2023 -- H 5603

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LC000123

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2023

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A N   A C T

RELATING TO TAXATION -- PROPERTY SUBJECT TO TAXATION

     

     Introduced By: Representatives Morales, J. Lombardi, Hull, Sanchez, Chippendale,
Newberry, Slater, Diaz, Kislak, and Biah

     Date Introduced: February 15, 2023

     Referred To: House Municipal Government & Housing

     It is enacted by the General Assembly as follows:

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     SECTION 1. Chapter 44-3 of the General Laws entitled "Property Subject to Taxation" is

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hereby amended by adding thereto the following section:

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     44-3-67. Imposition of tax on higher education private institution endowments by

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municipalities.

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     (a) Each city and town, by resolution or ordinance adopted by the city or town council,

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may wholly or partially impose a tax, of not more than two percent (2%), on the endowment of a

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private institution of higher education located in that city or town.

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     (b) All tax revenues generated pursuant to this section shall be deposited in a restricted

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receipt account by the city or town to be used only for the public school district of that 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 -- PROPERTY SUBJECT TO TAXATION

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     This act would allow the host city or town to impose a two percent (2%) tax on the

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endowment of a private institution of higher education, to be used only for the host's public school

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district.

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     This act would take effect upon passage.

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