Rhode Island SB 2260: AN ACT RELATING TO TAXATION -- SALES AND USE TAXES -- LIABILITY AND COMPUTATION (Exempts from sales tax the trade-in values of motorcycles.)

Bill Text

2022 -- S 2260
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LC004354
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S T A T E O F R H O D E I S L A N D
IN GENERAL ASSEMBLY
JANUARY SESSION, A.D. 2022
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A N A C T
RELATING TO TAXATION -- SALES AND USE TAXES -- LIABILITY AND
COMPUTATION
Introduced By: Senators Gallo, Lombardo, Ciccone, and Picard
Date Introduced: February 11, 2022
Referred To: Senate Finance

It is enacted by the General Assembly as follows:
SECTION 2. Section 44-18-30 of the General Laws in Chapter 44-18 entitled "Sales and 1
Use Taxes - Liability and Computation" is hereby amended to read as follows: 2
44-18-30. Gross receipts exempt from sales and use taxes. 3
There are exempted from the taxes imposed by this chapter the following gross receipts: 4
(1) Sales and uses beyond constitutional power of state. From the sale and from the storage, 5
use, or other consumption in this state of tangible personal property the gross receipts from the sale 6
of which, or the storage, use, or other consumption of which, this state is prohibited from taxing 7
under the Constitution of the United States or under the constitution of this state. 8
(2) Newspapers. 9
(i) From the sale and from the storage, use, or other consumption in this state of any 10
newspaper. 11
(ii) "Newspaper" means an unbound publication printed on newsprint that contains news, 12
editorial comment, opinions, features, advertising matter, and other matters of public interest. 13
(iii) "Newspaper" does not include a magazine, handbill, circular, flyer, sales catalog, or 14
similar item unless the item is printed for, and distributed as, a part of a newspaper. 15
(3) School meals. From the sale and from the storage, use, or other consumption in this 16
state of meals served by public, private, or parochial schools, school districts, colleges, universities, 17
student organizations, and parent-teacher associations to the students or teachers of a school, 18

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college, or university whether the meals are served by the educational institutions or by a food 1
service or management entity under contract to the educational institutions. 2
(4) Containers. 3
(i) From the sale and from the storage, use, or other consumption in this state of: 4
(A) Non-returnable containers, including boxes, paper bags, and wrapping materials that 5
are biodegradable and all bags and wrapping materials utilized in the medical and healing arts, 6
when sold without the contents to persons who place the contents in the container and sell the 7
contents with the container. 8
(B) Containers when sold with the contents if the sale price of the contents is not required 9
to be included in the measure of the taxes imposed by this chapter. 10
(C) Returnable containers when sold with the contents in connection with a retail sale of 11
the contents or when resold for refilling. 12
(D) Keg and barrel containers, whether returnable or not, when sold to alcoholic beverage 13
producers who place the alcoholic beverages in the containers. 14
(ii) As used in this subdivision, the term "returnable containers" means containers of a kind 15
customarily returned by the buyer of the contents for reuse. All other containers are "non-returnable 16
containers." 17
(5)(i) Charitable, educational, and religious organizations. From the sale to, as in defined 18
in this section, and from the storage, use, and other consumption in this state, or any other state of 19
the United States of America, of tangible personal property by hospitals not operated for a profit; 20
"educational institutions" as defined in subdivision (18) not operated for a profit; churches, 21
orphanages, and other institutions or organizations operated exclusively for religious or charitable 22
purposes; interest-free loan associations not operated for profit; nonprofit, organized sporting 23
leagues and associations and bands for boys and girls under the age of nineteen (19) years; the 24
following vocational student organizations that are state chapters of national vocational student 25
organizations: Distributive Education Clubs of America (DECA); Future Business Leaders of 26
America, Phi Beta Lambda (FBLA/PBL); Future Farmers of America (FFA); Future Homemakers 27
of America/Home Economics Related Occupations (FHA/HERD); Vocational Industrial Clubs of 28
America (VICA); organized nonprofit golden age and senior citizens clubs for men and women; 29
and parent-teacher associations; and from the sale, storage, use, and other consumption in this state, 30
of and by the Industrial Foundation of Burrillville, a Rhode Island domestic nonprofit corporation. 31
(ii) In the case of contracts entered into with the federal government, its agencies, or 32
instrumentalities, this state, or any other state of the United States of America, its agencies, any 33
city, town, district, or other political subdivision of the states; hospitals not operated for profit; 34

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educational institutions not operated for profit; churches, orphanages, and other i