Tuesday, September 18, 2018

Prompt reporting of data theft aids clients

The Rhode Island Division of Taxation, the Internal Revenue Service, and other partners in the Security Summit remind tax professionals that they should report data theft immediately and follow an established process to help ensure that their clients are protected. To learn more, click here.

Thursday, September 13, 2018

Estimated payments due Monday


The Rhode Island Division of Taxation reminds tax professionals and taxpayers that Monday is the deadline for certain payments of estimated tax. 
  • The deadline normally would be September 15, but that falls on a Saturday this year, so the deadline shifts to the next business day. Thus, this year’s deadline is Monday, September 17, 2018. Click here to learn more


Tuesday, September 4, 2018

Recent developments

The Rhode Island Division of Taxation today posted two Advisories for tax professionals.

  • ADV 2018-37 urges tax practitioners to be on guard against theft of taxpayer data from their offices 
  • ADV 2018-38 reminds tax professionals about a change in tax law: Starting October 1, 2018, the sale, storage, use, or other consumption of vendor-hosted prewritten software, sometimes called “software as a service” or SaaS, will be subject to Rhode Island sales and use tax.

Wednesday, August 29, 2018

Security Summit; FAQs on short-term rentals

FTC's Safeguards Rule

The Rhode Island Division of Taxation, the Internal Revenue Service, and other partners in the Security Summit urge tax professionals to be aware of their obligations -- including the Federal Trade Commission's Safeguards Rule -- to protect client data. To view, click here.


FAQs on short-term rentals

The Division of Taxation has updated its publication involving short-term residential rentals. "Sales and hotel taxes on short-term residential rentals: FAQs" was revised mainly to provide updated links to certain documents. To view, click here.

Monday, August 27, 2018

Tax credit and incentive report

The Division of Taxation has posted on its website its latest annual tax credit and incentive report, as required by Rhode Island statute.

The latest report identifies 14 businesses that received a combined total of approximately $14 million in certain state tax credits and incentives for the fiscal year ended June 30, 2018. 

  • Three of those recipients also received a combined total of approximately $4 million in other Rhode Island tax credits and incentives, the report shows. To view the report, click here.

Friday, August 24, 2018

Section 965 and combined reporting

If filing a combined return, and more than one entity in the combined group has deferred foreign income (“Section 965 income”) for Rhode Island tax purposes for the 2017 tax year, should a Rhode Island Schedule 965 (“965 Transition Tax Statement”) be included in the filing for each entity, or should the filing include a single Rhode Island Schedule 965 that includes the combined Section 965-related amounts for all the entities?

The answer is that the filing must include a single Rhode Island Schedule 965, showing the combined Section 965-related amounts for all the entities. Although the Rhode Island Schedule 965 will include only the combined amounts for all the entities, you must nevertheless create a spreadsheet or other such document listing the underlying detail for each of the entities. That spreadsheet or other such document must be kept on file and made readily available should the Division require the information at a later date.

Wednesday, August 22, 2018

Education for tax office employees

The Rhode Island Division of Taxation, the Internal Revenue Service, and other partners in the Security Summit urge tax professionals to step up security education for all office employees to better protect taxpayer data and help prevent fraudulent return filings.

  • There's been a 30 percent increase this year in reports of data thefts from tax professionals. The Security Summit partners remind tax professionals that their clients’ data and their businesses are only as secure as their least-informed employee. To learn more, click here.