Association of RI Authors v. Savage

The ACLU of Rhode Island today announced the favorable resolution of a lawsuit it filed in May, challenging the state Division of Taxation’s position that a special sales tax exemption for Rhode Island authors applied only to works of fiction, and not to non-fiction, because non-fiction was not considered “creative and original.” The lawsuit argued that making such a distinction on the content of the work violated the First Amendment’s guarantees of freedom of speech and freedom of the press. The ACLU dismissed the case today after confirming that the authors who applied for exemptions since the suit was filed have had them granted by the Division.

The ACLU of Rhode Island today has added new constitutional claims to a lawsuit it filed in May against the State, challenging the state Division of Taxation’s position that a special sales tax exemption for Rhode Island authors applies only to works of fiction, and not to non-fiction, because non-fiction is not “creative and original.” The lawsuit, filed by ACLU of RI cooperating attorney Lynette Labinger, continues to argue that making such a distinction on the content of the work violates the First Amendment’s guarantees of freedom of speech and freedom of the press, but adds new claims in light of troubling developments since the suit’s original filing.

Should a decision as to whether a Rhode Island author is entitled to a sales tax exemption depend on whether she has written a fictional murder mystery as opposed to an exhaustive history of the state? That is the question at the crux of a federal lawsuit the ACLU of RI filed today, challenging the state Division of Taxation’s position that a special sales tax exemption for Rhode Island authors applies only to works of fiction, and not to non-fiction, because non-fiction is not “creative and original.” The lawsuit, filed by ACLU of RI cooperating attorney Lynette Labinger, argues that making such a distinction on the content of the work violates the First Amendment’s guarantees of freedom of speech and freedom of the press.   The law at issue, enacted by the General Assembly in 2013, is designed to promote the work of local writers and artists. It exempts from the sales tax “original and creative works” sold by writers, composers, and artists residing in Rhode Island. At some point, however, the Taxation Division, in consultation with the RI State Council on the Arts (RISCA), determined that non-fiction books are not “original and creative works,” and therefore not eligible for the tax exemption.