State Tax Laws > Property Taxes > Summary > Rhode Island

For the complete text of Rhode Island statutes please refer to Rhode Island Division of Taxation, or the Department of Environmental Management.

Property Classification: (Sec. 44-27-1, G.L. to Sec. 44-27-5, G.L.)

The Rhode Island statutes provide for the classification of farm, forest, and open-space land in order to prevent a forced conversion of the land to more intensive uses, due to increased assessment resulting from economic pressures

Classification of forest land -  An owner of forest land may file a written application with the director of environmental management for its designation by the director as forest land.

To be eligible, a forest parcel must be at least 10 contiguous acres, not counting the zoned house lot or one acre surrounding any dwelling, whichever is smaller, bearing a dense growth of trees or planted with 500 trees to the acre. The land cannot be part of a planned or existing development and it must be actively managed according to the provisions of a five-year forest management plan. The plan must be prepared by a professionally qualified forester in consultation with the owner. The plan must be approved by the DEM.

In order to maintain this classification, each year thereafter, the property owner shall submit to the assessor a certificate on a form prescribed by the assessor confirming that the land is still managed as forest land.

Land classified as forest land will become ineligible for such classification if:

1) operations to strip topsoil or mine soil or gravel or other minerals;

2) procedures and schedules outlined in the Forest Management Plan are not followed;

3) non-related building commences or permits are obtained; or

4) other non-consistent use is made of the land.

Land use change tax (Sec. 44-5-39)

After May 15, 1980 when land classified as farm, forest or open space land and assessed and taxed under the provisions of §44-5-12 is applied to a use other than as farm, forest or open space or when the land owner voluntarily withdraws that classification it shall be subject to a land use change tax at the following rate:

% of the then fair market value	Year of classification in which change occurred
10%	during first 6 years
9%	7th year
8%	8th year
7%	9th year
6%	10th year
5%	11th year
4%	12th year
3%	13th year
2%	14th year
1%	15th year

No tax shall be imposed following the end of the fifteenth (15th) year of classification

Valuation and Assessment:

Farm land, forest, or open space land the assessment will be based on the lands current use. (Sec. 44-5-12)

The assessment rate is set by the state Forestry Commission each year for all site classes and species.

Property Tax Exemption: (Sec. 44-3-8)

Exemption of land planted to forestry. – Whenever there shall have been planted one or more acres of land, worth not more than twenty-five dollars ($25.00) per acre to trees of any of the following kinds:

chestnut	hickory	oak	maple	larch	pine
ash	catalpa	locust	basswood	beech	hemlock
spruce	tulip tree	cedar	sycamore	walnut

in numbers not less than five hundred (500) to the acre, the owner of the plantation of trees may file with the tax assessors, in any town in which the plantation may be located, an affidavit showing that the owner has complied with the requirements of this chapter.

Upon that proof, the plantation, including the trees and land on which they are growing in good condition, shall be exempted from all taxation whatsoever for a period of fifteen (15) years. The period of exemption to be counted from the time the land shall have been planted or from the time it may have been necessary to replant the land, by reason of destruction by fire, if the land shall be replanted within one year after the destruction; provided, that the land is planted or replanted and managed under a forest working plan approved by the head of the division of forest environment during the period of exemption from taxation.

Land in excess of 300 acres owned by any one person, corporation, limited partnership, or association are not exempt.

Severance or Yield Tax:

The state of Rhode Island does not have a severance or yield tax on timber or timber products.