Rhode Island 2025 Regular Session

Rhode Island Senate Bill S0045 Compare Versions

Only one version of the bill is available at this time.

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5	5	2025 -- S 0045
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7	7	LC000750
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9	9	S T A T E O F R H O D E I S L A N D
10	10	IN GENERAL ASSEMBLY
11	11	JANUARY SESSION, A.D. 2025
12	12	____________
13	13
14	14	A N A C T
15	15	RELATING TO TAXATION -- SALES AND USE TAXES -- LIABILITY AND
16	16	COMPUTATION
17	17	Introduced By: Senators Gu, Sosnowski, Zurier, Vargas, Valverde, Euer, DiMario, and
18	18	Mack
19	19	Date Introduced: January 23, 2025
20	20	Referred To: Senate Finance
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23	23	It is enacted by the General Assembly as follows:
24	24	SECTION 1. Section 44-18-36.1 of the General Laws in Chapter 44-18 entitled "Sales and 1
25	25	Use Taxes — Liability and Computation" is hereby amended to read as follows: 2
26	26	44-18-36.1. Hotel tax. 3
27	27	(a) There is imposed a hotel tax of five percent (5%) upon the total consideration charged 4
28	28	for occupancy of any space furnished by any hotel, travel packages, or room reseller or reseller as 5
29	29	defined in § 44-18-7.3(b) in this state. A house, condominium, or other resident dwelling shall be 6
30	30	exempt from the five percent (5%) hotel tax under this subsection if the house, condominium, or 7
31	31	other resident dwelling is rented in its entirety; provided, however, a house, condominium, or other 8
32	32	resident dwelling rented in its entirety on a hosting platform, as defined in § 42-63.1-2(5), for rental 9
33	33	activity on or after January 1, 2026, for a period of thirty (30) nights or less shall be subject to the 10
34	34	five percent (5%) hotel tax under this subsection. The hotel tax is in addition to any sales tax 11
35	35	imposed. This hotel tax is administered and collected by the division of taxation and unless 12
36	36	provided to the contrary in this chapter, all the administration, collection, and other provisions of 13
37	37	chapters 18 and 19 of this title apply. Nothing in this chapter shall be construed to limit the powers 14
38	38	of the convention authority of the city of Providence established pursuant to the provisions of 15
39	39	chapter 84 of the public laws of 1980, except that distribution of hotel tax receipts shall be made 16
40	40	pursuant to chapter 63.1 of title 42 rather than chapter 84 of the public laws of 1980. 17
41	41	(b) There is hereby levied and imposed, upon the total consideration charged for occupancy 18
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45	45	of any space furnished by any hotel in this state, in addition to all other taxes and fees now imposed 1
46	46	by law, a local hotel tax at a rate of one percent (1%). The local hotel tax shall be administered and 2
47	47	collected in accordance with subsection (a). 3
48	48	(c) All sums received by the division of taxation from the local hotel tax, penalties or 4
49	49	forfeitures, interest, costs of suit and fines shall be distributed at least quarterly, credited and paid 5
50	50	by the state treasurer to the city or town where the space for occupancy that is furnished by the 6
51	51	hotel is located. Unless provided to the contrary in this chapter, all of the administration, collection, 7
52	52	and other provisions of chapters 18 and 19 of this title shall apply. 8
53	53	(d) Notwithstanding the provisions of subsection (a) of this section, the city of Newport 9
54	54	shall have the authority to collect from hotels located in the city of Newport the tax imposed by 10
55	55	subsection (a) of this section. 11
56	56	(1) Within ten (10) days of collection of the tax, the city of Newport shall distribute the tax 12
57	57	as provided in § 42-63.1-3. No later than the first day of March and the first day of September in 13
58	58	each year in which the tax is collected, the city of Newport shall submit to the division of taxation 14
59	59	a report of the tax collected and distributed during the six (6) month period ending thirty (30) days 15
60	60	prior to the reporting date. 16
61	61	(2) The city of Newport shall have the same authority as the division of taxation to recover 17
62	62	delinquent hotel taxes pursuant to chapter 44-19, and the amount of any hotel tax, penalty and 18
63	63	interest imposed by the city of Newport until collected constitutes a lien on the real property of the 19
64	64	taxpayer. 20
65	65	SECTION 2. This act shall take effect upon passage. 21
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72	72	EXPLANATION
73	73	BY THE LEGISLATIVE COUNCIL
74	74	OF
75	75	A N A C T
76	76	RELATING TO TAXATION -- SALES AND USE TAXES -- LIABILITY AND
77	77	COMPUTATION
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79	79	This act would remove the exemption from the state hotel tax for residences rented in their 1
80	80	entirety on a hosting platform on or after January 1, 2026, for a period of thirty (30) nights or less. 2
81	81	This act would take effect upon passage. 3
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