Rhode Island Tax Division Announces Increase to Short-Term Rental Taxes

The Rhode Island Division of Taxation announced that effective Jan. 1, 2026, the local hotel tax rate for all short-term rentals will increase to 2 percent, from 1 percent. The announcement also includes a new 5 percent short-term rental tax imposed on the rental of entire residential dwellings, such as houses, condos, and mobile homes, for stays of 30 consecutive days or fewer. [R.I. Div. of Tax’n, ADV 2025-16, 08/29/25]

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