Rhode Island General Laws
Chapter 44-18 - Sales and Use Taxes — Liability and Computation
Section 44-18-7. - Sales defined.

§ 44-18-7. Sales defined.
“Sales” means and includes:
(1) Any transfer of title or possession, exchange, barter, lease, or rental, conditional or otherwise, in any manner or by any means of tangible personal property for a consideration. “Transfer of possession,” “lease,” or “rental” includes transactions found by the tax administrator to be in lieu of a transfer of title, exchange, or barter.
(2) The producing, fabricating, processing, printing, or imprinting of tangible personal property for a consideration for consumers who furnish, either directly or indirectly, the materials used in the producing, fabricating, processing, printing, or imprinting.
(3) The furnishing and distributing of tangible personal property for a consideration by social, athletic, and similar clubs and fraternal organizations to their members or others.
(4) The furnishing, preparing, or serving for consideration of food, meals, or drinks, including any cover, minimum, entertainment, or other charge in connection therewith.
(5) A transaction whereby the possession of tangible personal property is transferred, but the seller retains the title as security for the payment of the price.
(6) Any withdrawal, except a withdrawal pursuant to a transaction in foreign or interstate commerce, of tangible personal property from the place where it is located for delivery to a point in this state for the purpose of the transfer of title or possession, exchange, barter, lease, or rental, conditional or otherwise, in any manner or by any means whatsoever, of the property for a consideration.
(7) A transfer for a consideration of the title or possession of tangible personal property, which has been produced, fabricated, or printed to the special order of the customer, or any publication.
(8) The furnishing and distributing of electricity, natural gas, artificial gas, steam, refrigeration, and water.
(9)(i) The furnishing for consideration of intrastate, interstate, and international telecommunications service sourced in this state in accordance with §§ 44-18.1-15 and 44-18.1-16 and all ancillary services, and any maintenance services of telecommunication equipment other than as provided for in § 44-18-12(b)(ii). For the purposes of chapters 18 and 19 of this title only, telecommunication service does not include service rendered using a prepaid telephone calling arrangement.
(ii) Notwithstanding the provisions of subsection (9)(i), in accordance with the Mobile Telecommunications Sourcing Act (4 U.S.C. §§ 116 — 126), subject to the specific exemptions described in 4 U.S.C. § 116(c), and the exemptions provided in §§ 44-18-8 and 44-18-12, mobile telecommunications services that are deemed to be provided by the customer’s home service provider are subject to tax under this chapter if the customer’s place of primary use is in this state regardless of where the mobile telecommunications services originate, terminate, or pass through. Mobile telecommunications services provided to a customer, the charges for which are billed by or for the customer’s home service provider, shall be deemed to be provided by the customer’s home service provider.
(10) The furnishing of service for transmission of messages by telegraph, cable, or radio and the furnishing of community antenna television, subscription television, and cable television services.
(11) The rental of living quarters in any hotel, rooming house, or tourist camp.
(12) The transfer for consideration of prepaid telephone calling arrangements and the recharge of prepaid telephone calling arrangements sourced to this state in accordance with §§ 44-18.1-11 and 44-18.1-15. “Prepaid telephone calling arrangement” means and includes prepaid calling service and prepaid wireless calling service.
(13) The sale, storage, use, or other consumption of over-the-counter drugs as defined in § 44-18-7.1(h)(ii).
(14) The sale, storage, use, or other consumption of prewritten computer software delivered electronically or by load and leave as defined in § 44-18-7.1(g)(v).
(15) The sale, storage, use, or other consumption of vendor-hosted prewritten computer software as defined in § 44-18-7.1(g)(vii).
(16) The sale to, or storage, use, or other consumption by, an end-user of specified digital products as defined in § 44-18-7.1(x), including the right to use the specified digital products on a permanent or less than permanent basis and regardless of whether the purchaser is required to make continued payments for such right.
(17) For the purposes of subsections (14) through (16) above, “sale” includes, but is not limited to, any license, lease, or rental of the products enumerated in those subsections.
(18) The sale, storage, use, or other consumption of medical marijuana as defined in § 21-28.6-3.
(19) The furnishing of services in this state as defined in § 44-18-7.3.
History of Section.P.L. 1947, ch. 1887, art. 2, § 6; G.L. 1956, § 44-18-7; P.L. 1967, ch. 179, art. 2, § 1; P.L. 1973, ch. 263, art. 7, § 1; P.L. 1981, ch. 151, § 1; P.L. 1989, ch. 126, art. 44, § 1; P.L. 1999, ch. 441, § 1; P.L. 2002, ch. 65, art. 16, § 7; P.L. 2005, ch. 365, § 3; P.L. 2006, ch. 246, art. 30, § 9; P.L. 2007, ch. 6, § 4; P.L. 2011, ch. 151, art. 19, § 23; P.L. 2012, ch. 241, art. 21, § 3; P.L. 2018, ch. 47, art. 4, § 10; P.L. 2019, ch. 88, art. 5, § 9; P.L. 2020, ch. 12, § 1; P.L. 2020, ch. 17, § 1.

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