- Rhode Island implemented the Non-Owner Occupied Property Tax Act, nicknamed the " Taylor Swift Tax," which took effect on July 1.
- The new law targets residential properties assessed at over $1 million that are not primary residences and remain vacant for at least 183 days a year.
- It adds $2.50 for every $500 of a home’s assessed value above $1 million, with revenue funding the state's Low-Income Housing Tax Credit Fund for affordable housing.
- For example, Taylor Swift's $28 million Rhode Island mansion could axsee an annual tax increase of approximately $136,000 if she does not qualify for an exemption.
- Homeowners can avoid the tax by renting their property long-term or operating it as a frequently booked short-term rental, though realtors have raised concerns about potential confusion and negative impacts on property values.
IN FULL
