Rhode Island General Laws 44-34.1-5. Excise tax elimination
(a) Notwithstanding any provisions of the general or public laws to the contrary, for each city, town, and fire district, except for the city of East Providence:
(1) The motor vehicle and trailer excise tax established by § 44-34-1 [repealed] shall be repealed effective July 1, 2022. For fiscal year 2023 and thereafter, no tax shall be levied.
(2) For fiscal year 2023, each city, town, and fire district shall receive a reimbursement equal to the amount it received in fiscal year 2017 plus its FY 2018 baseline amount (“FY 2023 reimbursement amount”). A city, town, or fire district is entitled to receive additional reimbursement in fiscal year 2023 as follows:
(i) If the department of revenue certifies that a city, town, or fire district’s budgeted motor vehicle levy for the assessment date of December 31, 2021, is in excess of its FY 2023 reimbursement amount, the city, town, or fire district shall be reimbursed the difference between such motor vehicle levy and its FY 2023 reimbursement amount.
(3) Any fire district reimbursement amounts outstanding as of June 27, 2022, shall be distributed by August 1, 2022.
(4) For fiscal year 2024 and thereafter, cities, towns, and fire districts shall receive reimbursements in accordance with § 44-34.1-2.
Terms Used In Rhode Island General Laws 44-34.1-5
- Baseline: Projection of the receipts, outlays, and other budget amounts that would ensue in the future without any change in existing policy. Baseline projections are used to gauge the extent to which proposed legislation, if enacted into law, would alter current spending and revenue levels.
- Fiscal year: The fiscal year is the accounting period for the government. For the federal government, this begins on October 1 and ends on September 30. The fiscal year is designated by the calendar year in which it ends; for example, fiscal year 2006 begins on October 1, 2005 and ends on September 30, 2006.
- town: may be construed to include city; the words "town council" include city council; the words "town clerk" include city clerk; the words "ward clerk" include clerk of election district; the words "town treasurer" include city treasurer; and the words "town sergeant" include city sergeant. See Rhode Island General Laws 43-3-9
(b) Notwithstanding any provisions of the general or public laws to the contrary, for the city of East Providence the following shall apply:
(1) It shall levy the excise tax in its fiscal year 2022 because its implementation of the phase out was delayed by one year to match its fiscal year; provided, however, it shall apply the phase-out parameters for fiscal year 2023 as set forth in §§ 44-34-11 [repealed] and 44-34.1-1 [repealed].
(2) The motor vehicle and trailer excise tax established by § 44-34-1 [repealed] shall be repealed effective July 1, 2023.
(3) For its fiscal year 2023 and thereafter, no tax shall be levied, and the city of East Providence shall receive reimbursements in accordance with § 44-34.1-2.
History of Section.
P.L. 2022, ch. 231, art. 6, § 12, effective June 27, 2022.