AN ACT RELATING TO TAXATION -- SALES AND USE TAXES -- LIABILITY AND COMPUTATION (Expands the definition of “book or other writing” to sales up to one thousand five hundred (1,500) copies and deny the sales tax exemption for third-party sales.)

H7006

2026 -- H 7006
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LC003561
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STATE OF RHODE ISLAND
IN GENERAL ASSEMBLY
JANUARY SESSION, A.D. 2026
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A N A C T
RELATING TO TAXATION -- SALES AND USE TAXES -- LIABILITY AND
COMPUTATION

Introduced By:
Representative Arthur J. Corvese

Date Introduced:
January 07, 2026

Referred To:
House Municipal Government & Housing
It is enacted by the General Assembly as follows:
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SECTION 1. Section 44-18-30B of the General Laws in Chapter 44-18 entitled "Sales and
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Use Taxes — Liability and Computation" is hereby amended to read as follows:
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44-18-30B. Exemption from sales tax for sales by writers, composers, artists —
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Findings.
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(a) The general assembly makes the following findings of facts:
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(1) The arts and culture are a significant asset for Rhode Island, one that generates revenue
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through increased tourism and economic activity; creates jobs and economic opportunities;
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revitalizes communities adding to quality of life and property values; and fosters creativity,
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innovation, and entrepreneurship.
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(2) Since 1998, the establishment of arts districts, where “one-of-a-kind, limited-
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production” works of art may be sold exempt from state sales tax, has resulted in an increased
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presence for the arts in designated cities and towns, with benefits to those communities and to the
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state.
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(3) Since the establishment of arts districts, many communities have sought legislation to
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expand the program to their city or town.
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(4) There is value in expanding the arts district program statewide, providing incentives for
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the sale and purchase of art. This is a unique opportunity for Rhode Island to shape history, and
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gain an advantage over other states, by becoming the first-and-only state in the country to declare

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a statewide sales tax exemption on art. This will strengthen Rhode Island’s identity as an arts-
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friendly destination and “State of the Arts.”
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(b)(1) This section only applies to sales by writers, composers, and artists residing in and
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conducting a business within the state of Rhode Island. For the purposes of this section, a “work”
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means an original and creative work, whether written, composed, or executed for “one-of-a-kind,
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limited production” that falls into one of the following categories:
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(i) A book or other writing;
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(ii) A play or the performance of said play;
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(iii) A musical composition or the performance of said composition;
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(iv) A painting, print, photograph, or other like picture;
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(v) A sculpture;
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(vi) Traditional and fine crafts;
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(vii) The creation of a film or the acting within the film; or
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(viii) The creation of a dance or the performance of the dance.
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(2) For the purposes of this section, a “work” includes any product generated as a result of
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any of the above categories.
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(3) For the purposes of this section, a “work” does not apply to any piece or performance
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created or executed for industry-oriented, commercial, or related production.
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(4) For the purposes of this section, a “book or other writing” means a one-of-a-kind limited
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production, up to the sale of one thousand five hundred (1,500) copies, regardless of the methods
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by which it is published or sold; provided, however, that any third-party electronic sales, and sales
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from bookstores, gift shops and other retail outlets, shall not be exempt from the sales tax.
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(c)(1) This section applies to sales by any individual:
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(i) Who is a resident of, and has a principal place of business situated in, the state of Rhode
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Island.
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(ii) Who is determined by the tax administrator in consultation with the Rhode Island
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council on the arts, after consideration of any evidence he or she deems necessary or that is
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submitted to him or her by the individual, to have written, composed, or executed, either solely or
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jointly, a work or works that would fall into one of the categories listed in subsection (b)(1).
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(2) This section also applies to sales by any other gallery located in the state of Rhode
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Island.
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(3) The tax administrator shall not make a determination unless:
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(i) The individual(s) concerned duly make(s) an application to the tax administrator for the
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sales tax exemption that applies to the works defined in this section; and

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(ii) The individual has complied and continues to comply with any and all requests made
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by the tax administrator.
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(d) Any individual to whom this section applies, and who makes an application to the tax
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administrator, is entitled to a sales tax exemption for the sale of a work or works sold from the
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individual’s business located in the State of Rhode Island that would, apart from this section, be
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subject to the tax rate imposed by the state of Rhode Island.
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(e) When an individual makes a request for the exemption, the tax administrator is entitled
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to all books, documents, or other evidence relating to the publication, production, or creation of the
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works that may be deemed necessary by the tax administrator for the purposes of the exemption.
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The time period in which to provide this information is in the sole discretion of the tax administrator
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and specified in the notice.
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(f) In addition to the information required in subsection (e), the tax administrator may
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require the individual(s) to submit an annual, certified accounting of the numbers of works sold;
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the type of work sold; and the date of the sale. Failure to file this report may, in the sole discretion
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of the tax administrator, terminate the individual’s eligibility for the exemption.
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(g) Any person storing, using, or otherwise consuming in this state any work or works
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deemed to be exempt from the sales tax pursuant to this section is not liable for the use tax on the
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work or works.
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(h) Notwithstanding the provisions of this section, any individual to whom this section may
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apply shall comply with all the administration, collection, and other provisions of chapters 18 and
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19 of this title.
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(i) The certificate of exemption shall be valid for four (4) years from the date of issue. All
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certificates issued prior to the effective date of this section shall expire four (4) years from the
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effective date of this section.
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(j) The Rhode Island council on the arts will oversee the transition to a statewide arts district
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program and work with the state tourism agencies; local chambers of commerce; and
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advertising/marketing agencies to promote this program, and will coordinate its efforts with the
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city and town governments. The Rhode Island council on the arts may request, and shall receive,
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from any department, division, board, bureau, commission, or agency of the state any data,
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assistance, and resources, including additional personnel, that will enable it to properly carry out
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this program.
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(k) The tax administrator, in cooperation with the Rhode Island council on the arts, will
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gather data to assess the overall impact of the statewide arts district program, and issue an annual
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report including, but not limited to, the impact of the tax exemption on employment, tourism, sales,

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and spending within the arts sector and adjacent businesses, and any other factors that describe the
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impact of the program.
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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 -- SALES AND USE TAXES -- LIABILITY AND
COMPUTATION
***
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This act would expand the definition of “book or other writing” to sales up to one thousand
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five hundred (1,500) copies and deny the sales tax exemption for third-party sales.
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This act would take effect upon passage.
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