AN ACT RELATING TO TAXATION -- PERSONAL INCOME TAX

SB 666 provides a tax credit for Rhode Island individual taxpayers who convert their gas-powered vehicles to run on alternative fuels like electricity, natural gas, or ethanol blends. The credit covers up to 50% of conversion costs, with a maximum of $2,000 for standard vehicles or $3,000 for heavier vehicles (over 10,000 lbs.), but cannot exceed the taxpayer’s annual income tax liability. The credit must be used in the year of conversion and cannot be carried forward. It takes effect for the 2026 tax year.