Rhode Island’s Non-Owner Occupied Property Tax Act — also known as the “Taylor Swift tax” — faced its first legal challenge with a lawsuit headed by Providence-based law firm Hinckley Allen.
The tax applies to all R.I. residential properties assessed at over $1 million that are not occupied by their owner for 183 days of the year or more, according to the Rhode Island Division of Taxation website. Owners are taxed at a rate of $2.50 for every $500 of assessed value above the $1 million threshold.
The tax’s colloquial name arises from the singer Taylor Swift’s multimillion-dollar home in Watch Hill. Swift is one of the many wealthy property owners subject to the tax…