The bill amends Section 44-18-30 of the General Laws, which pertains to 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 items and services that are exempt from sales tax, including but not limited to newspapers, school meals, containers, purchases for manufacturing, food items (with certain exceptions), medicines and drugs on prescription, durable medical equipment, coffins, motor vehicles sold to nonresidents, and sales in public buildings by blind people. 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. No deletions from the current law are mentioned.

Additionally, the bill provides exemptions for heating fuels, electricity, gas, manufacturing machinery, trade-in value of motor vehicles, precious metal bullion, commercial vessels, clothing and footwear sales up to $250 per item, and sales of boats to nonresidents. It also includes exemptions for water for domestic use, youth activities equipment, farm equipment, U.S. and Rhode Island flags, motor vehicles to certain veterans, textbooks, on-site hazardous waste recycling, promotional and product literature of boat manufacturers, food items paid for by food stamps, transportation charges by motor carriers, coins, materials for farm structures, telecommunications services, winter storage of boats, jewelry display products, mobile and manufactured homes, reconstruction materials for manufacturing facilities, floral product preparation, horse food products, non-motorized recreational vehicles to nonresidents, and sprinkler and fire alarm systems. The bill proposes a new exemption for firearm safety equipment, including gun safes, locks, and safety training materials. Other exempt items include renewable energy products, dietary supplements on prescriptions, human blood, agricultural products, diesel emission control technology, feed for commercial farming animals, alcoholic beverages by a Class A licensee, seeds and plants for food, feminine hygiene products, breast pump supplies, and the trade-in value of motorcycles. The act will take effect upon passage.

Statutes affected:
269: 44-18-30