The bill amends Section 44-3-3 of the General Laws in Chapter 44-3, which addresses property subject to taxation, by introducing a new section titled "Property exempt." This section outlines various categories of property that are exempt from taxation, while deleting the previous provision that exempted state-owned property, except as specified elsewhere. The bill maintains existing exemptions for properties owned by the United States, military-use real estate, and properties owned by religious or charitable organizations. Additionally, it specifies that real and personal property of healthcare facilities or institutions of higher education leased to non-exempt entities will be taxed to the tenant, who is considered the owner for taxation purposes.

The bill further clarifies definitions related to tax exemptions, including the definition of a "manufacturer" and the criteria for "manufacturer's inventory." It provides tax exemptions for pollution control property, manufacturing machinery, and equipment, as well as for various nonprofit organizations and educational institutions. Notably, it allows municipalities to adopt ordinances for additional exemptions and includes provisions for properties owned by railroad entities. The bill also establishes specific valuation methods for for-profit hospital facilities and allows local governing bodies to create exemptions for tangible personal property. Overall, the bill aims to update and clarify the tax exemption framework while ensuring appropriate taxation for certain properties.