Mass. cuts backlog on TDI-related refund claims

The Massachusetts Department of Revenue said today that it has been able to significantly reduce the overall backlog of abatement claims involving Rhode Island's Temporary Disability Insurance (TDI) tax by reassigning staff and adding a Saturday shift. As a result, the agency anticipates that most of the claims will be processed by the end of November.

The agency said it received more than 44,000 associated claims. "Since this influx of claims increased our normal annual volume by more than one-third, a backlog resulted and abatement processing was delayed.  Please note that many of the claims received were filed on paper, and paper forms always take longer to process than electronically filed claims," the agency said.

The issue generally involves Massachusetts residents who work in private-sector jobs in Rhode Island and pay TDI tax. When filling out their Massachusetts resident returns, they're generally allowed to claim a credit for taxes paid to Rhode Island. But do TDI taxes count for purposes of the calculation? Yes, the agency said earlier this year. In response, thousands of taxpayers filed claims for refunds, also known as abatements.

Tax deadline relief in aftermath of hurricane

The Tax Division has just issued tax deadline relief in the aftermath of Hurricane Sandy.

Certain business-related filings and payments that would normally be due by midnight tonight will instead be due by November 7.

Rhode Island Tax Administrator David M. Sullivan said, “Many taxpayers and small businesses –and their tax preparers – have suffered through extended power outages, flooding, and other effects of the storm. We are therefore giving these taxpayers and preparers some extra time to file the required returns and pay the required tax. It’s the least we can do.”

Tax conference kicks off in Providence

An international conference on taxation kicked off in Providence this morning. The Rhode Island Division of Taxation is serving as host.

The Federation of Tax Administrators' Motor Fuel Tax Section is holding its annual meeting at the Renaissance Providence Downtown Hotel, opposite the State House.

The meeting's main focus is excise tax on gasoline, diesel, and other motor fuels. The conference has drawn about 130 tax officials and representatives from industry -- including the fuel, software, and accounting industries. Representatives from Canada and Argentina are taking part.

Registration and certain meetings were held over the weekend, but the official kickoff took place this morning -- despite the hurricane -- and included a welcoming speech by Rhode Island Tax Administrator David M. Sullivan. The conference is scheduled to run through Wednesday. Marc Levasseur, principal revenue agent at the Rhode Island Division of Taxation's Excise Tax section, led the efforts to plan and organize the event, according to Donald Englert, the section's chief.

David M. Sullivan

                               

Rhode Island's tax amnesty program has generated more than $7 million to date.

Also, the program has now entered its final three weeks: The deadline for filing is November 15. Click here for more details.

Committee backs Rhode Island on Streamlined

A committee that helps to oversee the Streamlined Sales and Use Tax Agreement (SSUTA) voted unanimously yesterday to find Rhode Island to be in compliance with the agreement as of August 1, 2012. Click here for details.

Estate tax threshold to exceed $900,000 for first time

The Tax Division announced today that it has set the estate tax threshold for decedents dying in 2013.

The threshold will exceed $900,000 for the first time. Click here for details.

Don't forget tonight's filing deadline

Keep in mind that tonight is the filing deadline for a number of taxpayers -- including individuals and businesses -- that are on extension. A Tax Division Advisory offers details.

Interest rates posted for 2013

The Tax Division has posted the interest rates that will apply in 2013 on overpayments and delinquencies.

The rates are the same as the ones that apply for 2012.

Tax amnesty enters final month, collects $4.1 million

Rhode Island's tax amnesty program has just one more month to go. Taxpayers should therefore act soon in order to take advantage of the amnesty's many benefits. Thus far, the Tax Division has collected $4.1 million through the amnesty, a new Tax Division Advisory says.

Filing deadline Monday

The Tax Division issued a reminder to taxpayers and practitioners today about Monday's filing deadline. Click here to view it.

Latest issue of newsletter now available

The Tax Division has posted the latest issue of its quarterly newsletter, "Rhode Island Tax News." It  includes articles about:

• tax amnesty
• tax outreach
• Tax Division award winners
• the new chief of Estate Tax
• the elimination of walk-in service
• a look at new tax laws
• the voluntary disclosure program
• new Declaratory Rulings
• new Administrative Decisions
• the Legal Corner feature
• the Practitioners' Corner feature

  

State Police assisted by Tax Division in piracy case

The Rhode Island State Police have arrested two Woonsocket convenience store owners in a case involving the illegal sale of pirated DVDs.

The State Police were assisted in the case by the Tax Division and by local police.

Corporate e-file; amnesty results; new rulings

The Tax Division's latest Advisory, posted today, offers updates on corporate tax e-filing, tax amnesty results for September, and new Declaratory Rulings and Administrative Decisions.

Corporate income tax refund

The Tax Division today posted a new Administrative Decision. At issue is whether a Rhode Island corporation filed its claim on time for a refund of corporate income tax.

Administrative Decision on personal income tax

The Tax Division today posted a new Administrative Decision. It deals with claims for refunds involving personal income tax. The claims were denied because they had not been filed in time.