sanchez, McNamara, Noret, and Cardillo
Date Introduced: March 01, 2023
Referred To: House Finance
It is enacted by the General Assembly as follows:
SECTION 1. Title 44 of the General Laws entitled "TAXATION" is hereby amended by 1
adding thereto the following chapter: 2
CHAPTER 5.3 3
STATEWIDE TANGIBLE PROPERTY TAX EXEMPTION 4
44-5.3-1. Statewide tangible property tax exemption. 5
(a) Notwithstanding the provisions of chapter 5 of this title or any other provisions to the 6
contrary, in an effort to provide relief for businesses, including small businesses, and to promote 7
economic development, all ratable, tangible personal property not otherwise exempt from taxation 8
shall be exempt from taxation up to and including the amount of assessed value set forth in 9
subsection (b) of this section. 10
(b) The exemption provided in subsection (a) of this section shall be up to and including 11
the following amounts: 12
(1) Five thousand dollars ($5,000) for the tax year ending on December 31, 2024; 13
(2) Twenty thousand dollars ($20,000) for the tax year ending on December 31, 2025; 14
(3) Fifty thousand dollars ($50,000) for the tax year ending on December 31, 2026; 15
(4) One hundred thousand dollars ($100,000) for the tax year ending on December 31, 16
2027; 17
(5) Two hundred fifty thousand dollars ($250,000) for the tax year ending on December 18
31, 2028. 19
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(c) Beginning in fiscal year 2025 and for each fiscal year through fiscal year 2029, cities, 1
towns, and fire districts shall receive reimbursements, as set forth in this section, from state general 2
revenues equal to the amount of lost tax revenues due to the reduction of the tangible property tax 3
in the respective fiscal year as a result of the corresponding exemption set forth in subsections (a) 4
and (b) of this section. 5
(d) Beginning in fiscal year 2029, all ratable, tangible personal property assessed at less 6
than two hundred fifty thousand dollars ($250,000), shall be exempt from taxation. 7
SECTION 2. This act shall take effect upon passage. 8
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EXPLANATION
BY THE LEGISLATIVE COUNCIL
OF
A N A C T
RELATING TO TAXATION -- STATEWIDE TANGIBLE PROPERTY TAX EXEMPTIO N
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This act would phase in an exemption from taxation of all ratable, tangible personal 1
property of businesses, up to a maximum assessed value of two hundred fifty thousand dollars 2
($250,000), over a five (5) year period, at which time, the maximum exemption would become 3
permanent. This act would also provide for cities, towns, and fire districts to receive reimbursement 4
from state general revenues equal to the amount of lost tax revenues due to the exemption. 5
This act would take effect upon passage. 6
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LC001916
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