2018 -- S 2062

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LC003681

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2018

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A N   A C T

RELATING TO TAXATION -- LEVY AND ASSESSMENT OF LOCAL TAXES

     

     Introduced By: Senator Roger Picard

     Date Introduced: January 18, 2018

     Referred To: Senate Finance

     It is enacted by the General Assembly as follows:

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     SECTION 1. Section 44-5-13.11 of the General Laws in Chapter 44-5 entitled "Levy and

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Assessment of Local Taxes" is hereby amended to read as follows:

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     44-5-13.11. Qualifying low-income housing -- Assessment and taxation.

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     Any residential property that has been issued an occupancy permit on or after January 1,

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1995, after substantial rehabilitation as defined by the U.S. Department of Housing and Urban

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Development and is encumbered by a covenant recorded in the land records in favor of a

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governmental unit or Rhode Island housing and mortgage finance corporation restricting either or

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both the rents that may be charged to tenants of the property or the incomes of the occupants of

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the property, is subject to a tax that equals eight percent (8%) of the property's previous years'

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gross scheduled rental income or a lesser percentage as determined by each municipality;

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provided, that where twelve percent (12%) or more of the residential units within a municipality

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qualify for low-income housing, the tax that may be charged is ten percent (10%) of the

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property's current year's gross scheduled rental income or a lesser percentage as determined by

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each municipality.

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     SECTION 2. This act shall take effect upon passage.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO TAXATION -- LEVY AND ASSESSMENT OF LOCAL TAXES

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     This act would permit a municipality, in which twelve percent (12%) of the housing in a

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municipality qualifies for low-income housing, to charge a tax up to ten percent (10%) of the

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current year's gross scheduled rental income.

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     This act would take effect upon passage.

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