reglab/statecodes huggingface dataset:
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 2 - Extension of Time to File (280-RICR-20-55-2) › Section 280-RICR-20-55-2.3 - Application

Current through June 14, 2024
These rules and regulations shall be liberally construed so
					 as to permit the Division of Taxation the authority to effectuate the purpose
					 of R.I. Gen. Laws §
										44-30-57 and
					 other applicable state laws and regulations including, but not limited to, R.I.
					 Gen. Laws §§
										44-30-55,
					  44-30-56,
					  44-30-84,
					 and
					  44-30-85.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 2 - Extension of Time to File (280-RICR-20-55-2) › Section 280-RICR-20-55-2.4 - Severability

Current through June 14, 2024
If any provision of these rules and regulations, or the
					 application thereof to any person or circumstances, is held invalid by a court
					 of competent jurisdiction, the validity of the remainder of the rules and
					 regulations shall not be affected hereby.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 2 - Extension of Time to File (280-RICR-20-55-2) › Section 280-RICR-20-55-2.5 - Definitions

Current through June 14, 2024
A. "Proper estimate" means a Rhode Island
				 extension form filed by the regular due date which declares at least eighty
				 percent (80%) of the tax due for the taxable year.
B. "Reasonable cause" means a taxpayer
				 exercised ordinary business care and prudence and was nevertheless unable to
				 file the return within the prescribed time.
C. "Regular due date" means the fifteenth day
				 of the fourth month following the close of a taxable year (for calendar year
				 filers this would be April 15th).
D. "Rhode Island extension," for purposes of
				 this regulation, means Form RI-4868 or Form RI-8736, whichever is
				 applicable.
E. "Willful neglect"
				 means a conscious, intentional failure or reckless indifference or failure to
				 exercise ordinary business care and prudence.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 2 - Extension of Time to File (280-RICR-20-55-2) › Section 280-RICR-20-55-2.6 - Extension of Time

Current through June 14, 2024
A. An individual,
				 partnership or fiduciary required to file a Rhode Island income tax return may
				 be granted an extension of time to file any return, declaration, statement, or
				 other required document for Rhode Island income tax purposes. Pursuant to R.I.
				 Gen. Laws §
										44-30-57, as
				 amended, no extension for filing shall exceed six (6) months, except for
				 taxpayers outside of the United States.
B. If a taxpayer (individual, fiduciary or
				 partnership) meets all the following tests, the Rhode Island extension form
				 RI-4868 (individual income tax returns) or RI-8736 (fiduciary income tax
				 returns) need not be filed:
1. The taxpayer
				 is not required to make payment with Rhode Island extension form; and
2. The taxpayer files a proper Federal
				 extension form; and
3. The
				 taxpayer's request for extension covers the same time period for both Rhode
				 Island and Federal purposes.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 2 - Extension of Time to File (280-RICR-20-55-2) › Section 280-RICR-20-55-2.7 - Taxpayers Outside the United States

Current through June 14, 2024
A. Taxpayers
				 outside the United States on the due date for filing will be accorded special
				 status for extension of time for filing their Rhode Island personal income tax
				 returns only if they have applied for and been granted the special federal
				 extension; and further, only if the taxpayer complies with other state and
				 federal requirements for extension.
B. Taxpayers claiming the special federal
				 extension for being outside the United States on the due date must attach all
				 state and federal extension documents in support of their claim.
C. Extensions for members of the armed
				 services and other individuals serving in a combat zone will be allowed in
				 accordance with the federal provisions.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 2 - Extension of Time to File (280-RICR-20-55-2) › Section 280-RICR-20-55-2.8 - Payment

Current through June 14, 2024
A. The filing or granting of an extension of
				 time to file does not extend the time for payment of tax due on the
				 return.
B. Pursuant to R.I. Gen.
				 Laws §
										44-30-84,
				 if you do not pay the amount due by the regular due date, you will owe interest
				 on the amount of tax due.
1. In accordance
				 with R.I. Gen. Laws §
											44-1-7,
				 as amended, interest is assessed at 18% per annum and accrues until the date
				 you pay the tax. Interest may not be abated.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 2 - Extension of Time to File (280-RICR-20-55-2) › Section 280-RICR-20-55-2.9 - Waiver of Late Filing Addition to the Tax

Current through June 14, 2024
A.
				 Showing of Reasonable Cause
1. Pursuant to
				 R.I. Gen. Laws §
											44-30-85,
				 a taxpayer who wishes to avoid the addition to the tax for failure to file a
				 tax return or pay tax must make an affirmative showing of all facts alleged as
				 reasonable cause for his failure to file such return or pay such tax on time in
				 the form of a written statement containing a declaration that is made under the
				 penalties of perjury. This statement should be filed with the tax
				 administrator.
2. If the tax
				 administrator determines that the delinquency was due to reasonable cause and
				 not willful neglect, the addition to the tax will not be assessed.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 3 - Credit for Income Taxes of Other States (280-RICR-20-55-3) › Section 280-RICR-20-55-3.1 - Purpose

Current through June 14, 2024
These rules and regulations implement R.I. Gen. Laws §
										44-30-18,
					 as amended. That section outlines credits for income taxes of other
					 states.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 3 - Credit for Income Taxes of Other States (280-RICR-20-55-3) › Section 280-RICR-20-55-3.2 - Authority

Current through June 14, 2024
These rules and regulations are promulgated pursuant to
					 R.I. Gen. Laws §
										44-1-4. The
					 rules and regulations have been prepared in accordance with the requirements of
					 R.I. Gen. Laws §
										42-35-1 et
					 seq. of the Rhode Island Administrative Procedures Act.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 3 - Credit for Income Taxes of Other States (280-RICR-20-55-3) › Section 280-RICR-20-55-3.3 - Application

Current through June 14, 2024
These rules and regulations shall be liberally construed so
					 as to permit the Division of Taxation the authority to effectuate the purpose
					 of R.I. Gen. Laws §
										44-30-18,
					 as amended, and other applicable state laws and regulations.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 3 - Credit for Income Taxes of Other States (280-RICR-20-55-3) › Section 280-RICR-20-55-3.4 - Severability

Current through June 14, 2024
If any provision of these rules and regulations, or the
					 application thereof to any person or circumstances, is held invalid by a court
					 of competent jurisdiction, the validity of the remainder of the rules and
					 regulations shall not be affected hereby.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 3 - Credit for Income Taxes of Other States (280-RICR-20-55-3) › Section 280-RICR-20-55-3.5 - Credit for Income Taxes of other States

Current through June 14, 2024
A.
				 General
1. Credit and Limitation
a. Rhode Island personal income tax law, in
				 R.I. Gen. Laws §
												44-30-18,
				 generally provides that a resident will be allowed a credit against his/her
				 Rhode Island personal income tax due for the taxable year for the aggregate of
				 the net income taxes imposed on him/her for the taxable year by other states
				 (including the District of Columbia) of the United States. In other words, any
				 resident of Rhode Island required to report and pay personal income taxes to
				 another state(s) would be allowed a credit on his/her Rhode Island personal
				 income tax return.
b. This credit
				 cannot exceed the proportion of the taxpayer's Rhode Island personal income tax
				 that the taxpayer's Rhode Island income derived from the other taxing states
				 bears to his or her entire Rhode Island income for the same taxable
				 year.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 3 - Credit for Income Taxes of Other States (280-RICR-20-55-3) › Section 280-RICR-20-55-3.6 - Double Resident

Current through June 14, 2024
A. General
1. A Rhode Island resident may be allowed a
				 credit for taxes due and paid to another state. Taxpayers claiming this credit
				 must file the RI-1040 Rhode Island resident return.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 4 - Tax Preparer Penalties (280-RICR-20-55-4) › Section 280-RICR-20-55-4.1 - Purpose

Current through June 14, 2024
These rules and regulations implement R.I. Gen. Laws §
										44-68-1 et
					 seq. That chapter outlines civil and criminal penalties which may be imposed on
					 a paid tax preparer who fails to comply with due diligence
					 requirements.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 4 - Tax Preparer Penalties (280-RICR-20-55-4) › Section 280-RICR-20-55-4.2 - Authority

Current through June 14, 2024
These rules and regulations are promulgated pursuant to
					 R.I. Gen. Laws §§
										11-18-1,
					  44-1-4 and
					  44-68-6.
					 The rules and regulations have been prepared in accordance with the
					 requirements of R.I. Gen. Laws §
										42-35-1 et
					 seq. of the Rhode Island Administrative Procedures Act.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 4 - Tax Preparer Penalties (280-RICR-20-55-4) › Section 280-RICR-20-55-4.3 - Application

Current through June 14, 2024
These rules and regulations shall be liberally construed so
					 as to permit the Division of Taxation the authority to effectuate the purpose
					 of R.I. Gen. Laws §
										44-68-1 et
					 seq. and other applicable state laws and regulations.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 4 - Tax Preparer Penalties (280-RICR-20-55-4) › Section 280-RICR-20-55-4.4 - Severability

Current through June 14, 2024
If any provision of these rules and regulations, or the
					 application thereof to any person or circumstances, is held invalid by a court
					 of competent jurisdiction, the validity of the remainder of the rules and
					 regulations shall not be affected thereby.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 4 - Tax Preparer Penalties (280-RICR-20-55-4) › Section 280-RICR-20-55-4.6 - Earned Income Credit (EIC)

Current through June 14, 2024
A. Any resident or
				 non-resident with Earned Income from Rhode Island who claims the Federal Earned
				 Income Credit is eligible for Rhode Island's EIC.
B. The Rhode Island EIC is determined in
				 accordance with R.I. Gen. Laws §
										44-30-2.6(c)(2)(N) 
				 and by using the RI Schedule EIC on the RI-1040 or RI-1040NR.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 4 - Tax Preparer Penalties (280-RICR-20-55-4) › Section 280-RICR-20-55-4.7 - Due Diligence Regarding Earned Income Credit

Current through June 14, 2024
A. It is the responsibility of the Tax Return
				 Preparer to be knowledgeable about the law with regard to EIC, make reasonable
				 inquiries of the taxpayer, and review supporting documentation provided by the
				 taxpayer to validate the assertions made in preparing a Return that claims
				 EIC.
B. The purposes for a Tax
				 Return Preparer to question the taxpayer regarding EIC Due Diligence are:
1. To reasonably conclude that the taxpayer
				 is reporting the proper amount of income that contributes to their total Earned
				 Income and AGI;
2. To reasonably
				 conclude that no other person is eligible to claim EIC or any other
				 child-related benefits for the dependent(s) being claimed; and
3. To reasonably conclude that the
				 dependent(s) being claimed is actually a qualifying dependent(s) for EIC
				 purposes.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 4 - Tax Preparer Penalties (280-RICR-20-55-4) › Section 280-RICR-20-55-4.8 - Property Tax Relief Credit

Current through June 14, 2024
A. Pursuant to R.I.
				 Gen. Laws Chapter 44-33, Property Tax Relief Credit provides relief to Rhode
				 Island taxpayers paying property tax who own or rent their homes.
B. In order to qualify for Property Tax
				 Relief Credit a Claimant shall meet all of the following conditions:
1. The Claimant shall be domiciled in Rhode
				 Island for the entire calendar year;
2. The Claimant's total Household Income
				 shall have been $30,000 or less;
3.
				 The Claimant's Homestead shall be subject to property taxes;
4. The Claimant shall be current on all
				 property tax or rent/lease payments due on the Homestead for all prior years
				 and on any current installments;
5.
				 The Claimant shall timely file Form RI-1040H by April 15 of the following year;
				 and
6. Only one (1) property tax
				 relief claim is allowed per household.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 4 - Tax Preparer Penalties (280-RICR-20-55-4) › Section 280-RICR-20-55-4.9 - Due Diligence Regarding Property Tax Relief Credit

Current through June 14, 2024
A. It is the responsibility of the Tax Return
				 Preparer to be knowledgeable about the law with regard to Property Tax Relief,
				 make reasonable inquiries of the Claimant, and review supporting documentation
				 provided by the Claimant to validate the assertions made in preparing a Return
				 that claims Property Tax Relief Credit.
B. The purposes for a Tax Return Preparer to
				 question the Claimant for Property Tax Relief Due Diligence analysis are:
1. To reasonably conclude that the Claimant
				 is reporting all income that contributes to their total Household Income;
				 and
2. To reasonably conclude that
				 only one Claimant per Household claims the Property Tax Relief
				 Credit.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 4 - Tax Preparer Penalties (280-RICR-20-55-4) › Section 280-RICR-20-55-4.10 - Record Retention Requirements

Current through June 14, 2024
A. Records kept
				 under §§
										4.7  and
				   4.9     of this Part shall be
				 kept for three (3) years from the later of:
1.
				 The due date of the Return;
2. The
				 date the Return was electronically filed;
3. For a paper Return, the date the Return
				 was presented to the taxpayer for signature; or
4. If you are a non-signing Tax Return
				 Preparer, the date you give the part for which you are responsible to the
				 signing Tax Return Preparer.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 4 - Tax Preparer Penalties (280-RICR-20-55-4) › Section 280-RICR-20-55-4.11 - Inspections

Current through June 14, 2024
A. The Tax Administrator, and his or her
				 agents, may conduct audit inspections to ensure compliance with all provisions
				 of R.I. Gen. Laws Chapter 44-68. Audit inspections of Tax Return Preparers
				 shall be conducted during normal business hours.
B. Failure to allow such inspection(s) of
				 records kept under §§
										4.7  and
				   4.9     of this Part may result
				 in civil penalties and/or suspension or revocation of a Tax Return Preparer's
				 privilege to file Returns with the Division.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 4 - Tax Preparer Penalties (280-RICR-20-55-4) › Section 280-RICR-20-55-4.12 - Civil and Administrative Penalties

Current through June 14, 2024
A. Failure to
				 exercise Due Diligence Regarding Earned Income Credit - Upon a determination by
				 the Tax Administrator that a Tax Return Preparer prepared a Return(s) and
				 failed to comply with the Due Diligence requirements imposed by §
										4.7     of this Part with respect
				 to determining eligibility for, or the amount of, the EIC allowable by the
				 State pursuant to R.I. Gen. Laws §
										44-30-2.6(c)(2)(N),
				 the Tax Return Preparer shall pay a penalty of five hundred dollars ($500) for
				 each such return.
B. Failure to
				 exercise Due Diligence Regarding Property Tax Relief Credit - Upon a
				 determination by the Tax Administrator that a Tax Return Preparer prepared a
				 Return(s) and failed to comply with the due diligence requirements imposed by
				 §
										4.9     of
				 this Part with respect to determining eligibility for, or the amount of, the
				 Property Tax Relief Credit allowable by the State pursuant to R.I. Gen. Laws
				 Chapter 44-33, the Tax Return Preparer shall pay a penalty of five hundred
				 dollars ($500) for each such return.
C. Willful Intent - Upon a determination by
				 the Tax Administrator that a Tax Return Preparer willfully prepared, assisted
				 in preparing, or caused the preparation of a Return(s) with intent to
				 wrongfully obtain a Property Tax Relief credit, or with the intent to evade or
				 reduce a tax obligation, the Tax Return Preparer shall be liable for a penalty
				 of one thousand dollars ($1,000), or five hundred dollars ($500) for each
				 return so filed during any calendar year, whichever is greater.
D. Warning - The Tax Administrator, in his or
				 her sole discretion, may provide a warning to any Tax Return Preparer who fails
				 to exercise Due Diligence in preparing a return(s) that negligently claim(s)
				 EIC or Property Tax Relief Credit or who intends to wrongfully evade or reduce
				 a tax obligation.
E. Suspension or
				 Revocation - The Tax Administrator may suspend or revoke the privilege of a Tax
				 Return Preparer to prepare and/or file Returns with the Division upon a
				 determination that the Tax Return Preparer has failed to comply with or
				 violated any provision of R.I. Gen. Laws Chapter 44-68, these regulations, or
				 any provision of any other laws relative to the preparation of tax
				 Returns.
F. Criminal Offenses - If
				 a Tax Return Preparer has been convicted of a crime involving identity theft,
				 fraud, or tax evasion in any court of competent jurisdiction, the Tax
				 Administrator may, in his or her sole discretion, suspend or revoke the
				 privilege of the Tax Return Preparer to file tax returns with the Division
				 without analyzing whether or not the Tax Return Preparer met the Due Diligence
				 requirements.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 4 - Tax Preparer Penalties (280-RICR-20-55-4) › Section 280-RICR-20-55-4.13 - Criminal Penalties

Current through June 14, 2024
Any Tax Return Preparer who has previously been assessed a
					 penalty by the Tax Administrator under R.I. Gen. Laws §
										44-68-4(c),
					 who is found by a court of competent jurisdiction to have thereafter willfully
					 prepared, assisted in preparing, or caused a preparation of a subsequent false
					 tax Return or claim for refund which was filed with the Division with the
					 intent to wrongfully obtain a Property Tax Relief credit or the intent to
					 wrongfully evade or reduce a tax obligation shall be guilty of a felony and,
					 upon conviction, shall be subject to a fine not exceeding fifty thousand
					 dollars ($50,000), or imprisonment not exceeding five (5) years, or
					 both.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 4 - Tax Preparer Penalties (280-RICR-20-55-4) › Section 280-RICR-20-55-4.14 - Appeals

Current through June 14, 2024
A. Any Tax Return Preparer receiving notice
				 of the Tax Administrator's intent to impose civil and administrative penalties,
				 including suspension or revocation of the privilege to file Returns with the
				 Division may request an administrative hearing on the notice of intent to
				 suspend or revoke.
B. In order to
				 request this hearing, the Tax Return Preparer shall notify the Tax
				 Administrator in writing within thirty (30) days from the date of the notice to
				 suspend or revoke. The Tax Administrator shall, as soon as is practicable, set
				 a time and place for hearing, and shall render a final decision. The
				 administrative hearing is the Tax Return Preparer's opportunity to present
				 evidence regarding Due Diligence including checklists and documentation
				 provided by the taxpayer to the Tax Return Preparer as detailed in §§
										4.7  and
				   4.9     of this Part.
C. Pursuant to R.I. Gen Laws §
										8-8-24,
				 appeals from a final decision of the Tax Administrator shall be to the Rhode
				 Island Sixth (6th) Division District Court within thirty (30) of the final
				 decision.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 5 - Filing Status of Spouses - Nonresident Military Personnel and Partial-Year Residents (280-RICR-20-55-5) › Section 280-RICR-20-55-5.1 - Purpose

Current through June 14, 2024
These rules and regulations implement R.I. Gen. Laws
					 §§
										44-30-5,
					  44-30-31,
					  44-30-51,
					 and
					  44-30-52.
					 Those sections outline the filing status of nonresident
					 spouses.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 5 - Filing Status of Spouses - Nonresident Military Personnel and Partial-Year Residents (280-RICR-20-55-5) › Section 280-RICR-20-55-5.2 - Authority

Current through June 14, 2024
These rules and regulations are promulgated pursuant to
					 R.I. Gen. Laws §§
										44-30-95(a) 
					 and
					  44-1-4.
					 These rules and regulations have been prepared in accordance with the
					 requirements of R.I. Gen. Laws §
										42-35-1 et
					 seq. of the Rhode Island Administrative Procedures Act.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 5 - Filing Status of Spouses - Nonresident Military Personnel and Partial-Year Residents (280-RICR-20-55-5) › Section 280-RICR-20-55-5.3 - Application

Current through June 14, 2024
These rules and regulations shall be liberally construed so
					 as to permit the Division of Taxation the authority to effectuate the purpose
					 of R.I. Gen. Laws §§
										44-30-5,
					  44-30-31,
					  44-30-51,
					 and
					  44-30-52,
					 and other applicable state laws and regulations.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 5 - Filing Status of Spouses - Nonresident Military Personnel and Partial-Year Residents (280-RICR-20-55-5) › Section 280-RICR-20-55-5.4 - Severability

Current through June 14, 2024
If any provision of these rules and regulations, or the
					 application thereof to any person or circumstances, is held invalid by a court
					 of competent jurisdiction, the validity of the remainder of the rules and
					 regulations shall not be affected hereby.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 5 - Filing Status of Spouses - Nonresident Military Personnel and Partial-Year Residents (280-RICR-20-55-5) › Section 280-RICR-20-55-5.5 - General

Current through June 14, 2024
A. R.I. Gen. Laws §
										44-30-5 defines a resident of this state as:
1. One
				 who is domiciled in this state.
2.
				 One who is not domiciled in this state but maintains a permanent place of abode
				 in this state and spends more than 183 days of the taxable year in this state,
				 unless he/she is in the armed forces of the United States.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 5 - Filing Status of Spouses - Nonresident Military Personnel and Partial-Year Residents (280-RICR-20-55-5) › Section 280-RICR-20-55-5.6 - Filing Status of a Single Nonresident Military Person

Current through June 14, 2024
A. A person who is a nonresident of Rhode
				 Island and is in the United States military service and is stationed in Rhode
				 Island on military orders is required to file a Rhode Island nonresident
				 personal income tax return (RI-1040NR) if he/she has Rhode Island source income
				 other than his/her military wages.
B. Compensation paid to a nonresident service
				 member of the United States uniformed services for active duty military service
				 can be claimed as a modification to reduce federal adjusted gross income for
				 tax years 2003 and thereafter.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 5 - Filing Status of Spouses - Nonresident Military Personnel and Partial-Year Residents (280-RICR-20-55-5) › Section 280-RICR-20-55-5.8 - Filing Status of Husband and Wife Where One is a Partial-Year Resident

Current through June 14, 2024
A. This section applies when one of the
				 spouses is a partial-year Rhode Island resident, the other spouse is a
				 full-year Rhode Island resident, and the couple files a joint Federal income
				 tax return.
1. For example, a couple gets
				 married and either the husband or the wife did not live in Rhode Island for all
				 of the months during the year prior to marriage.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 6 - Fiscal Year Taxpayers' Method of Computing Rhode Island Tax (280-RICR-20-55-6) › Section 280-RICR-20-55-6.1 - Purpose

Current through June 14, 2024
These rules and regulations implement R.I. Gen. Laws
					 §§
										44-30-2 and
					  44-30-60.
					 Those sections outline the rate of Rhode Island personal income tax owed and
					 elections regarding tax payment.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 6 - Fiscal Year Taxpayers' Method of Computing Rhode Island Tax (280-RICR-20-55-6) › Section 280-RICR-20-55-6.2 - Authority

Current through June 14, 2024
These rules and regulations are promulgated pursuant to
					 R.I. Gen. Laws §§
										44-30-95(a) 
					 and
					  44-1-4.
					 These rules and regulations have been prepared in accordance with the
					 requirements of R.I. Gen. Laws §
										42-35-1 et
					 seq. of the Rhode Island Administrative Procedures Act.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 6 - Fiscal Year Taxpayers' Method of Computing Rhode Island Tax (280-RICR-20-55-6) › Section 280-RICR-20-55-6.3 - Application

Current through June 14, 2024
These rules and regulations shall be liberally construed so
					 as to permit the Division of Taxation the authority to effectuate the purpose
					 of R.I. Gen. Laws §§
										44-30-2,
					  44-30-60, and
					 other applicable state laws and regulations.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 6 - Fiscal Year Taxpayers' Method of Computing Rhode Island Tax (280-RICR-20-55-6) › Section 280-RICR-20-55-6.4 - Severability

Current through June 14, 2024
If any provision of these rules and regulations, or the
					 application thereof to any person or circumstances, is held invalid by a court
					 of competent jurisdiction, the validity of the remainder of the rules and
					 regulations shall not be affected hereby.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 6 - Fiscal Year Taxpayers' Method of Computing Rhode Island Tax (280-RICR-20-55-6) › Section 280-RICR-20-55-6.5 - In General

Current through June 14, 2024
Fiscal year taxpayers are those taxpayers who, for Federal
					 income tax purposes as well as for Rhode Island income tax purposes, have tax
					 years other than calendar years. Fiscal year taxpayers may include estates and
					 trusts as well as individuals.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 6 - Fiscal Year Taxpayers' Method of Computing Rhode Island Tax (280-RICR-20-55-6) › Section 280-RICR-20-55-6.6 - Election

Current through June 14, 2024
When a taxpayer makes a fiscal year election for Federal
					 purposes, he/she is considered to have made the election for Rhode Island
					 income tax purposes. A Rhode Island taxpayer may not elect a Rhode Island
					 fiscal year different from the taxpayer's Federal fiscal year; nor may the
					 taxpayer elect a fiscal year for Federal purposes and a calendar year for Rhode
					 Island purposes or a calendar year for Federal purposes and a fiscal year for
					 Rhode Island purposes.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 6 - Fiscal Year Taxpayers' Method of Computing Rhode Island Tax (280-RICR-20-55-6) › Section 280-RICR-20-55-6.7 - Computation

Current through June 14, 2024
A. A fiscal year taxpayer whose tax years
				 involve calendar periods for which there was no change in the Rhode Island
				 personal income tax rate need only determine the proper Federal income tax
				 liability with any appropriate Rhode Island modifications.
B. A fiscal year taxpayer whose tax years
				 involve calendar periods for which the Rhode Island personal income tax rate
				 changed should compute the Rhode Island personal income tax in the following
				 manner:
1. Determine the proper Federal income
				 tax liability with any appropriate Rhode Island modifications.
2. Determine the rates for the Rhode Island
				 personal income tax in effect during the taxpayer's fiscal year and the number
				 of months for which the rates were in effect.
3. Calculate the fiscal period rates for each
				 rate change: (Number of Months Rate was in Effect x Rate)/12
4. Multiply each fiscal period rate by the
				 Federal income tax liability and add the resulting amounts to determine the
				 proper Rhode Island personal income tax liability.
5. Fiscal year taxpayers should then show
				 this amount as the Rhode Island tax liability on the appropriate line of the
				 Rhode Island return and attach a schedule showing the computation details.
				 Taxpayers should not enter any amount in the space provided for Federal tax
				 liability on the Rhode Island Return.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 6 - Fiscal Year Taxpayers' Method of Computing Rhode Island Tax (280-RICR-20-55-6) › Section 280-RICR-20-55-6.8 - Example

Current through June 14, 2024
Assume that a fiscal year taxpayer's filing period (7/1 to
					 6/30) had two Rhode Island rates. The first rate was 20% from 1/1/20XX to
					 12/31/20XX; the second rate was 25% from 1/1/20AB to 12/31/20AB. The Federal
					 income tax liability was $5,000.
Step #1: Fiscal period rates:
6/12 x 20% =
10.0%
6/12 x 25% =
12.5%
Step #2: Tax:
10.0% x $5,000.00 =
$ 500.00
12.5% x $5,000.00 =
$ 625.00
RHODE ISLAND INCOME TAX =
$1,125.00
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 7 - Trust Distributions (280-RICR-20-55-7) › Section 280-RICR-20-55-7.1 - Purpose

Current through June 14, 2024
These rules and regulations implement R.I. Gen. Laws
					 §§
										44-30-5(c) 
					 and
					  44-30-19.
					 Those sections outline the tax treatment of trust
					 distributions.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 7 - Trust Distributions (280-RICR-20-55-7) › Section 280-RICR-20-55-7.2 - Authority

Current through June 14, 2024
These rules and regulations are promulgated pursuant to
					 R.I. Gen. Laws §§
										44-30-5(c) 
					 and
					  44-1-4. The
					 rules and regulations have been prepared in accordance with the requirements of
					 R.I. Gen. Laws §
										42-35-1 et
					 seq. of the Rhode Island Administrative Procedures Act.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 7 - Trust Distributions (280-RICR-20-55-7) › Section 280-RICR-20-55-7.3 - Application

Current through June 14, 2024
These rules and regulations shall be liberally construed so
					 as to permit the Division of Taxation the authority to effectuate the purpose
					 of R.I. Gen. Laws §§
										44-30-5(c),
					  44-30-19,
					 and other applicable state laws and regulations.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 7 - Trust Distributions (280-RICR-20-55-7) › Section 280-RICR-20-55-7.4 - Severability

Current through June 14, 2024
If any provision of these rules and regulations, or the
					 application thereof to any person or circumstances, is held invalid by a court
					 of competent jurisdiction, the validity of the remainder of the rules and
					 regulations shall not be affected hereby.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 7 - Trust Distributions (280-RICR-20-55-7) › Section 280-RICR-20-55-7.5 - Reference and Definitions

Current through June 14, 2024
A. "Accumulation
				 distribution" has the meaning set out in 26 U.S. Code §665(b),  as
				 amended.
B. "Discretionary trust"
				 means a trust where the fiduciary has a discretionary power to distribute
				 income or to accumulate income.
C.
				 "Income" has the meaning set out in
				  26 U.S.C. §
											643(b), as
				 amended.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 7 - Trust Distributions (280-RICR-20-55-7) › Section 280-RICR-20-55-7.6 - Residency Status of Beneficiaries

Current through June 14, 2024
A. The status of a
				 beneficiary as a "resident individual" or as a "nonresident individual" is his
				 or her status for personal income tax purposes but determined at the close of
				 the trust's taxable year rather than at the close of the beneficiary's taxable
				 year.
B. For those children born
				 after the execution of the trust, children of a resident individual are deemed
				 to be resident individuals and; likewise, children of a nonresident individual
				 are deemed to be nonresident individuals.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 7 - Trust Distributions (280-RICR-20-55-7) › Section 280-RICR-20-55-7.7 - Residency Status of the Trust

Current through June 14, 2024
A. If income is
				 accumulated in a discretionary trust in any year and the trustee has a
				 discretionary power to distribute the income or the accumulated income among a
				 group of people, any one of whom is a resident individual, the trust is deemed
				 to be a resident trust with regard to the accumulated income pertaining to the
				 resident beneficiary or beneficiaries.
B. If income is accumulated in a trust in any
				 year, the trust is deemed to be a resident trust for the purposes of the
				 accumulated income to the extent that the income is accumulated for future
				 distribution only to a person who is a (or to persons who are) resident(s) at
				 the close of the trust's taxable year; and is deemed to be a nonresident trust
				 to the extent that the income is accumulated for future distribution to a
				 person(s) who is a nonresident at the close of the trust's tax year.
C. Capital gains realized and deemed retained
				 for future distribution to the remaindermen are undistributed gains and the
				 trust is deemed to be a resident trust in the same ratio that the interests of
				 all resident individual remaindermen bear to the interests of all
				 remaindermen.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 7 - Trust Distributions (280-RICR-20-55-7) › Section 280-RICR-20-55-7.8 - Examples

Current through June 14, 2024
A. Situation A: The will of a resident
				 individual establishes a discretionary trust. During the lifetime of the wife
				 (W), income (except capital gains) may, in the discretion of the trustee, be
				 paid to W, the son (S), the daughter (D) or any issue of S or D, or the income
				 may be accumulated. On W's death, the principal is to be distributed in equal
				 shares to S and D or to the issue of either if S and/or D are not living at
				 that time. Thus, the trustee has a discretionary power to distribute
				 accumulated income or principal to W, S, D or to any issue of S or of D.
1. During the year all of the income except
				 capital gains is currently paid to W. The trust realizes $1,000 of long-term
				 capital gains and retains those gains.
a. WHAT
				 IF: W and S are Rhode Island residents and D resides in another state and is
				 not a Rhode Island individual?
b.
				 ANSWER: Since presumptively the principal will ultimately pass in equal parts
				 to S and D (one of whom is a resident individual and the other is not), the
				 capital gains are therefore being accumulated one-half for a resident and
				 one-half for a nonresident. Thus, one-half of the retained income (capital
				 gains) is subject to Rhode Island personal income tax and a RI-1041 Form is
				 required to be filed. The fact that W is a resident individual is immaterial
				 concerning the capital gains because the principal will eventually go to S and
				 D.
c. WHAT IF: W resides in another
				 state and is not a Rhode Island resident; S and D are both Rhode Island
				 resident individuals?
d. ANSWER:
				 Since all of the capital gains are being accumulated for future distribution to
				 persons who are Rhode Island resident individuals, the trust is therefore
				 considered a resident trust with respect to the capital gains and a RI-1041
				 Form is required to be filed as it pertains to the retained income (capital
				 gains).
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 7 - Trust Distributions (280-RICR-20-55-7) › Section 280-RICR-20-55-7.9 - Resident Beneficiaries' Treatment of Accumulation Distribution by a Trust

Current through June 14, 2024
A. Rhode Island
				 Income Tax Liability
1. The Rhode Island
				 income tax liability for the year in which an accumulation distribution is
				 received is the greater of:
a. The Rhode
				 Island income tax liability computed based on the exclusion of the accumulated
				 distribution from Federal taxable income. Rhode Island taxable income would
				 then be calculated using this adjusted Federal Taxable Income, or
b. The Rhode Island income tax liability
				 computed based on the Federal taxable income including the amount of
				 accumulation distribution less the beneficiary's allocable portion of the Rhode
				 Island income previously included in RI taxable income of the trust.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 8 - Lottery and Pari-Mutuel Winnings and Prizes (280-RICR-20-55-8) › Section 280-RICR-20-55-8.1 - Purpose

Current through June 14, 2024
These rules and regulations implement R.I. Gen. Laws §
										44-30-71.2.
					 This section outlines the withholding of tax from lottery and pari-mutuel
					 winnings and prizes.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 8 - Lottery and Pari-Mutuel Winnings and Prizes (280-RICR-20-55-8) › Section 280-RICR-20-55-8.2 - Authority

Current through June 14, 2024
These rules and regulations are promulgated pursuant to
					 R.I. Gen. Laws §§
										44-30-71.2,
					  44-30-95(a),
					 and
					  44-1-4.
					 These rules and regulations have been prepared in accordance with the
					 requirements of R.I. Gen. Laws §
										42-35-1 et
					 seq. of the Rhode Island Administrative Procedures Act.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 8 - Lottery and Pari-Mutuel Winnings and Prizes (280-RICR-20-55-8) › Section 280-RICR-20-55-8.3 - Application

Current through June 14, 2024
These rules and regulations shall be liberally construed so
					 as to permit the Division of Taxation the authority to effectuate the purpose
					 of R.I. Gen. Laws §
										44-30-71.2 and other applicable state laws and regulations.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 8 - Lottery and Pari-Mutuel Winnings and Prizes (280-RICR-20-55-8) › Section 280-RICR-20-55-8.4 - Severability

Current through June 14, 2024
If any provision of these rules and regulations, or the
					 application thereof to any person or circumstances, is held invalid by a court
					 of competent jurisdiction, the validity of the remainder of the rules and
					 regulations shall not be affected hereby.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 8 - Lottery and Pari-Mutuel Winnings and Prizes (280-RICR-20-55-8) › Section 280-RICR-20-55-8.5 - General

Current through June 14, 2024
A. Effective on and after July 1, 1989,
				 amounts received from or paid on behalf of the Rhode Island Lottery as winnings
				 and prizes are taxable under the provisions of the Rhode Island personal income
				 tax (R.I. Gen. Laws §
										44-30-1 et
				 seq., as amended).
B. Additionally,
				 subject to provisions of this regulation, these amounts and winnings received
				 from pari-mutuel betting licenses in Rhode Island are subject to withholding
				 taxes similar to the Internal Revenue provisions for gambling
				 winnings.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 8 - Lottery and Pari-Mutuel Winnings and Prizes (280-RICR-20-55-8) › Section 280-RICR-20-55-8.6 - Effective Date Explained

Current through June 14, 2024
A. The taxability
				 of Rhode Island Lottery winnings and prizes and the withholding requirements
				 applied to the Rhode Island Lottery and to pari-mutuel betting licensees in
				 Rhode Island are applied according to the date on which the winnings and prizes
				 are received after the effective date above.
B. Winnings and prizes received means amounts
				 received by the taxpayer on or after July 1, 1989 regardless of the date of the
				 Lottery drawing, the date of the winner determination or the date of the
				 pari-mutuel betting event and regardless of whether the prize or winnings are
				 paid to the winner in installments over a period of time by the Director of
				 Lotteries, pari-mutuel betting licensee or by a third party annuity or other
				 contractual payor.
C. Examples
1. George found a winning Rhode Island
				 Lottery ticket he'd forgotten. Although the drawing was held eight (8) months
				 earlier, George claimed his prize on July 15, 1989. For George's Rhode Island
				 income tax purposes, his winnings are taxable as part of his 1989 Rhode Island
				 income. Depending on the amount of his winnings, Rhode Island withholding may
				 be deducted by the Lottery prior to his receipt.
2. Joan won the Rhode Island Lottery in 1987
				 and is receiving her winnings in a check each August over a ten year period.
				 Beginning with the August 1989 check, Joan's winnings are taxable as part of
				 her Rhode Island income. Depending on the amount of her winnings, Rhode Island
				 withholding may be deducted by the Lottery or its third-party payor, prior to
				 receipt.
3. David bet, won and
				 received his winnings at the Rhode Island Lottery in a single check in February
				 1989. Because he received his winnings before July 1, 1989, they are exempt
				 from Rhode Island personal income tax and regardless of the amount, no Rhode
				 Island withholding was deducted by the Lottery.
4. Denise won and received a large sum from a
				 Rhode Island casino in August 1989. Her winnings are part of her Rhode Island
				 income (they were never exempted); however, since she received her winnings
				 after July 1, 1989, and depending on the amount of her winnings, Rhode Island
				 withholding may be deducted by the payor prior to receipt.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 55 - Personal Income Tax › Part 8 - Lottery and Pari-Mutuel Winnings and Prizes (280-RICR-20-55-8) › Section 280-RICR-20-55-8.7 - Treatment by Taxpayers

Current through June 14, 2024
A. Lottery Winnings
1. Effective July 1, 1989, winnings and
				 prizes received from the Rhode Island Lottery are taxable under the provisions
				 of the Rhode Island personal income tax (R.I. Gen. Laws §
											44-30-1 et
				 seq., as amended) and are includable in the income of both residents and
				 nonresidents alike. Prior to that act, these winnings and prizes were exempt
				 under R.I. Gen. Laws §
											42-61-17.