New information about tax credit program

New information is available on the Tax Division’s website about a program involving state tax credits for contributions to scholarship organizations.

Now online is the Business Entity Tax Credit Application form for the fiscal year that starts in July, and a list of qualified scholarship organizations that are eligible to receive contributions under the program. More information is available on the program’s webpage.

Arrests in cigarette tax case

The Rhode Island State Police’s two-month investigation into illegal gambling has uncovered the illegal sale of contraband cigarettes.

The Rhode Island State Police Intelligence Unit found that three convenience stores in northern Rhode Island maintained illegal gambling machines. Two of the stores were also involved in the illegal sale of fraudulent and forged stamped cigarette packs, the State Police said.

Search warrants were executed Friday by members of the State Police Intelligence Unit, uniform members of the State Police, members of the Rhode Island Division of Taxation, and members of the Pawtucket, Smithfield and Woonsocket Police Departments. Click here for the State Police announcement about the case. Click here for more arrest details.

Extension requests up, payments down

The Tax Division received about 21,000 applications for automatic six-month filing extensions this year, up about 2 percent from last year.

The extension applications were accompanied by about $52.13 million in payments of personal income tax, down 9.56 percent from last year.

In general, an application for an automatic six-month extension must be filed on paper – typically using Form RI-4868 – by mid-April. It is an extension of the time to file, not of the time to pay; payments still must be paid by the usual mid-April deadline. (The Tax Division does not currently accept electronically filed extensions. However, the actual returns that are filed on extension can be e-filed.)

	Filing season 2011	Filing season 2012	Difference
Extension requests	20,953	21,347	+   1.88%
Payments	$ 57,638,000	$ 52,130,000	-    9.56%
Average payment per request	$ 2,751	$ 2,442	-  11.23%

Comments offered on proposed regulations

Three people submitted written comments in advance of today’s public hearings on proposed regulations. A lawyer discussed the forms to be used by LPs, LLPs, and LLCs. Another lawyer focused on the filing requirements for LLCs. And a trade group suggested changes to a proposed regulation involving rentals and leases of motor vehicles.

The Tax Division will leave the public comment period open for five more days. The agency completed the hearings this morning. It plans to take further action on them soon after reviewing the public comments. (Click here to read the proposed regulations.)

Public hearing tomorrow

Don't forget tomorrow's public hearing on proposed regulations that would affect LPs, LLPs, and LLCs, among others.

The hearing starts at 9 a.m. at the Tax Division, One Capitol Hill, Providence, near the State House.

Advisory has new stats, sales tax update, more

The Tax Division today issued an advisory that includes new stats from this year’s filing season, an update for retailers about sales tax booklets, a summary of next week’s public hearings, an update on direct debits, and more. Click here for details.

Now's a good time to check on your withholding

Now's a good time to check on how much Rhode Island income tax is withheld from your paycheck - and to make adjustments if needed.

The Tax Division today posted an advisory with information on how to adjust the amount of your state tax withholding.