Tax changes for the new year

The Rhode Island Division of Taxation today posted a summary of key tax changes that will take effect on Thursday. 

The summary focuses on changes to the Rhode Island corporate income tax and the Rhode Island estate tax.

Increase in Section 179 limits

Rhode Island Tax Administrator David M. Sullivan today issued a reminder to tax practitioners and others that the new federal limits involving the Section 179 deduction for business assets also apply for Rhode Island tax purposes. 

That is because of legislation that was approved by the General Assembly and signed into law by Governor Lincoln D. Chafee in July 2013, linking federal and Rhode Island law for purposes of Section 179 expensing.

Withholding certificate for 2015

The Rhode Island Division of Taxation has posted on its website the 2015 version of Form RI W-4, the employee's withholding allowance certificate. Employees use the form to adjust the amount of Rhode Island personal income tax that is withheld from their paychecks. To view a copy, click here.

Booklet of withholding tables posted

The Rhode Island Division of Taxation has posted on its website the booklet of withholding tables for tax year 2015. Employers use the tables to figure out how much to withhold from an employee’s pay for Rhode Island personal income tax purposes. To view a copy, click here.

Tax credit poster available in Spanish

The Division of Taxation today issued a Spanish language version of a new poster that highlights key changes to the property-tax relief credit program for the coming tax-filing season.

The poster, which can also serve as a leaflet or flier, is mainly intended as an aid to preparers for the filing season which starts in January 2015. The credit is claimed on Form RI-1040H. To view the poster, click here. To learn more about the poster, click here.

Poster summarizes tax credit changes

A new poster from the Rhode Island Division of Taxation highlights key changes to the property-tax relief credit program for the coming tax-filing season. The poster, which can also serve as a leaflet or flier, is mainly intended as an aid to preparers for the filing season which starts in January 2015.

"Paid preparers and volunteer preparers may find this poster useful to help explain the changes to clients, some of whom may not be aware of the changes," said Rhode Island Tax Administrator David M. Sullivan.

Taxpayers may find that the poster provides a brief, helpful reminder of the changes, Sullivan said. The changes involve the statewide property-tax relief credit, which is claimed on Form RI-1040H. The credit amount has increased for tax year 2014, and eligibility rules have tightened. Although the changes were enacted in June 2014, most taxpayers will not encounter them until the 2015 filing season (which covers tax year 2014).

Corporate tax - comment period extended

The Rhode Island Division of Taxation on November 25, 2014, posted two documents involving the corporate income tax: 

• a draft regulation on combined reporting, and
• a draft statement of principles on the application of corporate tax changes.

Comments on those working drafts, also known as exposure drafts, were initially due December 8, 2014. However, in response to requests from multiple stakeholders, Tax Administrator David M. Sullivan today extended the due date for comments to December 22, 2014. “This is a busy time of year, and these are complex documents that take time to review,” Sullivan said. “We want to give stakeholders ample time to reflect on the documents and provide us with their valuable input.”

To view the documents, please click here.

Inflation-adjusted amounts for 2015

The Rhode Island Division of Taxation today posted inflation-adjusted amounts for tax year 2015. Among the items that have been adjusted are:

• standard deduction amounts;
• personal exemption and dependency amounts;
• the deduction and exemption phase-out range; and
• tax bracket ranges.

For details, please click here.

Task force launches tip line

A six-agency task force that includes the Rhode Island Division of Taxation announced today that it has set up an anonymous telephone tip line to receive allegations of worker misclassification.

The tax fraud tip line is staffed by the Division of Taxation. The tip line number is (401) 574-TIPS or (401) 574-8477. 

"By using the tip line, workers and others can let us know about employers who are misclassifying workers as independent contractors," said Rhode Island Tax Administrator David M. Sullivan. 

"Rest assured that we will follow up on all tips. Businesses that don't play by the rules end up increasing the tax burden on those businesses that do play by the rules. By enforcing our laws, we can help to level the playing field — and that helps everyone, including employers and employees," Sullivan said.

The task force was established to protect workers' rights as well as law-abiding businesses that properly classify their employees.  Click here to read today's announcement about the tip line and the task force.

Seminar for tax preparers

The Rhode Island Division of Taxation this morning held a three-hour seminar for tax preparers. The session was held at the Community College of Rhode Island campus in Warwick. More than 100 preparers attended. The seminar focused in part on what's new for the coming filing season and for tax year 2015. 

"We're grateful to CCRI for having been so gracious in allowing us to use its facilities at the Newport campus last month and at the Warwick campus this morning,” said Rhode Island Tax Administrator David M. Sullivan. “We’re also thankful to the many preparers who attended the seminar. Filing season starts next month, so it helps for all of us to get a head start," Sullivan said.

Division of Taxation seminar at CCRI's Warwick campus

Corporate tax documents posted

The Rhode Island Division of Taxation yesterday posted two documents: 

• A draft regulation on combined reporting; and

• A draft statement of principles on the application of corporate tax changes.

 Comments on the exposure drafts should be submitted on or before December 8, 2014.

Out-of-state LLC and filing fee

The latest Administrative Decision focuses on whether, based on a particular set of facts and circumstances, an out-of-state LLC owes the annual $500 filing fee.

Seminar for tax preparers

More than 100 tax preparers attended the Rhode Island Division of Taxation's seminar for tax preparers last week at the Community College of Rhode Island campus in Newport.

The session, on November 6, focused mainly on what's new for the coming filing season and what's new for tax year 2015. (A second session, to be held in December in Warwick, is already sold out.)

Division of Taxation seminar at CCRI in Newport

Motor fuel tax; cigarette dealer's license

The Rhode Island Division of Taxation today posted two new Administrative Decisions:

• The first looks at whether a taxpayer's request for refunds of motor fuel tax was timely.
• The other focuses on whether a cigarette dealer's license should be suspended.

Tax savings for Rhode Island employers

Rhode Island Governor Lincoln D. Chafee joined Rhode Island Department of Labor and Training Director Charles J. Fogarty today in Cranston to announce repayment of the funds that the state borrowed to cover unemployment insurance (UI) benefit payments.

As a result of the repayment, six months earlier than scheduled, Rhode Island's 32,000 employers will save more than $50 million in taxes -- including taxes under the Federal Unemployment Tax Act (FUTA) and the state job development assessment - in 2015, and $45 million more (in tax savings) in 2016. "This is a big win for Rhode Islanders and our business community," Governor Chafee said. Please click here for details. 

Unemployment insurance tax; TDI

The Rhode Island Department of Labor and Training today announced the taxable wage base for 2015 for purposes of the state's unemployment insurance tax.

Also today, the DLT announced the employee contribution rate and taxable wage base for 2015 for the temporary disability insurance (TDI) program. For details, click here. 

Nonresident retailer - sales and use tax

The Division of Taxation's latest Administrative Decision, posted today, involves a nonresident retailer subject to sales and use tax.

Modifications to federal AGI

The Division of Taxation's latest Administrative Decision deals with modifications to federal adjusted gross income on a Rhode Island personal income tax return.

Update on employer taxes

The Division of Taxation's latest Advisory includes an update about employer taxes and other topics.

Interest rates posted for 2015

The Rhode Island Division of Taxation this afternoon posted the interest rates that will apply for 2015 on overpayments and delinquencies. The rates are based on a formula set in statute.

The rates for the 2015 calendar year are the same as those that apply for the 2014 calendar year: 18% per annum on delinquent tax payments, 3.25% per annum on overpayments. Please click here for more information.

Regulation on paid preparer penalties

The Rhode Island Division of Taxation today posted, as final, a regulation on paid preparer penalties.

The regulation provides details on civil and criminal penalties which may be imposed on a paid tax preparer who fails to comply with due diligence requirements. 

The regulation, which was finalized after a public hearing, takes effect January 1, 2015.

Reminder: Filing deadline tomorrow

Tomorrow is the extended due date for filing Rhode Island personal income tax returns covering the 2013 tax year. The Rhode Island Division of Taxation's latest Advisory, posted today, includes details about the deadline, as well as new corporate e-file statistics, and some other items. Click here to view a copy.

Latest newsletter posted

The latest issue of the Rhode Island Division of Taxation's quarterly newsletter, “Rhode Island Tax News,” is now online. It has information on the following topics:

·      the Assistant Tax Administrator’s retirement;

·      an upcoming seminar for tax preparers;

·      a new chief for Field Audit;

·      a sales and use tax exemption for paddleboards;

·      tax relief ahead for employers; and

·      changes to the property-tax relief credit (Form RI-1040H)

The issue also has regular features, including “Legal Corner” and “Practioners’ Corner.” To view the issue, please click here.

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.

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).”

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.

Sales tax permits

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

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.

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:

 

•  Notice 2014-07 is aimed mainly at real estate professionals and others.
•  Notice 2014-08 is for cities and towns.

 

The Division of Taxation has also posted two new Administrative Decisions:

 

•  Decision 2014-13 involves the cigarette tax and contraband cigarettes.   
•  Decision 2014-14 looks at whether a refund claim was filed on time.

 

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.

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.)

New Administrative Decisions posted

The Division of Taxation recently posted two Administrative Decisions:

• One is about a claim for a refund of personal income tax.
• The other is about a sales tax assessment on a corporation.

Public hearings next month on regulations

The Division of Taxation will hold a public hearing next month on a revised regulation involving the taxation of tobacco products other than cigarettes (sometimes referred to as “other tobacco products” or “OTP”). A regulation proposed earlier this year has since been revised mainly to clarify record-keeping requirements. The public hearing will be held on Tuesday, June 10, 2014, at 9:30 a.m., at the Powers Building, One Capitol Hill, Providence, diagonally across from the State House.

The Division of Taxation will hold a separate public hearing next month on a proposal to repeal two regulations. The Division proposes to repeal regulation EFT 00-01, “Electronic Funds Transfer,” because a more recent regulation covering the same subject is available: EFT 09-01, “Payment of Taxes by Electronic Funds Transfer.” The Division also proposes to repeal regulation CR 02-12, “ISO Certification Credit,” because the underlying statute, Rhode Island General Laws § 44-11-42, was repealed some while ago. The public hearing is to take place on Wednesday, June 18, 2014, at 9:30 a.m., at the Powers Building, One Capitol Hill, Providence, diagonally across from the State House.

Total refunds up this year; average is $544

The Rhode Island Division of Taxation has issued a combined total of more than $224 million in personal income tax refunds so far this year, up 0.3 percent from the same point a year ago.

For the calendar year to date, the average Rhode Island personal income tax refund is $544, up 2.3 percent compared with the corresponding period a year ago, when the average refund was $532.

	Calendar year 2013	Calendar year 2014	Difference
Number of refunds	421,129	413,187	-1.9%
Total amount refunded	$  223,878,294	$  224,579,147	+0.3%
Average refund	$  532	$  544	+2.3%
Cumulative figures for tax year 2012 returns filed through May 17, 2013, and for tax year 2013 returns filed through May 16, 2014. Figures are before interest and offset, and do not include refunds for tax years other than those stated.

Tobacco products (other than cigarettes)

The Rhode Island Division of Taxation today scheduled a public hearing in June on a proposed regulation involving tobacco products other than cigarettes. The hearing will start at 9:30 a.m. on Tuesday, June 10, 2014, at the Powers Building, One Capitol Hill, Providence R.I. 02908.

The Division of Taxation in February 2014 held a public hearing on a proposed regulation on record-keeping and other requirements involving tobacco products other than cigarettes (sometimes called “other tobacco products,” or “OTP”). Based on comments at that hearing from convenience store owners and others, the agency has withdrawn and rewritten the proposed regulation. The proposed regulation as revised was posted today. The public hearing in June will focus on the proposed regulation as revised.

Fraudulent e-mail scheme

Rhode Island Tax Administrator David M. Sullivan today issued an alert to taxpayers and tax practitioners, urging them to beware of a fraudulent e-mail scheme claiming to involve Rhode Island corporate tax penalties.

Tobacco products (other than cigarettes)

The Division of Taxation in February 2014 held a public hearing on a proposed regulation on recordkeeping and other requirements involving tobacco products other than cigarettes (sometimes called “other tobacco products,” or “OTP”). 


Based on comments at the hearing from convenience store owners and others, the agency has withdrawn and rewritten the proposed regulation, hopes to post it soon, and intends to hold a public hearing on it in June. Details will be announced.

New regulation on commercial farming

The Division of Taxation on May 2, 2014, filed as final a regulation dealing with commercial farm-
related items. Regulation SU 14-151, “Commercial Farming and Related Items,” consolidates material from three other regulations which the Division of Taxation has now repealed: 

• SU 07-36, “Farm Equipment and Farm Structure Construction Materials”; 
• SU 01-44, “Feeds, Fertilizer, Plants and Seeds, Cattle Bedding, Chicken Litter”; and 
• SU 87-57, “Livestock and Poultry”. 

The Division of Taxation has also now repealed Regulation SU 87-11, “Boarding of Animals”, which is outdated.

Personal income tax e-filing sets record

More Rhode Island personal income tax returns were filed electronically this season than at any point since e-filing began. 


When e-file started in 1995, for tax year 1994, a total of 1,810 Rhode Island personal income tax returns were e-filed – a tiny fraction of all returns filed. So far in 2014, for tax year 2013, a total of 474,570 Rhode Island personal income tax returns have been e-filed, representing approximately 87 percent of all returns filed.

“Tax preparers and taxpayers have embraced the many benefits of e-filing,” said Rhode Island Tax Administrator David M. Sullivan. E- filing saves time and money, and results in fewer errors and faster processing, said Peter McVay, associate director of revenue services. 

E-filing has increased in recent years, too.

Type of filing:	TY 2007	TY 2013
E-filed returns	59.87%	87.21%
Paper returns without barcode	26.59%	8.61%
Paper returns with barcode	13.53%	4.18%
Total:	100.00%	100.00%
Tax year 2007 returns filed through April 29, 2008, and tax year 2013 returns filed through April 30, 2014. Some figures rounded.

Letters of good standing

Requests for letters of good standing are now being handled by the Division of Taxation’s Compliance & Collections section. 

Requests filed before April 21, 2014, will continue to be processed by the Division of Taxation’s Office Audit and Discovery section. 

Those filed on or after April 21, 2014, are being processed by Compliance & Collections, which can be reached at (401) 574-8941 from 8:30 a.m. to 4:00 p.m. business days.

E-filing increases for business tax returns

Approximately 22,500 Rhode Island business tax returns have been e-filed so far this year, up from approximately 19,300 at the same point last year, an increase of 17 percent. 


Overall, approximately 86 percent of all business tax returns for tax year 2013 were e-filed, compared with approximately 77 percent of such returns for tax year 2012. (The figures are for business tax returns filed on Form RI-1120C, Form RI-1120S, and Form RI-1065, in the aggregate.)

There are two chief factors for the continuing increase in corporate e-filing. The Division of Taxation mandated the electronic filing of corporate tax returns beginning with the filing season that started January 1, 2013. In addition, more software providers are making corporate e-file available to tax preparers.

	TY 2012	TY 2013	Difference
Total returns filed	25,024	26,049	+4.1%
Total e-filed	19,280	22,477	+16.6%
% e-filed	77%	86%	+12.0%
Aggregation of returns filed on Form RI-1120C, Form RI-1120S, and Form RI-1065, for tax year 2012 filed through April 27, 2013, and for tax year 2013 filed through April 26, 2014. Some figures rounded.

Taxation of alcoholic beverages in R.I.

The Division of Taxation today posted a report on the taxation of alcoholic beverages sold by liquor stores in Rhode Island.

Tips for last-minute filers

As tonight's filing deadline nears, the Rhode Island Division of Taxation has posted some tips for last-minute filers. Click here to view the agency's latest Advisory. 

One week left for filing season

The deadline for filing Rhode Island personal income tax returns is one week from today. Click here to view details from the Rhode Island Division of Taxation's latest Advisory.

Three weeks 'til filing deadline

The deadline for filing Rhode Island personal income tax returns is three weeks away.

The Division of Taxation today posted an Advisory which has details about the deadline, filing season statistics, and other information. Please click here to view it.

Web page has info on combined reporting

A special section of the Division of Taxation website has been created to make information regarding pro forma combined reporting easily accessible. 

So far, the web page contains the Division of Taxation's study on pro forma combined reporting, which was delivered to General Assembly leaders one week ago, and a PowerPoint presentation on the subject, which the Division of Taxation prepared for the Senate Finance Committee earlier this week.

To view the site, click here.

Results of study on combined reporting

The Rhode Island Division of Taxation has posted the results of its study on pro forma combined reporting.

Please click here for the announcement, which includes background and a summary.

Please click here for the report itself.

Historic tax credits -- three Providence projects

The Division of Taxation today posted details on three projects in Providence that involve historic preservation tax credits. To view the details for each project, click here for the Division of Taxation's web page on historic tax credits. 

Three new Administrative Decisions

The Division of Taxation today posted three new Administrative Decisions. They look at: 

• whether a TV actor's performances should be subject to personal income tax (see 2014-06);
• whether a claim to carry forward an overpayment should be allowed (see 2014-07); and
• whether a retailer's sales tax permit should be revoked (see 2014-08).

More details posted on historic tax credits

The Division of Taxation today posted details on two more projects involving historic preservation tax credits. Click here for the link.

Kick-off for Free File program

Rhode Island Tax Administrator David M. Sullivan on February 10 joined Congressman Jim Langevin and others to kick off this tax season's Free File program.

State Free File programs are sponsored by 22 states, including Rhode Island.

Under the State Free File program, taxpayers who meet certain requirements can prepare and file both their federal and Rhode Island returns online at no charge.

"This program, which doesn't cost the government a dime, also takes the confusion out of tax preparation and keeps money in the pockets of people who need it most," Langevin said at the program's kick-off event, held at the Genesis Center on Potters Avenue in Providence's West Elmwood neighborhood. "I strongly urge eligible Rhode Island residents to use this easy and convenient program," he said.

Sullivan said, "Free File not only helps save taxpayers' time and money, but also provides savings to Rhode Island's government in the form of lower processing costs and fewer errors as compared to paper returns."

Information about the software providers participating in this year's State Free File program in Rhode Island is available on the Division of Taxation's website. Click here to view it.

Tax Administrator David Sullivan

Regulation posted on historic tax credits

The Division of Taxation today posted, as final, a regulation about historic preservation tax credits. The regulation is intended to provide guidance to practitioners, developers, and others about the credit program.

Shortly after the program was established through legislation enacted in July 2013, the Division of Taxation posted an emergency regulation.

The final regulation will be effective on February 27, which is when the emergency regulation expires. Click here to view the final reg.

List of tax preparation software programs

The Rhode Island Division of Taxation today updated its list of tax preparation software programs that have completed and passed acceptance testing for tax year 2013. Click here to view it. The list contains commercial software programs that have been cleared for e-filing by the Division of Taxation. It includes tax preparation programs cleared for e-filing Rhode Island corporate tax returns, individual income tax returns, or partnership returns. 

• Also today, the Division of Taxation posted a new Administrative Decision, this one having to do with the suspension of a cigarette seller's license. Click here to view it.

Filing season starts

The Rhode Island Division of Taxation has begun accepting electronically filed personal income tax returns for tax year 2013 -- signaling the official start to tax-filing season. 

The Division of Taxation's latest Advisory includes details about the following:

• The start of filing season
• Free filing programs
• A new "Guide to Refunds" publication
• Mailing of Forms 1099-G and 1099-INT
• Revised answers to practitioner questions
• An employer tax deadline tonight
• A sales tax reconciliation deadline tonight
• A new regulation on tobacco products other than cigarettes
• Some new Administrative Decisions

Proposed reg on certain tobacco products

The Division of Taxation this morning posted a proposed regulation about the tax treatment of tobacco products other than cigarettes. A public hearing is scheduled for February 26 at 9:30 a.m. Click here for details.

Public comments on tax credit regulation

Public comments on the Rhode Island Division of Taxation's proposed regulation involving historic preservation tax credits may be submitted on or before Monday, January 27, 2014.

The agency held a public hearing this morning on the proposed regulation. Among those attending was Raymond Way, of East Coast Property Group (pictured below).

To provide an opportunity for those who could not attend due to the storm, the agency will hold open the public comment period until the close of business on Monday. (The public comment period had been scheduled to close today.) Comments on the proposed regulation may be submitted to: Michael Canole, Rhode Island Division of Taxation, One Capitol Hill, Providence, R.I. 02908, or e-mailed to: Michael.Canole@tax.ri.gov.

Raymond Way, of East Coast Property Group

Public hearing still set on historic tax credits

The Rhode Island Division of Taxation still plans to hold a public hearing tomorrow as scheduled on a proposed regulation involving historic preservation tax credits.

The public hearing is to start at 9:00 a.m. on Wednesday, January 22, 2014, at the Rhode Island Division of Taxation, One Capitol Hill, Providence. If there is a change to that schedule, the Division of Taxation will post it on this blog. 

Those unable to attend the hearing may submit written comments concerning the proposed regulation at any time on Wednesday to Michael Canole, Rhode Island Division of Taxation, One Capitol Hill, Providence, R.I. 02908, or e-mail him at: Michael.Canole@tax.ri.gov.

Filing season for business begins

The Rhode Island Division of Taxation today began accepting and processing business tax returns covering tax year 2013 on Form RI-1120C for businesses organized as C corporations, Form RI-1120S for businesses organized as subchapter S corporations, and Form RI-1065 for limited liability companies (LLCs), limited partnerships (LPs), limited liability partnerships (LLPs), general partnerships, and single-member limited liability companies (SMLLCs). 



Rhode Island Tax Administrator David M. Sullivan urged preparers and businesses to file electronically: e-filing is faster, more efficient, results in fewer errors, and typically generates refunds more quickly.

Sullivan also reminded taxpayers and preparers that Rhode Island began enforcing the state’s corporate e-file mandate effective January 1, 2013. The mandate generally applies to returns filed on Form RI-1120C, Form RI-1120S, and Form RI-1065 by paid preparers.

Sullivan also reminded taxpayers and preparers that Rhode Island began enforcing the state’s corporate e-file mandate effective January 1, 2013. The mandate generally applies to returns filed on Form RI-1120C, Form RI-1120S, and Form RI-1065 by paid preparers.

Tax deadline tonight

Tonight is the deadline for making fourth-quarter payments of estimated personal income tax.

Payment must be made or postmarked by 11:59 p.m. on Wednesday, January 15, 2014. If you don’t have pre-printed estimated tax coupons, blank copies are available on the Division of Taxation website. Click here for a copy.

January 15, 2014, is also the deadline for fourth-quarter estimated payments of income tax for 2013 calendar-year fiduciary filers (involving estates and trusts), pass-through withholding filers, and composite return filers.

January 15, 2014, is also the reporting deadline for those subject to the bank deposits tax.

Latest issue of newsletter now available

The latest issue of the Rhode Island Division of Taxation's quarterly newsletter has just been posted.

In this issue: 

• What's new for filing season
• What's new for tax year 2014
• Tax Administrator elected FTA president
• New chief of investigations
• Unemployment insurance tax changes
• "Legal Corner" feature
• "Practitioners' Corner" feature

More details posted on historic tax credit projects

The Division of Taxation today disclosed details about more projects involving the state's historic preservation tax credit program.

Once a developer signs a contract with the agency for historic tax credits, details of the contract become public information. The Division of Taxation posts the details on a special section of its website in keeping with the transparency requirements of the law.

The online section now has information on six projects - including one posted yesterday and two today. (One of the contracts posted today involves $4 million in credits -- the largest amount yet.)