Allows the city of Providence to impose an additional conveyance tax of three quarters of one percent (0.75%) on sale of any real property in excess of one million dollars ($1,000,000).
Summary
H6010 amends Rhode Island’s real estate conveyance tax law to create an additional local tax option for the City of Providence. Under the bill, Providence would be authorized by ordinance to impose an extra conveyance tax of up to 0.75% on the sale of real property in the city when the consideration exceeds $1,000,000. The tax would apply at the time of recording or transfer, and—like the existing conveyance tax—would generally be paid by the grantor, assignor, transferor, or person making the conveyance unless the parties agree otherwise.
The bill also retains and restates the state’s existing conveyance tax structure, including the base tax on real property transfers, the additional tax on residential property sales over $800,000, and the special rules for transfers involving acquired real estate companies. The new Providence tax would be collected and retained by the city, rather than shared with the state or other municipalities, and would apply to both direct real estate sales and certain entity transfers that function as real estate ownership changes.
Impact
If enacted, H6010 would amend Chapter 44-25 of the General Laws governing the real estate conveyance tax by adding a new subsection specifically authorizing Providence to levy an additional local surtax on high-value property transfers. It would expand municipal taxing authority in Rhode Island, but only for Providence and only for transactions above the $1 million threshold. The bill would not change the statewide base conveyance tax rates, but it would increase the total tax burden on expensive property sales in Providence and could affect buyers, sellers, real estate companies, and closing/recording practices in that city.
Sentiment
Based on the bill text and available context, the measure appears to be framed as a revenue and housing-policy tool rather than a controversial structural tax overhaul. The caption and drafting suggest support for using real estate transfer taxes to generate local revenue from high-end transactions, especially in Providence. No committee transcript or vote record is available, so there is no documented floor debate or recorded opposition in the provided materials.
Contention
The main potential point of contention is the policy choice to tax high-value real estate transactions more heavily in Providence, which could be viewed as a targeted tax increase on luxury property sales and on real estate investment activity. Supporters would likely emphasize local revenue generation and the ability to direct funds toward city needs, while opponents might argue it could discourage investment, raise closing costs, or make Providence less competitive relative to other jurisdictions. Because no hearing transcript or vote history is provided, specific legislators, stakeholders, or formal objections cannot be identified from the available record.
Modifies collective Statewide transfer agreement and reverse transfer agreement; establishes New Jersey Transfer Ombudsperson within Office of Secretary of Higher Education.
Modifies collective statewide transfer agreement and reverse transfer agreement; establishes New Jersey Transfer Ombudsperson within Office of Secretary of Higher Education.