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Bill > S2232


RI S2232

RI S2232
Allows a municipality to set its own conveyance tax rate for residential properties sold in excess of $900,000.00 at $10 per $500. Provides collected taxes to be in a restricted account and distributed within 2 years for affordable housing.


summary

Introduced
01/23/2026
In Committee
01/23/2026
Crossed Over
Passed
Dead

Introduced Session

2026 Regular Session

Bill Summary

This act would allow a municipality to set an additional conveyance tax rate of not more than ten dollars ($10.00) for each five hundred dollars ($500), or fractional part of that amount, of the consideration in excess of nine hundred thousand dollars ($900,000). This act would also require that the excess conveyance taxes collected alternatively be deposited in a restricted account and distributed within two (2) years, to be used only for affordable housing for individuals or families at or below eighty percent (80%) of the area median income or transferred to state housing agencies for use in the community to develop affordable housing. This act would take effect upon passage.

AI Summary

This bill allows municipalities to impose an additional conveyance tax, which is a tax on the transfer of real estate, on residential properties sold for over $900,000. The new tax would be a maximum of $10 for every $500 of the sale price exceeding $900,000. The money collected from this additional tax must be placed in a restricted account and used within two years specifically for affordable housing initiatives that benefit individuals or families earning at or below 80% of the area median income, or it can be transferred to state housing agencies for similar purposes. The bill also clarifies that this new tax is in addition to existing conveyance taxes and takes effect immediately upon being passed into law.

Committee Categories

Budget and Finance

Sponsors (10)

Last Action

Introduced, referred to Senate Finance (on 01/23/2026)

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