2019 -- S 0023

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LC000105

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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 -- LEVY AND ASSESSMENT OF LOCAL TAXES

     Introduced By: Senator Roger Picard

     Date Introduced: January 15, 2019

     Referred To: Senate Finance

     It is enacted by the General Assembly as follows:

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

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

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

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

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

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

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

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

the property, is subject to a tax that equals eight percent (8%) ten percent (10%) of the property's

previous years' gross scheduled rental income or a lesser percentage as determined by each

municipality.

     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 increase the maximum tax for qualifying low-income housing from eight

percent (8%) to ten percent (10%) of the property's previous year's gross scheduled rental income.

     This act would take effect upon passage.

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