The bill amends Section 44-3-3 of the General Laws, detailing various property tax exemptions in Rhode Island, effective January 1, 2024. It exempts property belonging to the state, the United States, certain securities, real estate for military and public school use, religious buildings, and dwellings for clergy, among others. The bill also exempts intangible personal property held for religious or charitable purposes, educational institutions, and certain property of Brown University's officers. It specifies that property used by a non-exempt entity within a healthcare facility or institution of higher education will be taxed to the tenant, and allows the city of Cranston to exempt veterans' organization property up to $500,000. The bill includes provisions for liens and appeals related to tax exemptions and defines a "manufacturer" as an entity transforming raw materials into finished products, with more than fifty percent of gross receipts from manufacturing operations within the state. It exempts manufacturing machinery and equipment acquired after December 31, 1974, and allows municipalities to adopt ordinances to exempt certain machinery and equipment from taxation.

The bill lists additional exemptions for hydroelectric power-generation equipment, property owned by or held in trust for organizations focused on conserving open space, and tangible personal property used for recycling from hazardous wastes. It exempts motorboats with paid annual fees, properties of nonprofit organizations like the Providence Performing Arts Center, and properties used for children's recreational and educational activities. It also exempts renewable energy resources used in residential systems and by manufacturers, and allows for the exemption of business or personal property within the town of Charlestown's community limits. The bill includes an insertion of new legal language that adds St. Elizabeth's Home to the list of properties recognized for tax exemption, specifying five locations in East Greenwich. It also outlines the valuation process for for-profit hospital facilities' real property and allows for exemptions for tangible personal property to promote economic development, with the act taking effect upon passage.

Statutes affected:
2762: 44-3-3