The bill amends Section 44-3-3 of the General Laws to update the list of property exempt from taxation, including property belonging to the state, the United States, certain securities, real estate for military purposes, public schools, religious worship, clergy dwellings, and intangible personal property held for religious or charitable purposes. It also exempts property used by educational institutions, burial grounds, libraries, veterans' organizations, fraternal bodies, volunteer fire and ambulance services, and individuals unable to pay taxes due to infirmity or poverty. Additionally, the bill exempts household furniture, personal items, nuclear fallout protection improvements, aircraft with paid fees, and manufacturer’s inventory. It includes a provision for private nonprofit colleges or universities in Smithfield to reach an agreement with the town for police, fire, and rescue services costs, and allows the city council of Cranston to exempt certain property of veterans' organizations up to $500,000. The bill also addresses tax liens and exemptions for individuals in the towns of Burrillville and West Greenwich, with a five-year lien period on exempt property.

The bill defines a manufacturer and manufacturer's inventory, and outlines tax exemptions for property and equipment used to control pollution, manufacturing machinery and equipment, precious metal bullion, hydroelectric power-generation equipment, and property owned by or leased to certain charitable organizations, subject to city or town council authorization. It also specifies exemptions for tangible personal property used in recycling, hazardous waste treatment, motorboats with paid fees, and properties of various non-profit organizations such as the Providence Performing Arts Center, Meeting Street Center, and the American Lighthouse Foundation. The bill includes an insertion that adds the PACE Organization of Rhode Island to the list of tax-exempt properties, contingent on maintaining its 501(c)(3) status, and outlines provisions for the valuation of property for for-profit hospital facilities, including the right of appeal. Cities, towns, or fire districts are allowed to establish exemptions for tangible personal property to promote economic development, with such exemptions being uniformly applied. The act would take effect upon passage.

Statutes affected:
533: 44-3-3