R.I. Gen. Laws § 44-27-9 — Change of ownership — Procedure for continuance of classification — Effect on land use change tax

(a) Upon the change of ownership of title, as recorded in the land evidence records of
the city or town, of land previously classified as farm, forest, or open space land,
the assessor of the city or town where the land is located shall notify the new owner
that the land is classified as farm, forest, or open space and that land withdrawn
from that classification is subject to the land use change tax provided for in § 44-5-39. The new owner may apply to the local assessor for continuance of classification
and special assessment as provided in § 44-5-12. Upon certification by the new owner that the land continues its use as farmland,
its management as forest land, or its preservation as open space land, the assessor
shall continue it as that on the assessment list and notify the director of environmental
management of the change in ownership.
(b) A change of ownership of land classified as farm, forest, or open space land, except
for change in ownership through inheritance or interfamily transfer, where the new
owner continues its classification as farm, forest, or open space land, commences
anew the computation of the period the land has been so classified for the purposes
of determining the land use change tax provided for in § 44-5-39.
(c) For the purposes of this section, transfer of ownership of land from an individual
to a corporation wholly owned by that individual and/or his or her immediate family
is not considered a change of ownership of the land. Where the owner of land classified
under this chapter is a corporation, any change in ownership of ten percent (10%)
or more of the outstanding common stock of the corporation is considered a change
in ownership of the land, and shall be reported to the assessor of the town or city
in which the land is located.
(d) New owners of land previously classified as farm, forest, or open space land who do
not apply for continuance of classification as in subsection (a) of this section are
considered to have voluntarily withdrawn the classification and become liable for
the land use change tax in effect at the time of change of ownership. This tax is
determined by the assessor within forty-five (45) days of the end of the recertification
period provided for in subsection (a) of this section and falls due at the time the
use of the land is changed. This tax constitutes a lien against the land and runs
with the deed until the obligation is satisfied.