Imposes a wealth tax on Rhode Island individuals and entities at a rate of one percent (1%) of worldwide wealth.

Rhode Island Wealth Tax Bill

This bill would create a new type of tax in Rhode Island called a "wealth tax." Unlike income taxes, which are based on how much money you *earn*, a wealth tax is based on how much you *own*. Specifically, this bill would require certain Rhode Island residents and businesses to pay 1% of their total worldwide wealth — meaning the combined value of everything they own, no matter where in the world those assets are located.

The bill would affect Rhode Island individuals and entities (such as businesses or other organizations) who fall under its requirements. Because the bill targets "worldwide wealth," it would count assets like real estate, investments, bank accounts, and other property — even if those assets are held in other states or countries. The specific thresholds determining *who* must pay this tax (for example, whether it applies only above a certain wealth level) would be defined in the full bill language.

If passed, this would be a significant change to how Rhode Island collects taxes, as wealth taxes are relatively rare in the United States. Currently, most state and federal tax systems focus on income and spending rather than total accumulated wealth. Revenue collected through this tax would go to the state, though the bill does not specify exactly how those funds would be used.

This bill has been introduced and sent to the Senate Finance Committee, where legislators will review it before deciding whether to move it forward. It has not yet been voted on or signed into law.