Monday, August 25, 2014

Tax credit report available online

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

The latest report lists the recipients of more than $14.8 million in certain state tax credits and incentives for the year ended June 30, 2014.

Tuesday, August 12, 2014

Regulation on paid preparers and due diligence

The Rhode Island Division of Taxation today proposed a regulation involving penalties that may be imposed on paid tax preparers who fail to comply with due diligence requirements.

Regulation PIT 14-23 would help to implement a state law enacted in June 2013 that established specific penalties -- civil and criminal -- for paid preparers who prepare Rhode Island returns with the intent to wrongfully evade or reduce a tax obligation. (See Rhode Island General Laws Chapter 44-68.)

A public hearing on the regulation is scheduled for 9:30 a.m. on Wednesday, September 17, 2014, at the Rhode Island Division of Taxation, One Capitol Hill, Providence, R.I.  Also at that hearing, the Division of Taxation will take public comment regarding two regulations that are scheduled for repeal because the underlying statutes have been repealed: Regulation CT 88-09, “Business Corporation Tax/Net Worth Tax,” and a regulation which was related to the study of combined reporting, Regulation CT 11-15, “Combined Reporting (pro forma).”

Wednesday, July 16, 2014

Latest newsletter now online

The latest issue of the Division of Taxation's quarterly newsletter includes coverage of the following topics:

  • tax changes enacted affecting businesses;
  • tax changes enacted affecting individuals;
  • new computer system's phase one goes live;
  • a new chief revenue agent;
  • recent tax cases; and
  • questions and answers.


Tuesday, July 1, 2014

Sales tax permits

The Division of Taxation today posted an update about sales tax permits, sales tax coupon booklets, and other topics.


Wednesday, June 25, 2014

Regulations, Administrative Decisions newly posted

The Rhode Island Division of Taxation today took the following actions: 
  • The agency posted as final Regulation OTP 14-01, which involves the taxation of tobacco products other than cigarettes (sometimes referred to as “other tobacco products” or “OTP”).
  • The agency formally repealed Regulation EFT 00-01, which involves electronic funds transfer, (because a more recent regulation covering the same subject is available).
  • The agency formally repealed Regulation CR 02-12, which deals with a credit for expenses related to quality standard certificates, because the underlying statute has been repealed. 

The Division of Taxation has also posted two new Administrative Decisions: 
  • Decision 2014-15 looks at a taxpayer’s eligibility for a personal income tax credit under the statewide property tax relief program.
  • Decision 2014-16 involves the denial of an application for a sales permit, litter permit, and cigarette dealer’s license.

Friday, June 20, 2014

Latest Notices, Administrative Decisions, tax credit applicant

The Rhode Island Division of Taxation today posted two Notices regarding the real estate conveyance tax increase that will take effect July 1, 2014:
 
 
The Division of Taxation has also posted two new Administrative Decisions:
 
 
In addition, the Division has updated its historic tax credit information page. The update shows the latest applicant to sign a contract and pay the required fee under the state's 2013 historic preservation tax credit program.

Tuesday, May 27, 2014

Combined reporting and Schedule CRS

The Rhode Island Division of Taxation continues to receive and process returns for tax years 2011 and 2012 that were filed by corporations subject to Rhode Island's pro forma combined reporting requirement under Rhode Island General Laws § 44-11-45. Such returns include a completed Schedule CRS, "Required Data for Combined Reporting Study."

In March 2014, the Division largely finished its study and filed its report on pro forma combined reporting, based in part on the data that corporations filed on Schedule CRS. However, the Division continues to refine its data -- and must also be prepared to provide updated information to the General Assembly upon the General Assembly's request. Such updated information would include data from returns of taxpayers that were not filed in time to be included in the March 2014 study.

Therefore, corporations subject to Rhode Island's pro forma combined reporting requirement that have yet to file their returns for tax years 2011 and/or 2012 should still complete Schedule CRS and file it with their returns. Likewise, fiscal-year corporations subject to Rhode Island's pro forma combined reporting requirement that have yet to file their returns for tax year 2012 should still complete Schedule CRS and file it with their returns.

(The Division has a regulation that contains more information about pro forma combined reporting.)