Wednesday, December 28, 2022

Inflation-adjusted amounts set for tax year 2023

The Rhode Island Division of Taxation has provided the standard deduction amounts, tax bracket ranges, and other key items for Rhode Island Personal Income Tax for tax years beginning on or after January 1, 2023. 

More information is Available in ADV 2022-40.

Friday, December 23, 2022

Administrative Decision

In the latest Administrative Decision, the issue addressed is whether the Taxpayer owes the sales and use tax assessed in the May 22, 2020 Notice of Assessment.

Details are contained in Administrative Decision 2022-20.

Monday, December 19, 2022

Withholding payment calendar for 2023

 The Rhode Island Division of Taxation has posted the withholding tax payment calendar for 2023.

The calendar shows, at a glance, the dates on which each employer must submit the Rhode Island Personal Income Tax that the employer has withheld from employees for a given period. 

The calendar is handy for employers, payroll-service providers, bookkeepers, and others.

Tuesday, December 13, 2022

Guidance for Tax Pros regarding passive losses and bonus depreciation

The Rhode Island Division of Taxation today provides technical guidance regarding the use of passive losses at the state level.


More information is Available in Advisory 2022-39.

Monday, December 5, 2022

Changes to the method of filing and payment of Corporate Tax payments

The Rhode Island Division of Taxation today announced that in effort to streamline payment processing and reduce the number of forms, the Division is starting the process to eliminate the separate series of forms related to the RI-1120related to payments.

This series of forms, also known as ‘Corporate Tax Vouchers’ will begin phase-out as of January 1, 2023. Starting with tax year 2022, extensions and vouchers must be filed on the Rhode Island BUS-EXT and BUS-V forms. The Division will no longer be using the RI-1120V, RI-1065V, and RI-7004.

For tax year 2023, the BUS-EST will be the form used for estimated payments. The RI-1120ES will no longer be available.

More information is available in Advisory 2022-38.

Tuesday, November 29, 2022

Annual e-file shutdown and switchover began November 26

The Rhode Island Division of Taxation has announced the completion of the annual electronic filing shutdown and switchover for Personal Income Tax returns. The shutdown occurred on Saturday, November 26, 2022. This allows the Division time to complete system updates in preparation for the upcoming tax-filing season.

More information is available in Advisory 2022-37.

Monday, November 28, 2022

Taxation of Adult Use Recreational Cannabis

The legalization of the adult recreational use of cannabis in Rhode Island will have impacts on Rhode Island taxation policy. The passage of House Bill 7593, Substitute A as amended, signed into law in May, affects Rhode Island General Laws Titles 21 and 44.

More information is available in Advisory 2022-36.

National Tax Security Awareness Week

The Rhode Island Division of Taxation, the Internal Revenue Service, 
and other partners in the Security Summit remind taxpayers and tax professionals of the importance of protecting financial and tax information. 

More information is available in Advisory 2022-35.

Friday, November 25, 2022

Annual interest rates announced & updated guidance for interest on delinquencies

The Rhode Island Division of Taxation has announced the interest rates that will apply in 2023 to overpayments and underpayments. The rates are based on formulas set in statute. 

More information is Available in Advisory 2022-34.

The Division has also provided updated guidance regarding the periods impacted by the interest rate change. See updated Advisory 2022-25 and the updated Interest Rate FAQs for more information.

Friday, November 18, 2022

Updated guidance regarding for ACH payments

The Rhode Island Division of Taxation today is informing taxpayers of changes regarding ACH tax payments effective January 1, 2023. Effective January 1, filing a separate return will be required when paying by ACH.

Details contained in Advisory 2022-33.

Latest newsletter now available

The Division's latest newsletter is Available in the Newsletter Archive.

Division allows electronic signatures on additional form

The Division announced that it is now accepting electronic signatures for Form RI T336-13 “Rhode Island Dealer’s Statement of Sale - Motor Vehicle”.

Details contained in Advisory 2022-32.

Tax credit program changes and updates enacted

A significant number of the tax law changes implemented through legislation passed in the most recent legislative session impact tax credits and tax credit programs.

Details contained in Advisory 2022-31.

Thursday, November 17, 2022

Administrative Decision

In the latest Administrative Decision, the issue addressed is whether the Taxpayer owes additional tax, interest, and a penalty for the tax year 2016. Details are contained in Administrative Decision 2022-19.

Thursday, October 27, 2022

Advisory released regarding "The Restaurant Industry & Rhode Island Tax" guide

The Rhode Island Division of Taxation continues efforts to engage and educate Rhode Island taxpayers. The Division’s latest publication, the “Restaurant Industry & Rhode Island Tax” guide is a resource for taxpayers and tax professionals in the restaurant and hospitality sector.

Latest Administrative Decisions

In the latest Administrative Decisions, the issues addressed are:

  • Whether the Taxpayer owes other tobacco products tax and if so, should any sanctions be imposed. Details are contained in Administrative Decision 2022-17
  • Whether the Taxpayer's claimed refund for 2017 should have been denied by the Division. Details are contained in Administrative Decision 2022-18.

Wednesday, October 19, 2022

Individual Mandate filing deadlines changed

Employers subject to Individual Mandate reporting requirements will now have more time each year to file documents relating to Rhode Island’s health insurance mandate.

Two deadlines related to the mandate have been permanently extended:

1. The deadline requiring employers to distribute IRS Forms 1095-B/C to their employees has been permanently extended to March 2 of each year. The next such Rhode Island deadline is March 2, 2023. 

2. The deadline for the applicable entity filing of the return required by Rhode Island’s health insurance mandate has been permanently changed from January 31 to March 31 starting in 2023. This aligns Rhode Island’s guidance with IRS’s permanent Affordable Care Act (ACA) filing deadline change. 

More details can be found in the Division's Advisory 2022-29.

Thursday, October 13, 2022

Pass-through tax form changes coming to Rhode Island

The Rhode Island Division of Taxation will be discontinuing use of the RI-1096PT form series for tax year 2023. The addition of a schedule to the various entity returns will replace the RI-1096PT form series and streamline filing requirements for both taxpayers and tax preparers.

Learn more in Advisory 2022-27.

Reminder: Extended filing deadline approaching

The Rhode Island Division of Taxation reminds tax professionals and taxpayers that the deadline for filing Rhode Island resident and nonresident personal income tax returns on extension is Monday, October 17, 2022.

Find details in Advisory 2022-28.

Thursday, October 6, 2022

Division Issuing Child Tax Rebate Checks

Over 100,000 Rhode Island families will soon be receiving Child Tax Rebate payments to help with rising costs. Under the State’s Fiscal Year 2023 budget signed by Governor McKee in June 2022 and in accordance with Rhode Island General Laws § 44-30-103, the Rhode Island Division of Taxation is issuing rebate payments of $250 per qualifying child, up to a maximum of three children (maximum $750).

Monday, September 26, 2022

The Restaurant Industry & Rhode Island Tax

As part of the Rhode Island Division of Taxation's efforts to improve the taxpayer experience, the Division has created a guide for restaurants and related businesses. The guide titled "The Restaurant Industry & Rhode Island Tax” outlines tax responsibilities for restaurants, answers common questions, and provides examples and extended guidance to help businesses comply with Rhode Island tax laws and regulations.

Friday, September 16, 2022

Interest Rate Changes for January 1, 2023

The Division of Taxation reminds taxpayers and tax professionals that for tax periods beginning on or after January 1, 2023, the interest rate for some delinquent tax payments will be changing.


More information is available in Advisory 2022-25, and further details can be found in the Division's Interest Rate Change FAQs.

Thursday, September 15, 2022

Property tax relief credit

The Division of Taxation reminds taxpayers that starting in January some Rhode Islanders can expect to see an increase in their property tax relief credit for tax years beginning on or after January 1, 2022. The maximum income level for taxpayers to qualify for the credit will increase from $30,000 to $35,000, with a maximum credit of $600.


More information is Available in Advisory 2022-24.

Wednesday, September 14, 2022

Electronic filing mandate for "larger business registrants"

The Division of Taxation reminds businesses that in accordance with changes signed into law in June, larger business registrant taxpayers will be required to use electronic means to file returns and remit taxes to the State of Rhode Island beginning on January 1, 2023.

A "larger business registrant" is defined as any person who:

  • Operates as a business whose combined annual liability for all taxes administered by the Division of Taxation for the entity is or exceeds $5,000; or
  • Operated as a business whose annual gross income is over $100,000 for the entity.

More information is Available in Advisory 2022-23.

Tuesday, September 13, 2022

Changes on the horizon for RI Sales and Use Tax Return

Taxpayers will notice changes to the Sales and Use Tax Return for monthly and quarterly periods beginning in January 2023. 

These changes will better align Rhode Island’s form with Sales and Use Tax forms used in neighboring states, providing a more consistent experience for taxpayers. The updated forms will allow you to reconcile sales each period, rather than only at the end of the year.

More information available in ADV 2022-22.

Friday, September 9, 2022

RI treatment of student loan debt forgiveness

On August 24, 2022, President Biden announced student loan debt forgiveness up to $20,000 for qualifying individuals. The discharge of student loan debt will be exempt from federal taxable income from January 1, 2021 through December 31, 2025. Rhode Island is adhering to this federal tax treatment and will not be including the discharge of student loan debt in Rhode Island taxable income for the same period of time. 

Sales Tax Exemptions

The passage of the Fiscal Year 2023 Budget has expanded Rhode Island’s sales tax exemptions. This means that beginning October 1, 2022, items as outlined in the Division's latest Advisory will be exempt from Rhode Island Sales and Use tax.

Read the Advisory

Tuesday, September 6, 2022

Reminder: September 15 due date approaching

Reminder: September 15 is the deadline for the third installment of estimated tax under the Rhode Island personal income tax. September 15 is also the deadline for a number of business entities. 

For more information, including details about online and other payment methods, visit the Division's website.

Motor Vehicle Dealers please note: Updated Form T336-1 in effect as of October 1, 2022

This fall, the Rhode Island Division of Taxation will implement updates to the ‘Rhode Island Dealer’s Statement of Sale - Motor Vehicle’ form. This form is also commonly known as the Form T336-1. The new fillable PDF will reduce errors and streamline filing and processing.

Read the Advisory


Wednesday, August 31, 2022

Retirement income changes on the horizon in Rhode Island

The passage of the Fiscal Year 2023 budget impacts a major aspect of personal income tax – pensions and retirement income. Many Rhode Islanders collecting retirement income will soon see some significant changes to Rhode Island Personal Income Tax modifications.

Thursday, August 25, 2022

Attention Families: Child Tax Rebate

Don’t miss out on the Child Tax Rebate! Please remember you need to file a RI Personal Income Tax return for 2021 to qualify. August 31st is the deadline for filing your original or amended return (unless you are on extension). For more info: tax.ri.gov/ChildTaxRebate2022

one pager of condensed information from http://tax.ri.gov/ChildTaxRebate2022

2022

Thursday, August 18, 2022

Annual report on tax credits, incentives

 The Division of Taxation has posted on its website its latest annual tax credit and incentive report, as required by Rhode Island statute.

The latest report identifies 12 businesses that received a combined total of over $53 million in certain state tax credits and incentives for the fiscal year that ended June 30, 2022.
Two of those recipients also received a combined total of approximately $3.86 million in other Rhode Island tax credits and incentives, the report shows.

Historic tax credits
A separate part of the report shows, in the aggregate, certain information related to projects that have requested certification under Rhode Island’s historic preservation tax credit program of 2013.

The report shows, in the aggregate, the number of jobs created, the number of Rhode Island businesses retained for work, the total amount of qualified rehabilitation expenditures, and the cost of materials or products purchased from Rhode Island businesses. 

Wednesday, August 10, 2022

Notice about Hospital Licensing Fee tax-law changes

The Rhode Island Division of Taxation has posted a Notice about a new change in tax law. For information regarding the Hospital Licensing Fee change please see Notice 20202.

For a plain-language summary of key tax provisions that were enacted in the 2022 session of the Rhode Island General Assembly, please see the Division's Summary of Legislative Changes.


Tuesday, August 9, 2022

Rhode Island Child Tax Rebate

The Rhode Island Division of Taxation has posted an Advisory containing information regarding the 2022 Child Tax Rebate.

The Division has created a webpage specifically for the Child Tax Rebate. For up-to-date information, as well as detailed FAQs, please visit the webpage at: https://tax.ri.gov/ChildTaxRebate2022.

Friday, July 15, 2022

Summary of Legislative Changes 2022 posted

The Rhode Island Division of Taxation has posted a plain-language summary of key tax provisions that were enacted in the 2022 session of the Rhode Island General Assembly. 

Most of the tax changes were enacted in the budget bill for the 2023 fiscal year. Some of the changes were enacted in stand-alone legislation.

To view a copy of the Division's "Summary of Legislative Changes", visit our website.

Wednesday, July 13, 2022

Reminder: tax help is available year-round

Some volunteer tax-preparation sites are open even when the regular filing season is over.

Internal Revenue Service (IRS) provides details on who qualifies and where you can find a site near you.

More information is available through the IRS website.

Tuesday, June 14, 2022

Juneteenth holiday moves some due dates to June 21

Due to the federal banking holiday of Juneteenth, being observed on June 20th this year, returns and payments normally due June 20, 2022 are instead due June 21, 2022. 

Tuesday, June 7, 2022

Second installment of estimated payments deadline - June 15

The Rhode Island Division of Taxation reminds taxpayers and tax professionals that an important deadline for many payment types is quickly approaching. June 15 is the deadline for the second installment of estimated payments. Estimated payments apply to some personal income filers and many business entities. 

Read the Advisory.

Monday, June 6, 2022

Updated Guidance Regarding EITC

The IRS has released updated guidance regarding the 2021 Earned Income Tax Credit (EITC).

Taxpayers should be aware the new guidance states that for 2021, eligible taxpayers can choose to figure the Earned Income Tax Credit using their 2019 earned income if it was higher than their 2021 earned income, even if they did not have any earned income in 2021

This guidance supersedes information provided previously, including in the Division's Advisory 2022-11.

Wednesday, June 1, 2022

Cashier Office Hours: 9-3:30

Beginning June 1, 2022, the Division of Taxation’s Cashier Office hours will be as follows:
Monday – Friday
Cashier: 9am to 3:30pm
Drop Box: 8:30am to 4 pm

See the Division's notice for more details and a brief guide to the different payment options that may be available to you: Notice 2022-01

Latest Administrative Decisions

 In the latest Administrative Decisions, the issues addressed are:

  • Whether the Taxpayer owes the assessed sales tax, interest, and penalty for 2015 and 2016. Details are contained in Administrative Decision 2022-12
  • Whether the Taxpayer's claimed refund claim for the calendar year 2018 should have been denied by the Division. Details are contained in Administrative Decision 2022-13
  • Whether the Taxpayer's request for a refund for the tax paid on his 2020 purchase of car should have been denied by the Division. Details are contained in Administrative Decision 2022-14

Friday, May 27, 2022

Annual e-file maintenance window

The Internal Revenue Service has announced that the annual modernized e-file (MeF) systems maintenance window will take place Memorial Day weekendAll services except "SendSubmissions" will not be available for MeF Production and Testing Systems on Sunday, May 29, 2022, from 12:01 am. until 3:00 pm. Eastern time. 

During this maintenance period, MeF will accept submissions but will not generate acknowledgements or process any state services such as Get Submissions, Send Acknowledgements or Send Receipts.

Monday, May 9, 2022

Latest Administrative Decision

In the latest Administrative Decision, the issue addressed is whether the Taxpayer owes the Division's assessment for tax year 2020. Details are contained in Administrative Decision 2022-11. 

Report on alcoholic beverages

The Rhode Island Division of Taxation has posted the annual report on the sales and taxation of alcoholic beverages. 

Read the report here.

Tuesday, April 12, 2022

Latest Administrative Decisions

In the latest Administrative Decisions, the issues addressed are:

  • Whether the Taxpayer breached its 2019 stipulation with the Division, and if so, should any sanctions be imposed. Details are contained in Administrative Decision 2022-09
  • Whether the Taxpayer owes tax on other tobacco products, and if so, should any sanctions be imposed. Details are contained in Administrative Decision 2022-10

Monday, April 11, 2022

Deadline is one week away for personal income tax

The Rhode Island Division of Taxation reminds taxpayers and tax preparers that the deadline for personal income tax returns is April 18, 2022. 

Read the Advisory for some points to keep in mind as the tax-filing season nears an end.

Employer Tax unit move

The Rhode Island Division of Taxation today provides the following information about the Employer Tax unit.

The Employer Tax unit will be moving to the Rhode Island Department of Labor and Training (DLT), in Cranston, effective on April 11, 2022.

Full details available in the Advisory: https://tax.ri.gov/sites/g/files/xkgbur541/files/2022-04/ADV_2022_13_Employer_Tax_move.pdf

Friday, April 8, 2022

Guide to the Modification for Income from Pensions, 401(k) Plans, Annuities, and Other Such Sources

Have you filed your tax year 2021 personal income tax return yet? Don't forget Rhode Island's special tax break on income from 401(k) plans, pensions, and certain other sources. 

View the Division's recently released Guide to the Modification for Income from Pensions, 401(k) Plans, Annuities, and Other Such Sources to see if you qualify. 

Tuesday, April 5, 2022

Latest Administrative Decision

In the latest Administrative Decision, the issue addressed is whether the Taxpayer owes the Division's assessment for tax year 2013. Details are contained in Administrative Decision 2022-08. 

Monday, April 4, 2022

Latest Administrative Decision

In the latest Administrative Decision, the issue addressed is whether the Taxpayer's sales tax refund claim is valid. Details are contained in Administrative Decision 2022-07. 

Monday, March 28, 2022

Filing Season Tips Advisory Released

The Rhode Island Division of Taxation has released an Advisory reminding taxpayers that filing complete and accurate returns is the key to receiving their refund quickly. In the Advisory taxpayers and tax professionals can find helpful tips to avoid errors that can delay the processing of returns and issuing of refunds.

Read the Advisory

Monday, March 21, 2022

Free File Reminder

The Rhode Island Division of Taxation has posted a reminder that the Free File program is available for many taxpayers:

Read the Advisory

Thursday, March 17, 2022

Latest newsletter now available

The Rhode Island Division of Taxation has posted its latest newsletter. Topics include the following:

  • Division’s website has been upgraded.
  • Neil Downing has retired.
  • TAX YEAR 2022 specifics.
  • The “Legal Corner” feature.
  • The “Practitioners’ Corner” feature.

Read the newsletter

Explore the Division’s newsletter archive

Wednesday, March 16, 2022

Tax filing and payment due date for 2020 PPP loan forgiveness is March 31, 2022

The Rhode Island Division of Taxation reminds taxpayers that the deadline for filing and paying taxes in relation to Paycheck Protection Program  loans forgiven in 2020 is March 31, 2022.

Read the Advisory

Friday, March 11, 2022

Latest Administrative Decisions

In the latest Administrative Decisions, the issues addressed are:

  • Whether the Taxpayer's claimed refund claim for the calendar year 2017 should have been denied by the Division. Details are contained in Administrative Decision 2022-05. 
  • Whether the Taxpayer owes the Division's assessment for tax year 2016. Details are contained in Administrative Decision 2022-06. 

Thursday, March 3, 2022

Reminder about March 15 deadline

The Rhode Island Division of Taxation today posted a reminder about the March 15 deadline for filings and payments by certain business and other entities. 

Read the Advisory

Monday, February 14, 2022

Reminder - face coverings still required in State offices.

The Rhode Island Division of Taxation reminds all visitors that while Governor McKee has lifted indoor masking requirements in certain circumstances, mask wearing is still required in State facilities - including the Division’s offices.

Read the Advisory

Friday, February 4, 2022

Sales Tax Reconciliation reminder

The Rhode Island Division of Taxation reminds retailers and others that the annual sales tax reconciliation was due on or before Monday, January 31, 2022. 

Wednesday, February 2, 2022

FAQs about the 2022 filing season

The Rhode Island Division of Taxation has posted answers to frequently asked questions (FAQs) about the 2022 filing season. 

Read the FAQs
Find more information and FAQs

Tuesday, February 1, 2022

Federation of Tax Administrators welcomes R.I. Tax Administrator as board president

The Federation of Tax Administrators (FTA) last week welcomed Tax Administrator Neena S. Savage as president of the national organization’s Board of Trustees.

Read the release

Friday, January 28, 2022

Latest Administrative Decision

In the latest Administrative Decision, the issue addressed is whether the Taxpayer owed Rhode Island income tax for 2018. Details are contained in Administrative Decision 2022-04. 

Latest Administrative Decision

In the latest Administrative Decision, the issue addressed is whether the Taxpayer's claimed refund for the calendar year 2018 should have been denied by the Division. Details are contained in Administrative Decision 2022-03. 

Thursday, January 27, 2022

Latest Administrative Decision

In the latest Administrative Decision, the issue addressed is whether the Taxpayer owes the assessed marijuana tax, interest, and penalty. Details are contained in Administrative Decision 2022-02. 

Tuesday, January 18, 2022

Reminder

The Division of Taxation reminds taxpayers that legislation approved in the 2021 session made changes eliminating the fees to apply for or renew a sales permit. Read the full advisory here: https://go.usa.gov/xtB96.

Filing season opens January 24, 2022

The Rhode Island Division of Taxation announced today that it will be following the IRS 2022 tax filing start date of January 24 and due date of April 18 for filing Rhode Island personal income tax returns for the 2021 tax year. Read more: https://go.usa.gov/xtBWM.

Friday, January 14, 2022

The Division outlines how to best utilize services for taxpayers

In light of the Governor's recent Executive Orders, taxpayers are encouraged to utilize the Division of Taxation's web and phone services. Learn how the updated website and Tax Portal, as well as other alternatives to in-person visits serve taxpayers: https://tax.ri.gov/media/18916/download?language=en

Thursday, January 13, 2022

Governor extends Executive Orders

Rhode Island Governor Daniel J. McKee recently enacted or extended a number of Executive Orders that are effective until early February, including the following:

  • Executive Order 22-01, Allowing Remote Participation in Public Meetings. This Executive Order will take effect immediately and remain in full force and effect until February 4, 2022 unless renewed, modified or terminated by subsequent Executive Order. For more information, read the Executive Order here.
  • Executive Order 21-87 (Requiring Masks in Schools). This Executive Order will remain in full force and effect until February 4, 2022, unless renewed, modified, or terminated by a subsequent Executive Order. For more information, read the Executive Order extension here.
  • Executive Order 21-109 (Declaration of Disaster Emergency for New COVID-19 Variants). This Executive Order will remain in full force and effect until February 4, 2022, unless renewed, modified, or terminated by a subsequent Executive Order. For more information, read the Executive Order extension here.

Revisions completed

The Rhode Island Division of Taxation has revised the Notice 2021-4 involving the real Estate Conveyance Tax to clarify that the additional tax rate applies only to residential real property, and to make a correction on a calculation.

The Division has revised the 2021"Summary of Legislative Changes." The clarification that the additional tax rate applies only to residential real property was added to the real estate conveyance tax summary.

Tuesday, January 11, 2022

IRS letter 6419

The Rhode Island Division of Taxation is alerting taxpayers to an important document being distributed by the IRS. Taxpayers who received advance Child Tax Credit payments should be on the lookout for IRS letter 6419.  This letter is an important component of your tax documents for this year. You can find the full Advisory here: https://tax.ri.gov/media/18891/download?language=en





Data security and preventing identity theft

The Rhode Island Division of Taxation is also suggesting steps to take if you have been a victim of identity theft. With tax preparation and filing season right around the corner at the end of January, the New Year is an especially critical time to protect yourself and your personal information. Read more about here: https://tax.ri.gov/media/18896/download?language=en



Friday, January 7, 2022

Latest Administrative Decision

In the latest Administrative Decision, posted today, the issue addressed is whether the taxpayers' refund claim for the calendar year 2017 should have been denied by the Division. Details are contained in Administrative Decision 2022-01.