The bill amends Section 44-3-3 of the General Laws, which deals with property taxation, to include new exemptions and clarify existing ones. It exempts properties in Charlestown owned by religious organizations and used by clergy or as convents, nunneries, or retreat centers. It also introduces a provision for private nonprofit colleges and universities in Smithfield, which may be billed for municipal services if no agreement is reached with the town. The bill defines manufacturers and their inventory for tax purposes, excluding certain operations and products, and stipulates that more than fifty percent of gross receipts must come from manufacturing for a person to be considered principally engaged in manufacturing. It exempts property used for pollution control, manufacturing machinery and equipment, precious metal bullion, and hydroelectric power-generation equipment from taxation.

The bill also exempts property owned by, held in trust for, or leased to charitable organizations, particularly those conserving open space, and tangible personal property used for recycling or hazardous waste treatment. It lists specific nonprofit organizations in Rhode Island whose properties are exempt from taxation, including performing arts centers, religious organizations, and other charitable entities. The bill promotes business growth by allowing exemptions for tangible business or personal property within certain community limits, subject to town council authorization. It adds the Providence Preservation Society to the list of tax-exempt nonprofit corporations and addresses the taxation of for-profit hospital facilities. Cities, towns, or fire districts may establish exemptions for tangible personal property to support businesses and economic development, provided these exemptions are uniformly applied. The act will take effect upon passage.

Statutes affected:
2362: 44-3-3