Art: Neal Personeus
This humorous piece, exhibited in 2015 at the Block Island Airport, is called “Yeah … but the view.”
People know Rhode Island for its beaches, its cuisine — and, of course, its arts. Perhaps the cluster of arts activities started with the Rhode Island School of Design. Perhaps people who attended RISD stayed around after graduation. It’s hard to say.
But there is no doubt that the state saw what a treasure artists were and decided to create incentives to get them to stick around and contribute.
Dustin Waters has details in Charleston City Paper.
“Little Rhody has become a powerhouse when it comes to attracting artists and art lovers to its shores. And the method by which state leaders have leveraged Rhode Island’s tax code to benefit the creative community could serve as a model for other states looking to cultivate a stronger arts economy.
” ‘When artists populate an area, it tends to get energized,’ says Randall Rosenbaum, executive director of the Rhode Island State Council of the Arts.
“Targeting specific neighborhoods in need of revitalization, Rhode Island’s General Assembly realized that an excellent way to breathe life into these areas was to foster the growth of arts in these communities. Establishing designated arts districts throughout the state in 1996 with the goal of attracting and keeping talented artists, state leaders offered two tax incentives for artists who were willing to live and work in these districts, according to Rosenbaum.
“First, all works of art created in these districts could be purchased exempt from state sales tax. This tax break extended to dealers, galleries, and shops within each district. …
“The second benefit proved to be a major boon. [Income] received by artists from work produced and sold in a designated arts district was exempt from personal state income tax. B…
“Finally, in 2013, the Rhode Island General Assembly extended the sales tax incentive throughout the entire state. This decision came after a meeting between artists, politicians, and businesspeople who saw the plan as a way to turn the state’s creative community into an economic driver. …
“In a 2015 report to the Rhode Island General Assembly prepared by the Rhode Island State Council of the Arts, participating artists were surveyed to find out how they felt about the first year of business under the state’s new guidelines. Not surprisingly, the general consensus among the artistic community was positive.
“Almost 58 percent of artists surveyed reported that their sales increased from the previous year before the sales-tax exemption was instituted. …
“While Rhode Island hopes to spread the news about the state’s arts incentives, it wouldn’t be a bad idea for more states to start taking better care of their artists — before all the local creatives start heading up to Providence.”
Hat Tip: ArtsJournal.
Suzanne's Mom's Blog 
Hurrah for supporting artists. “[Income] received by artists from work produced and sold in a designated arts district is exempt from personal state income tax.” That’s a great idea.
I think it’s paid off for the state to be known as artist-friendly. Housing, though, remains a challenge for artists as Rhode Island has a shortage.
I knew about RISD’s reputation but I didn’t know the state as a whole was so arts-friendly. I love it!
It’s amazing to think about the effect of colleges and universities on a local economy. The concentration of world-class institutions in Massachusetts has everything to do with why the state as a whole is flourishing. In Rhode Island, schools like Johnson & Wales (known particularly for training chefs) have played an important role in the creation of restaurants people from out of state want to try.