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Rhode Island Imposes 7% Sales Tax on Short-Term Parking Starting October 2025

Starting October 1, 2025, Rhode Island will extend its 7% sales tax to short-term parking services, defined as less than one month. This new tax will apply to various locations, including paid garages, event parking, and state or municipal lots. Parking service providers are now required to register, collect, and remit this sales tax, which must be itemized separately on receipts. Operators must obtain a retail sales permit and file monthly returns by the 20th of the following month, with the first return due November 20, 2025. This measure expands the state’s tax base and creates new administrative obligations for parking operators while potentially increasing costs for consumers.

Source: vatabout.com

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.



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