Rhode Island Eyes Cutting The Car Tax A Year Early

RHODE ISLAND — Rhode Island's unpopular motor vehicle excise tax could end this year, a year ahead of schedule, Gov. Dan McKee and other state leaders announced in a press conference Thursday.

The state passed a law five years ago to phase the car tax out gradually, but with more funds than expected in the state budget this year, RI leaders proposed doing away with the tax a year early. The plan will still need to be approved by the House and the Senate.

East Providence alone will still send out car tax bills this year, because their fiscal schedule is different from the rest of the state, House Speaker Joe Shekarchi said during the press conference.

Ending the tax early will mean $64 million less than expected for the state this year. The full state budget will be unveiled Thursday night.