Does Rhode Island's non-owner occupied tax apply to a summer or vacation home?
Quick answer
Yes, unless you live there or rent it out for at least 183 days in the privilege year. The Division of Taxation's March 2026 FAQ says a seasonal home rented half the summer is taxed (Q18), even one bought below its assessment (Q10). Owner days and rental days are not added together (Q21), but long-term and short-term rental days can be (Q20).
What does the law say? Key facts and official sources
| Item | What the law says | Source |
|---|---|---|
| Start | Taxable years beginning on or after July 1, 2026 (44-72-4); first tax year July 1, 2026 to June 30, 2027 uses the December 31, 2024 assessment (FAQ Q3) | R.I. Gen. Laws 44-72-4 |
| Vacation home | Taxed if the city or town assessed value is over $1 million and the property is not occupied for 183 days or more in a privilege year, whatever the purchase price (FAQ Q10) | RI Division of Taxation FAQ (March 2026) |
| Seasonal home | Seasonal properties must be rented for 183 days or more to be exempt (FAQ Q18) | RI Division of Taxation FAQ (March 2026) |
| Mixed rentals | 60 short-term days plus 123 long-term days = 183 rental days: exempt (FAQ Q20) | RI Division of Taxation FAQ (March 2026) |
| Owner plus rentals | 160 owner days plus 80 rental days: not exempt; either owner-occupied or rented for 183 days or more (FAQ Q21) | RI Division of Taxation FAQ (March 2026) |
| Rate | $2.50 for each $500 (or fraction) of assessed value above $1,000,000 (44-72-6); e.g. $1.5 million assessed = $2,500 a year | R.I. Gen. Laws 44-72-6 |
| Source note (flag) | The statute says rented "more than 183 days" (44-72-5) and not occupied "a majority of days" (44-72-3); the Division FAQ says "183 days or more". We do not pick a side; ask the Division if you are at exactly 183 days | R.I. Gen. Laws 44-72-5 |
| Last verified | October 31, 2026 | Astor Ventures |
Do the 183 days have to be in a row?
No. The occupancy days do not need to be consecutive (FAQ Q14).
Which year counts?
The privilege year, July 1 to June 30, before the tax year. For the tax year starting July 1, 2026 it is July 1, 2025 to June 30, 2026 (FAQ Q16).
How much would a $1.5 million summer house pay?
$500,000 above the threshold divided by $500 is 1,000 units, times $2.50, which is $2,500 for the year (44-72-6), paid in four installments.
Want it done in an afternoon? The Rhode Island non-owner occupied tax records kit gives you a day-by-day occupancy and rental tracker, a proof-to-keep list, a payment calendar and steps to request the Certificate of No Tax Due, with the official text quoted. One-time payment of $49, instant download.
What else do people ask?
Do short-term rentals count?
Short-term rentals subject to Rhode Island sales tax count toward the rental exemption (FAQ Q6; 44-72-5).
When are payments due?
September 15, December 15, March 15 and June 15 (44-72-7).
Does the $1 million threshold change?
From July 1, 2027 it is indexed to CPI-U (44-72-6).
Is this legal advice?
No. General information only.
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