Rhode Island General Laws chapter 44-72

Rhode Island non-owner occupied tax certificate at sale closing

Rhode Island non-owner occupied tax certificate at sale closing: the seller requests a Certificate of No Tax Due at least 10 business days before transfer.

Updated 4 September 2026 · 8 min read · Written from the public text of the law; sources at the end.

If you sell a Rhode Island home assessed above $1,000,000 on or after 1 July 2026, the Division of Taxation's regulation requires you, the seller, to request a Certificate of No Tax Due from the Division at least 10 business days before the transfer date. The certificate confirms that the non-owner occupied tax for the current year, all prior years and the privilege year of the sale has been paid, or that none is due. The statute, RIGL 44-72, says nothing about sales; the requirement comes from regulation 280-RICR-20-75-1, in force since 28 June 2026, and closing attorneys now treat the certificate as a closing deliverable.

Where the requirement comes from

Chapter 44-72 has no section on transfers. It gives the Tax Administrator power to "make and promulgate rules, regulations, and procedures" for administering the tax (RIGL 44-72-14), and the Division used that power. The operative text is in section 1.9 of the regulation:

The seller shall, at least ten (10) business days prior to the transfer date, contact the Division of Taxation to request a Certificate of No Tax Due, which demonstrates that the non-owner occupied tax for the current tax year, all prior tax years, and the tax year corresponding to the privilege year of the transfer has been satisfied or no non-owner occupied tax is due. (280-RICR-20-75-1.9(B)(1)(a))

Four things the rulemaking record settles:

The deadline changed. The proposed rule (public notice 9 April 2026, hearing 21 April 2026, comments to 9 May 2026) said 15 business days. A commenter asked for 5. The Division settled on 10 business days "in balancing the request with current resources and administration considerations".
No fee. "There is no fee to obtain a Certificate of No Tax Due."
No lien. "The Division does not have the statutory authority to impose a lien on the property based on the nonpayment of the non-owner occupied property tax."
Proration is private. The Division declined to prorate the tax between buyer and seller; the parties "may privately" agree to it at closing.

The Division's advisories index also lists ADV 2026-17, "Sales of RI Residential Properties with Assessed Value Over $1M Require Certificate of No Tax Due". That advisory could not be retrieved to cite when this guide was written (September 2026), so everything here rests on the regulation, the FAQ and the explanatory statement. Ask the Division for the advisory when you request the certificate.

Who owes the tax when the house changes hands

The regulation fixes responsibility by the transfer date. Remember the two clocks: the privilege year (1 July to 30 June, when occupancy is measured) and the tax year (the following 1 July to 30 June, when the tax is billed). The owner on 1 July of a tax year is responsible for that year's bill (280-RICR-20-75-1.7(C)).

Transfers on or after 1 July 2026

Transfer date falls in	Tax for the privilege year of the transfer (billed next tax year)	Tax for the current and prior tax years	Certificate
30 December to 30 June	Seller	Seller	Seller must request it at least 10 business days before transfer (280-RICR-20-75-1.9(B)(1))
1 July to 29 December	Buyer	Seller, to be paid in full before closing	The regulation's worked example says a Certificate of No Tax Due is required (280-RICR-20-75-1.9(B)(2))

Two examples from the regulation:

Sale on 22 May 2027, assessed at $2,600,000. The seller is responsible for all tax through 30 June 2028, including the whole bill for the tax year 1 July 2027 to 30 June 2028, and should pay before closing. The buyer's responsibility starts with the tax year beginning 1 July 2028.
Sale on 13 October 2027, assessed at $1,300,000. The seller is responsible for all tax through 30 June 2028 and pays before closing. The buyer is responsible from the tax year beginning 1 July 2028, and will be taxed on that year unless the buyer occupies the house 183 days or more, or rents it 183 days or more, in the privilege year 1 July 2027 to 30 June 2028.

The explicit "ten (10) business days" wording sits in the 30 December to 30 June branch. The regulation's example for the other branch also states that a certificate is required, and practitioners report it is demanded at every closing above the threshold. Treat it as required whatever the date.

Installments already running

If you sell mid-year after paying some installments, the remaining installments of that tax year stay with you. The FAQ's example is a May 2027 sale after three payments: the seller still owes the 15 June 2027 installment and everything for the following tax year (FAQ Q26). Build that into the price or the closing adjustments; the Division will not split the bill.

The transition year (1 July 2025 to 30 June 2026)

Sales before 1 July 2026 follow a different rule, set out in ADV 2026-09 and repeated in the regulation: the party that owned the property for the majority of the first privilege year carries the 2026 bill.

Transfer date	Responsible for the tax year 1 July 2026 to 30 June 2027
1 July 2025 to 29 December 2025	Buyer (owner for 183 days or more)
30 December 2025 to 30 June 2026	Seller (owner for 183 days or more)

So a January 2026 seller may receive a 2026 bill for a house they no longer own (FAQ Q23), and a buyer who received a notice in the previous owner's name should email the Division for instructions (FAQ Q24, Q25). No certificate was required for those closings; the rule starts with transfers on or after 1 July 2026.

What the certificate covers, including exempt homes

The wording "has been satisfied or no non-owner occupied tax is due" means the certificate is not only for taxed properties. A seller who lived in the house 183 days or more, or rented it 183 days or more, still requests the certificate; the Division issues it on the basis that nothing is owed. Practically, that means the seller has to prove primary residence or an exemption for the relevant privilege years before closing, on the same evidence the Division would want in an audit. The proof guides cover that: how to prove 183 days of occupancy and the rental exemptions.

How to request it

The regulation says only "contact the Division of Taxation". The Division's published contact points for this tax are:

Email: Tax.Property@tax.ri.gov
Phone: (401) 574-8955, 8:30 a.m. to 3:30 p.m. on business days
Mail: Rhode Island Division of Taxation, One Capitol Hill, Providence, RI 02908

The Division's forms index lists a "Non-owner Occupied Property Tax Request Form" numbered RI-6678. Its contents could not be confirmed for this guide, so do not assume it is the certificate request; ask the Excise Tax Section which form and attachments it wants, and note the answer.

Have these ready when you ask:

Property address, plat and lot, and the town's assessed value as of the relevant 31 December.
Names of all owners of record, or the entity name and its members (members of an LLC are jointly and severally liable for the tax, 280-RICR-20-75-1.6(A)).
The scheduled transfer date.
Proof of payment of any installments already billed.
Proof of primary residence or exemption for each privilege year at issue (resident return, license, leases, platform reports, sales tax filings).
A copy of any questionnaire or notice the Division sent about the property, and your answers.

Ten business days is the minimum: two calendar weeks plus any state holiday. The Division also needs time to review exemption evidence, so request the certificate as soon as you have a signed purchase and sale agreement, not when the closing date is set.

If tax is owed

The regulation's examples say the seller "should pay any tax due in full, before the closing". Pay through the Division's portal or as the notice directs, keep the confirmation, and send it with the certificate request. Late installments carry interest at the rate in RIGL 44-1-7 and, where the shortfall is due to negligence or intentional disregard, a penalty of 10% (RIGL 44-72-9). A tax unpaid 30 days after its due date can be set off against any payment the state owes you (RIGL 44-72-8). There is no lien, but there is also no closing without the certificate.

What to give your closing attorney

[ ] The Certificate of No Tax Due, or the dated confirmation that it was requested and from whom.
[ ] The Division's notice of tax due for the current tax year, and receipts for installments paid.
[ ] The assessed value used by the Division and the town's record it came from.
[ ] Your occupancy or rental evidence for the privilege year of the transfer, in case the buyer's counsel asks.
[ ] A note of who bears the tax for the privilege year of the transfer under the table above, and any private proration agreed in the purchase and sale agreement.
[ ] For entity sellers, the member list and who signs for the Division.

For buyers

You inherit the clock, not the seller's bill. From the tax year after the privilege year of your purchase, the Division will look at what you did with the house from the closing date to the next 30 June. A buyer who closes on 13 October 2027 has until 30 June 2028 to reach 183 days of occupancy or rental for the 2028 bill. If a notice arrives in the seller's name, do not ignore it; email the Division (FAQ Q24). Details of bills and payments are in bills, due dates and how to pay, and the tax basics are in who pays, how much, from when.

Next steps

[ ] Put the transfer date against the table above and write down who owes what.
[ ] Email Tax.Property@tax.ri.gov for the certificate as soon as the purchase and sale agreement is signed; keep the sent email.
[ ] Pay any open installments and the next tax year's bill if it is yours before closing.
[ ] Assemble the occupancy or rental proof for every privilege year the certificate covers.
[ ] Give the closing attorney the file above at least a week before closing.

Frequently asked questions

Do I need a tax certificate to sell a Rhode Island home assessed over $1 million?

Yes, under the Division of Taxation's regulation 280-RICR-20-75-1. For transfers on or after 1 July 2026 the seller must contact the Division at least 10 business days before the transfer date to request a Certificate of No Tax Due for the non-owner occupied tax. The statute itself, RIGL 44-72, does not mention sales.

Who asks for the Certificate of No Tax Due and who issues it?

The seller requests it from the Rhode Island Division of Taxation, not from the town. The regulation says the seller 'shall contact the Division of Taxation to request' it. The Division has said there is no fee for the certificate.

What does the Certificate of No Tax Due show?

That the non-owner occupied tax for the current tax year, all prior tax years and the tax year that corresponds to the privilege year of the transfer has been paid, or that no tax is due, for example because the home was owner occupied or exempt.

If I sell in May 2027, who pays the non-owner occupied tax?

The seller. For a transfer between 30 December and 30 June the seller is responsible for the tax for the privilege year of the transfer, which is billed in the following tax year, plus any current and prior years, and should pay in full before closing. For a transfer between 1 July and 29 December the buyer is responsible for the privilege year of the transfer.

Is there a lien on the property for unpaid non-owner occupied tax?

No. In its June 2026 explanatory statement the Division said it has no statutory authority to impose a lien for nonpayment of this tax. Unpaid tax follows the owner, with interest and a possible 10% penalty, and the certificate requirement is how the Division catches up at closing.

Was the deadline for the certificate always 10 business days?

No. The proposed regulation published on 9 April 2026 required the request 15 business days before transfer. After public comment the Division cut it to 10 business days in the final rule, effective 28 June 2026.

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Sources

This guide is general information written from public statutes and agency materials as of 4 September 2026. Laws and agency rules change, and agencies sometimes read a statute differently from its text. It is not legal, tax or customs advice for your situation. Check the sources above or ask a licensed professional before you rely on it.