The bill amends Section 44-3-3 of the General Laws to update the list of property exempt from taxation. It introduces new language that specifies real and personal property of health care facilities and institutions of higher education, which would normally be exempt, will be taxed if leased to or used by non-exempt entities or individuals. The tenant in such cases is considered the owner for tax purposes. The bill maintains current exemptions for property belonging to the state, religious and educational institutions, veterans' organizations, and other specified entities and purposes. There are no deletions from the current law.

Additionally, the bill provides definitions and exemptions related to manufacturing and equipment, including aircraft, manufacturer's inventory, and property used for pollution control. It defines a manufacturer and sets a threshold for gross receipts from manufacturing to qualify for exemptions. The bill allows municipalities to exempt certain machinery and equipment by ordinance and outlines exemptions for property used in recycling, hazardous waste treatment, and renewable energy. It also details tax exemptions for specific nonprofit organizations and properties, and addresses the taxation of for-profit hospital facilities, including provisions for stabilization agreements. The bill permits local exemptions for tangible personal property to support businesses and economic development, repeals inconsistent provisions, and is set to take effect on January 1, 2024.

Statutes affected:
924  SUB A: 44-3-3
924: 44-3-3