The bill amends Section 44-18-18 of the General Laws in Chapter 44-18, which pertains to "Sales and Use Taxes — Liability and Computation." The amendment includes a change in the sales tax rate imposed upon retail sales in the state, including rental charges for living quarters in hotels, rooming houses, or tourist camps. The current tax rate of seven percent (7%) is to be reduced to six and one-half percent (6 ½%) starting from July 1, 2024. The tax applies to the first period of not more than thirty (30) consecutive calendar days of each rental, with an exemption for occupants who have a written lease of twelve (12) months or more.

The explanation provided by the Legislative Council clarifies that the purpose of the act is to reduce the sales tax rate. The act specifies that the new tax rate of six and one-half percent (6 ½%) will be effective from July 1, 2024. The bill also states that the act will take effect immediately upon passage. There are no deletions indicated in the provided text of the bill.

Statutes affected:
3027: 44-18-18