State-by-State Guide to Taxes on Middle-Class Families
Tool | November 2021

Rhode Island State Tax Guide for Middle-Class Families

State tax rates and rules for income, sales, gas, property, cigarette, and other taxes that impact middle-class families.

Rhode Island

Add to State Compare List | View List
(0) selected | Compare up to 5

The Bottom Line
Flag of Rhode Island

Not Tax-Friendly

Rhode Island is expensive for homeowners. In Rhode Island, the statewide median property tax rate is the 10th-highest in the nation. While the Ocean State's sales and income tax bites for middle-class families are more modest, they can't pull the state out of the "not tax-friendly" category.

Income Tax Range

Low: 3.75% (on up to $66,200 of taxable income)

High: 5.99% (on taxable income over $150,550)

For 2022, the 3.75% rate applies to the first $68,200 of taxable income, while the 5.99% rate applies to taxable income over $155,050.

Sales Tax

7% state levy. No local taxes.

Groceries: Exempt
Clothing: Exempt if under $250
Motor Vehicles: Taxable
Prescription Drugs: Exempt

Real Property Taxes

In Rhode Island, the median property tax rate is $1,571 per $100,000 of assessed home value.

Motor Fuel Taxes

Gasoline: 35¢ per gallon.
Diesel: 35¢ per gallon.

Sin Taxes

Cigarettes and little cigars: $4.25 per pack
Snuff: $1 per ounce
Cigars: 80% of the wholesale price with a $0.50 per cigar cap
Other tobacco products: 80% of the wholesale price

Beer: $0.11 per gallon
Wine: $1.40 per gallon
Liquor: $5.40 per gallon
Alcohol purchases are exempt from sales tax.

Annual Car Taxes and Fees

An annual vehicle excise tax based on the car's value is imposed.

Estate and Inheritance Taxes

Rhode Island has an estate tax with a 2022 exemption amount of $1,648,611. Rates range from 0.8% to 16%.