This bill amends Section 44-3-3 of the General Laws, which pertains to property taxation in Rhode Island, and is set to take effect on January 1, 2024. It revises the list of properties exempt from taxation, including those belonging to religious, charitable, educational, and veterans' organizations, as well as properties used for public libraries and certain manufacturing purposes. Notably, the bill deletes the general exemption for property belonging to the state, with exceptions specified in § 44-4-4.1, and adds a provision allowing the town of Smithfield to bill private nonprofit colleges or universities for police, fire, and rescue services unless an agreement is in place. It also clarifies the taxation status of property leased to non-exempt entities and includes exemptions for various other entities and circumstances, such as burial grounds, fraternal bodies, and individuals unable to pay taxes due to infirmity or poverty.

The bill further defines what constitutes a "manufacturer" and "manufacturer's inventory" for tax purposes, excluding certain operations like public utilities and construction contractors. It provides tax exemptions for pollution control property, manufacturing machinery and equipment, and hydroelectric power-generation equipment. The bill also outlines exemptions for property used in recycling, reuse, or hazardous waste treatment, and specifies the process for obtaining certification for such exemptions. Additionally, it lists specific nonprofit organizations and properties that are exempt from real and personal property taxation, including cultural institutions and educational facilities. The bill addresses the taxation of for-profit hospital facilities, allowing for valuation appeals and stabilization agreements, and empowers local authorities to establish exemptions for tangible personal property to support business and economic development. The legislation removes the exemption for state-owned property and requires uniform application of local tax exemptions in compliance with tax classification laws.

Statutes affected:
7926: 44-3-3