The bill proposes amendments to Section 44-18-30 of the General Laws, which deals with exemptions from sales and use taxes in the state. It introduces a new title for the section and provides detailed definitions for terms such as "newspaper," "returnable containers," and "consumed." The bill specifies various exemptions, including those for manufacturing purposes, sales beyond the state's constitutional power to tax, school meals, charitable organizations, and certain food items. It also outlines the tax exemption process for contractors working with exempt organizations and conditions for exemptions on tangible personal property, software, and utilities used in manufacturing. Notably, the bill includes insertions such as the exemption of water for domestic use, sales of boats to nonresidents, and youth activities equipment sold by nonprofit organizations, but does not mention any deletions from current law.

Additionally, the bill provides exemptions for items such as medicines, drugs, durable medical equipment, prosthetic devices, coffins, motor vehicles sold to nonresidents, and special adaptations for vehicles for individuals with disabilities. It also details exemptions for heating fuels, electricity, gas, manufacturing machinery, and equipment used in industrial plants. The bill includes a new exemption for the trade-in value of motorcycles, specifying that the purchase price allocated for a trade-in allowance or proceeds from an insurance claim or manufacturer repurchase due to a stolen or damaged motorcycle will be exempt from sales and use tax. This exemption is marked as an insertion in the bill, with no deletions indicated, and is set to take effect upon passage.

Statutes affected:
209: 44-18-30