Motor Vehicle Excise Tax

The State of Rhode Island has initiated a reduction of the motor vehicle excise tax starting in the 2017/2018 fiscal year. Values and taxes will be applied using the following chart.

Original values are derived by the RI Vehicle Value Commission.

tax year        phase out amount         max tax rate     % of  full value
                         
2017/2018           1000                     $60/1000                   95%
2018/2019           2000                     $50/1000                   90%
2019/2020           3000                     $35/1000                   85%
2020/2021           4000                     $35/1000                   80%
2021/2022           5000                     $30/1000                   75%
2022/2023           no tax bill              no tax bill                no tax bill 
2023/2024           no tax bill              no tax bill                no tax bill 

The State of Rhode Island has advanced the motor vehicle tax phase out, the result being no Motor Vehicle tax bills in 2022

     The motor vehicle excise tax is a tax on the privilege of registration and is based on the number or days each vehicle or trailer was registered during the preceding calendar year. For example, tax bills issued in June 2017 cover vehicle registrations from January 1, 2016 to December 31, 2016. The motor vehicle tax is pro-rated to the actual number of day's the vehicle was registered.
     Address changes are made through the State Registry of Motor Vehicles. If you move to a different municipality within the State, you will be billed by the municipality you resided in on December 31. If you move out of State you will be billed by your former municipality until the registration(s) is(are) canceled and plates returned to the Registry.
     If you dispose of a vehicle by any means (sale, transfer, theft, collision, junked, totaled,etc) you must cancel the registration to avoid further taxes. When a registration is canceled, the taxes for that registration will stop as of the date of cancellation.