2019 -- H 6232

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LC002848

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2019

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A N   A C T

RELATING TO TAXATION -- PROVIDENCE HOMESTEAD EXEMPTION

     

     Introduced By: Representatives McKiernan, Williams, Almeida, Lima, and Mendez

     Date Introduced: June 19, 2019

     Referred To: House Municipal Government

     It is enacted by the General Assembly as follows:

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     SECTION 1. Chapter 44-5 of the General Laws entitled "Levy and Assessment of Local

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Taxes" is hereby amended by adding thereto the following section:

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     44-5-87. Providence -- Homestead exemption.

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     Notwithstanding any provision with within § 44-5-11.8 to the contrary:

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     (a) The city of Providence is authorized to annually fix, by ordinance, the amount, if any,

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of a homestead exemption with respect to assessed value from local taxation on taxable owner-

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occupied real property used for residential purposes in the city of Providence and to grant

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homestead exemptions to the owner(s) of that residential real estate.

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     (b) The homestead exemption in the city of Providence may be:

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     (1) A flat amount;

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     (2) A uniform rate; or

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     (3) A variable rate based on the assessed value of the real property, implemented by

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exempting a set amount of assessed value at no greater than fifty percent (50%), and exempting

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assessed value in excess of said set amount at no less than twenty percent (20%).

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     (c) If the homestead exemption is a uniform or variable rate as described by subsections

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(b)(2) or (b)(3) of this section, the city may cap said exemption at a flat dollar amount.

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     (d) If the homestead exemption is a flat amount or a variable rate as described by

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subsections (b)(1) or (b)(3) of this section, the rate used for purposes of § 44-5-11.8(c) shall be

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the base residential rate exclusive of any homestead exemptions.

 

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     (e) The city council of the city of Providence may provide for a proration of the

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homestead exemption in cases where title to the property passes from those not entitled to the

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exemption to those who are entitled to claim the exemption, or in cases where title to the property

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passes from those entitled to the exemption to those who are not entitled to claim the exemption.

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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 -- PROVIDENCE HOMESTEAD EXEMPTION

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     This act would authorize the city of Providence to adopt by ordinance a homestead

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exemption for local taxation on owner-occupied residential real property. The homestead

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exemption may either be a flat amount, a uniform rate, or a variable rate based on a percentage of

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the assessed value.

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     This act would take effect upon passage.

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