Section 280-RICR-20-70-40.7 - Commercial Fishing Vessels in Excess of Five (5) Net TonsA. The Rhode Island sales and use tax does not apply to the sale of and the storage, use or other consumption in this state of vessels which are in excess of five (5) net tons and which are used exclusively for commercial fishing. The exemption also applies to the nets, cables, tackle, and other fishing equipment appurtenant to or used in connection with the commercial fishing of said vessels. Property purchased for the use of such vessels and other watercraft including provisions, supplies, and material for the maintenance and/or repair of such vessels or watercraft is also exempt.B. In order to qualify for the exemption, the vessel and its fishing equipment as enumerated above must be used exclusively in commercial fishing as defined. Accordingly, the exemption does not apply to subsistence fishing (i.e., the taking for personal use and not for sale or barter), or sport fishing.C. The exemption does include United States Coast Guard (U.S.C.G.) documented passenger carrying commercial fishing vessels which meet all the following criteria:1. A U.S.C.G. license to carry passengers for hire;2. U.S.C.G. vessel documentation in the coastwise fishery;3. U.S.C.G. vessel documentation as to proof of Rhode Island home port status or a Rhode Island boat registration to prove Rhode Island home port status;4. The vessel must be used as a commercial passenger carrying fishing vessel. Such vessel must be able to demonstrate that at least fifty percent (50%) of its annual gross income derives from charters or provides documentation of a minimum of one hundred (100) charter trips annually; and5. The vessel must have a valid Rhode Island commercial fishing license.D. The exemption herein referred to does not apply to vessels of five (5) net tons or less.280 R.I. Code R. § 280-RICR-20-70-40.7