Friday, January 15, 2021

Withholding-tax guidance - emergency regulation extended

The Rhode Island Division of Taxation has extended an emergency regulation that provides withholding-tax guidance for employers that have employees who are temporarily working remotely due to the coronavirus (COVID-19) pandemic.

To view the emergency regulation, whose expiration date has been extended to March 19, 2021, click here. To view an earlier Advisory, click here.

Executive Order extension

Rhode Island Governor Gina M. Raimondo has extended an Executive Order involving the “Rhode Island Qualified Jobs Incentive Act of 2015” program, under Rhode Island General Laws Chapter 44-48.3. The extended Executive Order will remain in effect until February 11, 2021 (unless renewed, modified or terminated by subsequent Executive Order). 

To view the order involving the extension, click here. To view the original order, click here.

Holiday schedule

The Rhode Island Division of Taxation will be closed for the holiday on Monday, January 18, 2021 (Birthday of Martin Luther King, Jr.). However, certain information and services will continue to be available that day on the Division's website and portal -- including corporate and personal income tax forms and instructions for the 2020 tax year.

Thursday, January 14, 2021

Deadline for fourth-quarter payments

Tomorrow (Friday, January 15) is the deadline for making fourth-quarter estimated payments of Rhode Island personal income tax. Payment must be made or postmarked by 11:59 p.m. on January 15, 2021. 

January 15 is also the deadline for fourth-quarter estimated payments of income tax for calendar-year fiduciary filers (involving estates and trusts), pass-through withholding filers, and composite return filers. January 15 is also the reporting deadline for those subject to the bank deposits tax.

Making payments

Individuals, businesses, tax professionals, and others may use the Division of Taxation’s portal to make payments online. Payments for nearly all taxes – including estimated payments of individual and business taxes – can be made via the portal: https://taxportal.ri.gov.

For information about paying by credit card or debit card: http://www.tax.ri.gov/misc/creditcard.php.

For Rhode Island business tax EFT filing accounts: https://www.ri.gov/taxation/business/index.php.

If paying by check, please include a payment voucher. If you don’t have a voucher, blank forms are available online: http://www.tax.ri.gov/taxforms/.

Monday, January 11, 2021

"Summary of Legislative Changes"

The Rhode Island Division of Taxation has posted a summary of key tax provisions contained in the recently enacted budget bill for the 2021 fiscal year. To view a copy of the Division's "Summary of Legislative Changes", click here.

Wednesday, January 6, 2021

Elective entity-level tax on pass-through entities

In response to recent guidance from the Internal Revenue Service (Notice 2020-75), the Rhode Island Division of Taxation provides the following information about the effect of that guidance as it relates to Rhode Island’s elective entity-level tax on pass-through entities (“PTE election”).

The Division of Taxation, pursuant to Rhode Island General Laws § 44-1-10 and Regulation 280-RICR-20-55-1, will not assess underestimated payment interest for those entities that make the PTE election for the first time in the 2020 tax year and have not made estimated payments throughout the 2020 tax year.  Please note: If a taxpayer made the election in 2019 and 2020 and failed to make sufficient estimated payments in 2020, that taxpayer would be subject to the underestimated payment interest, as the recent guidance from the IRS did not affect that taxpayer.

Governor extends Executive Orders

Rhode Island Governor Gina M. Raimondo recently extended a number of Executive Orders until late this month, including the following:

  • Executive Order 20-02, declaring a state of emergency due to the dangers to health and life posed by the coronavirus (COVID-19) pandemic. This Executive Order will remain in full force and effect until January 20, 2021, unless renewed, modified, or terminated by subsequent Executive Orders. For more information, click here.
  • Executive Order 20-19, involving unemployment insurance matters (including relief for employers related to unemployment insurance tax charges). This Executive Order will remain in full force and effect until January 28, 2021, unless renewed, modified, or terminated by subsequent Executive Orders. For more information, click here.