2019 -- H 5622

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LC001718

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2019

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A N   A C T

RELATING TO TAXATION -- SALES AND USE TAXES

     

     Introduced By: Representative Patricia A. Serpa

     Date Introduced: February 27, 2019

     Referred To: House Finance

     It is enacted by the General Assembly as follows:

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     SECTION 1. Chapter 44-18 of the General Laws entitled "Sales and Use Taxes -

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Liability and Computation" is hereby amended by adding thereto the following section:

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     44-18-21.1. Exemption for health care facilities.

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     (a) Health care facilities licensed by the department of health as defined in § 23-17-2(8)

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that are required by federal or state law, regulation, rule, policy or program to purchase, store,

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use, or otherwise consume prewritten computer software delivered electronically or by load and

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leave to deliver health care services as a normal course of business shall be exempt from liability

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of use tax under the provisions of § 44-18-21 for services as defined in § 44-18-7.1(g)(v).

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     (b) Health care facilities licensed by the department of health as defined in § 23-17-2(8)

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that are required by federal or state law, regulation, rule, policy or program to purchase, store,

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use, or otherwise consume vendor-hosted prewritten computer software to deliver health care

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services as a normal course of business shall be exempt from liability of use tax under the

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provisions of § 44-18-21 for services as defined in § 44-18-7.1(g)(vii).

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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

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     This act would provide for a use tax exemption for all health care facilities licensed by

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the department of health that are required by a federal or state government entity to purchase,

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store, use, or otherwise consume prewritten computer software delivered electronically or by load

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and leave or to purchase, store, use, or otherwise consume vendor-hosted prewritten computer

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software in order to provide health care services.

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     This act would take effect upon passage.

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LC001718

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