Thursday, October 8, 2015

Regulations posted on new tax credit programs

The Division of Taxation on October 7 posted, as final, regulations that offer details and guidance on three new tax credit and incentive programs:

The programs are part of a package of credits and other incentives aimed at businesses that are prepared to invest in and foster job creation in the state.

Specifically, the programs are intended to help expand existing jobs, stimulate the creation of new jobs, attract new business and industry to the state, and stimulate growth in real estate developments. They are the result of legislation proposed by Governor Gina M. Raimondo, approved by the General Assembly, and signed into law on June 30, 2015. 

The regulations mirror those posted by the Rhode Island Commerce Corporation. The programs are administered by the Commerce Corporation.

Tuesday, October 6, 2015

Latest issue of newsletter just posted

The Division of Taxation today posted the latest issue of its quarterly newsletter, Rhode Island Tax News. The issue includes information on the following topics:

  • Seminar for practitioners
  • Computer system changeover
  • Tax news in brief
  • Legal Corner
  • Practitioners' Corner

Wednesday, September 30, 2015

Computer system changeover

The second phase of the Rhode Island Division of Taxation’s changeover to a new agency-wide computer system will soon take place. The Tax Division will remain open for business while the changeover occurs, but certain services will be limited or will not be available during the changeover. For details, please click here.

Tax credits for project in Pawtucket

The Division of Taxation has posted details about the rehabilitation of a century-old mill complex on Kenyon Avenue in Pawtucket -- a project that involves Rhode Island historic preservation tax credits.

The Division of Taxation's web page on historic tax credits shows details involving all applicants that have signed a contract and paid the required fee under the state's 2013 historic preservation tax credit program.

Thursday, September 24, 2015

Acks resume after temporary delay

Acknowledgements for electronically filed Rhode Island tax returns have resumed after the Division of Taxation resolved a computer issue that caused a temporary delay.

When returns are filed electronically with a tax agency, the practitioner typically receives a short electronic message that serves as a confirmation that the return has been received. The confirmation is sometimes referred to as an acknowledgement, or "ack."

A number of tax practitioners have contacted the Division of Taxation to say that they received acknowledgements from the Internal Revenue Service for the recent e-filing of federal returns, but have not yet received acknowledgements from the Division of Taxation for the recent e-filing of their Rhode Island returns.

Rhode Island Tax Administrator David M. Sullivan today explained that, due to server updates, a backlog resulted within the Division of Taxation, temporarily delaying the issuing of acknowledgements. The delay involved several thousand returns -- mainly business returns on Form RI-1120C, Form RI-1120S, and Form RI-1065 -- that were e-filed between early September 2015 and mid-September 2015. (A small number of returns on Form RI-1040 were also affected.) “But the server-update issue has now been resolved, the backlog is being reduced, and the first batch of acknowledgements has been issued,” Sullivan said.

"We are pleased to report that the problem has been resolved and that the backlog is dwindling. We also want practitioners and taxpayers to know that if their return was due by September 15 and was e-filed by September 15, but was caught up in this server-update issue, the return will still be considered as timely filed," Sullivan said.

Monday, September 21, 2015

Administrative Decisions on personal income tax

The Division of Taxation has posted two new Administrative Decisions:

  • 2015-22 looks at the denial of a property-tax relief claim.
  • 2015-23 involves whether a refund claim was timely filed.

Thursday, September 17, 2015

Room resellers, hosting platforms

The Division of Taxation today posted Notices that describe how a new law applies to room resellers and hosting platforms.

In general, the law involves the expansion of the sales and hotel taxes to hosting platforms and room resellers, now requiring them to register with the Division of Taxation and remit sales and hotel taxes to the Division.