Wednesday, August 9, 2017

Recent developments

Digital networks may be at risk

The Rhode Island Division of Taxation, the Internal Revenue Service, and other members of the Security Summit recently reminded tax professionals that their entire digital network could be at risk for remote takeover by cybercriminals. Such a takeover could lead to fraudulent tax filings and damage to their clients. For more information, click here.

Newsletter for tax professionals

The latest edition of the Rhode Island Division of Taxation’s newsletter includes coverage of the following topics:

  • new account IDs;
  • assistant tax administrator;
  • recent state tax cases; and
  • Q&A for tax professionals.

Notices for cigarette dealers, non-collecting retailers

The Rhode Island Division of Taxation recently posted 10 Notices to let stakeholders know about certain tax provisions that were contained in the fiscal year 2018 budget bill, which was enacted August 3, 2017.

One Notice for cigarette dealers and another for cigarette distributors focus on the cigarette tax increase, which takes effect at 12:01 a.m. on August 16, 2017, and the associated floor stock tax and its payment and return due date.

Eight other Notices provide stakeholders with more information about certain registration and/or notice and reporting requirements involving Rhode Island sales and use tax. Which of the requirements apply to a given entity depends upon whether the entity is a “non-collecting retailer,” a “retail sale facilitator,” or a “referrer” -- the terms are defined in the new law. For more information about all of the Notices, click here.

For more information about these and other tax-related provisions in the budget bill, click here.