reglab/statecodes huggingface dataset:
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 20 - TAX CREDITS/DEDUCTIONS › Part 12 - Elective Deduction for New Research and Development Facilities (280-RICR-20-20-12) › Section 280-RICR-20-20-12.10 - Non-recognized Gain or Loss

Current through June 14, 2024
In any taxable year the gain or loss entering into the
					 computation of federal taxable income from the sale or other disposition of
					 property before the end of its useful life on which a research and development
					 deduction has been allowed, shall be disregarded in computing entire net income
					 and there shall be added to or subtracted from the portion of entire net income
					 allocated within the state the gain or loss upon such sale or other
					 disposition. In computing such gain or loss the basis of the property sold or
					 disposed of shall be adjusted to reflect the research and development deduction
					 allowed under R.I. Gen. Laws §
										44-32-1.
					 No loss will be recognized with respect to a sale or other disposition of
					 qualified property to a taxpayer whose acquisition thereof is not a purchase as
					 defined in section
					 179(d) of
					 the Internal Revenue Code (26 U.S.C. §
											179(d).
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 20 - TAX CREDITS/DEDUCTIONS › Part 12 - Elective Deduction for New Research and Development Facilities (280-RICR-20-20-12) › Section 280-RICR-20-20-12.11 - Sale of Qualified Property

Current through June 14, 2024
A. A sale, as
				 described in §
										12.10     of this Part, will
				 include any transaction giving rise to both realized and recognized gain or
				 loss as those terms are understood for federal income tax purposes. Any
				 transaction not giving rise to both realized and recognized gain or loss for
				 federal income tax purposes will not constitute a sale. The terms "or other
				 disposition" appearing in §
										12.10     of this Part, and
				 "disposed of" appearing in R.I. Gen. Laws §
										44-32-1(5) 
				 are defined as any transaction substantially equivalent to a sale.
B. Any event or transaction not constituting
				 a sale or other disposition will be subject to the rules regarding
				 recomputations under R.I. Gen. Laws §
										44-32-1(a) 
				 and §§
										12.7,
				   12.8, and
				   12.9     of this Part.
C. In any case where property which has been
				 the subject of a research and development deduction is liable to a
				 recomputation under R.I. Gen. Laws §
										44-32-1(a) 
				 and §§
										12.7,
				   12.8, and
				   12.9     of this Part, and is
				 subsequently sold or otherwise disposed of by the taxpayer, the subsequent sale
				 will be accountable to R.I. Gen. Laws §
										42-35-1(5) 
				 and §
										12.10     of this Part.
				 However, an appropriate adjustment shall be made to reflect the previous
				 recomputation.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 20 - TAX CREDITS/DEDUCTIONS › Part 13 - Daycare Assistance and Development Tax Credit (280-RICR-20-20-13) › Section 280-RICR-20-20-13.1 - General

Current through June 14, 2024
A. R.I. Gen. Laws Chapter 44-47 provides a
				 Rhode Island employer or the owner of Rhode Island commercial property credits
				 against the business corporation tax (R.I. Gen. Laws Chapter 44-11); the
				 public service corporation tax (R.I. Gen. Laws Chapter 44-13 but not the
				 special property tax provisions of R.I. Gen. Laws §
										44-13-13); the bank excise tax (R.I. Gen. Laws Chapter 44-14); the insurance
				 companies' gross premiums tax (R.I. Gen. Laws Chapter 44-17) and the personal
				 income tax (R.I. Gen. Laws Chapter 44-30). The types and amount of credit
				 generally differ according to the nature of the taxpayer's activity in the
				 provision of the daycare. The three types of daycare activity considered for
				 credit computation include credit for purchased daycare, for the establishment
				 and/or operation of a daycare facility alone or with another taxpayer and for
				 rental and lease amounts foregone by the owner of commercial property in Rhode
				 Island.
1. Effective January 1, 1995, the
				 credit has been extended to include amounts paid for the care of dependent
				 adult family members.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 20 - TAX CREDITS/DEDUCTIONS › Part 13 - Daycare Assistance and Development Tax Credit (280-RICR-20-20-13) › Section 280-RICR-20-20-13.2 - Licensing Requirement

Current through June 14, 2024
No credit will be allowed unless the daycare facility has a
					 valid Rhode Island license issued under R.I. Gen. Laws Chapter 42-72.1 Laws and
					 agrees to accept children whose child care services are paid for in whole or in
					 part by the Rhode Island Department of Human Services. The daycare facility
					 license number must be shown where required on all credit claims. As of January
					 1, 1995, any credit claimed for adult daycare must be for facilities certified
					 by the Department of Elderly Affairs.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 20 - TAX CREDITS/DEDUCTIONS › Part 13 - Daycare Assistance and Development Tax Credit (280-RICR-20-20-13) › Section 280-RICR-20-20-13.3 - Definitions

Current through June 14, 2024
A. "Amount expended" means the actual sums of
				 money spent, or the cost or other basis for federal tax purposes of realty or
				 tangible personalty donated or dedicated to the establishment of a daycare
				 center.
B. "Donated" means a
				 process whereby title and possession of realty or tangible personalty are
				 transferred to a new owner of such property. Credit involving donated property
				 may be calculated whether or not the donation was, or qualified for, a
				 charitable contribution by the taxpayer but, in the event of a charitable
				 contribution, the basis used by the taxpayer for federal income tax purposes
				 must be the basis used in calculation of the credit. In the event that no
				 charitable contribution has been made, the basis to be used is the basis
				 normally used for federal income tax purposes.
C. "Dedicated to the establishment and/or
				 operation of a daycare facility" means restricted for the sole and exclusive
				 use of the daycare facility. Property so dedicated must be physically
				 segregated from other similar property of the taxpayer and the books and
				 records of the taxpayer must reflect the dedication and limitation of
				 use.
D. "Used primarily" means used
				 more than 50%.
E. "Rental or lease
				 space" means commercially zoned realty space rented or leased or available for
				 rental or lease.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 20 - TAX CREDITS/DEDUCTIONS › Part 13 - Daycare Assistance and Development Tax Credit (280-RICR-20-20-13) › Section 280-RICR-20-20-13.4 - Purchased Daycare

Current through June 14, 2024
A. Calculation and
				 Documentation
1. The credit for purchased
				 daycare is measured at 30% of the sums expended. Purchased daycare has a
				 maximum credit of $30,000 per year and the yearly limit is calculated per
				 individual taxpayer. Taxpayers purchasing daycare for or at one or more
				 locations must obtain and retain appropriate documentation for each location
				 (including the amount expended by the taxpayer, the name and address of the
				 Rhode Island licensed daycare facility and, in the case of the owner of
				 commercial property, the name of the commercial tenant and the names of the
				 commercial tenants' employees for whose children the daycare is being
				 purchased). Taxpayers claiming credits must also obtain written certification
				 from the facility that it agrees to accept children whose child care services
				 are paid in full or in part by the Rhode Island Department of Human Services.
				 Taxpayers should aggregate the sums expended for the various locations and then
				 perform the mathematics prior to determining the $30,000 limit. (Purchases of
				 daycare for dependent adult family members on or after January 1, 1995 are
				 subject to the same provisions above.)
2. EXAMPLE: Big Corporation has two major
				 plants in Rhode Island and purchases daycare for its employees at two different
				 Rhode Island licensed daycare facilities. Big Corporation pays $100,000 for
				 daycare at facility A and $75,000 for daycare at facility B. Big Corporation's
				 credit for purchased daycare is computed as follows:
a. Daycare Purchased:
Center A $100,000 Center B $ 75,000 Total $175,000
b. Credit = 30% x $175,000 but not
				 more than $30,000 = $52,500 but subject to the $30,000 maximum credit If Big
				 Corporation's tax was less than $30,000, Big Corporation would have amounts of
				 excess credit. Such excess credit cannot be carried forward to future
				 years.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 20 - TAX CREDITS/DEDUCTIONS › Part 13 - Daycare Assistance and Development Tax Credit (280-RICR-20-20-13) › Section 280-RICR-20-20-13.5 - Establishment/Operation of daycare facility

Current through June 14, 2024
A. General
1. The credit for establishing and/or
				 operating a Rhode Island licensed daycare facility is measured at 30% of the
				 sums expended to a maximum of $30,000. The taxpayer may establish and/or
				 operate the daycare facility alone or with other taxpayers; but the daycare
				 facility must be used primarily by the taxpayer's employees' children or the
				 children of the employees of the commercial tenants during the employees' hours
				 of employment.
2. Effective
				 January 1, 1995, the above provisions have been extended to include daycare
				 facilities for depending adult family members.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 20 - TAX CREDITS/DEDUCTIONS › Part 13 - Daycare Assistance and Development Tax Credit (280-RICR-20-20-13) › Section 280-RICR-20-20-13.6 - Rentals and Leases Forgone

Current through June 14, 2024
A. General
1. The credit for rentals and leases foregone
				 by the owner of Rhode Island commercial realty related to the dedication of
				 rental or lease space for daycare services is measured at 30% of the difference
				 between the fair market value of the rental/lease and the actual rental/lease
				 amount. The credit has a yearly maximum of $30,000.
2. Effective January 1, 1995, the credit has
				 been extended to include daycare services for dependent adults at facilities
				 certified by the Rhode Island Department of Elderly Affairs.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 20 - TAX CREDITS/DEDUCTIONS › Part 13 - Daycare Assistance and Development Tax Credit (280-RICR-20-20-13) › Section 280-RICR-20-20-13.7 - Miscellaneous

Current through June 14, 2024
A. In the case of a business corporation
				 filing a consolidated return under the provisions of R.I. Gen. Laws Chapter
				 44-11, a credit will be allowed against the tax of only that corporation which
				 qualifies for the credit and will not be allowed against the tax of other
				 corporations that may join in the filing of the consolidated Rhode Island
				 return.
B. The maximum annual
				 credit for purchased daycare is $30,000 and the credit cannot reduce the tax
				 payable to less than its applicable minimum. The balance of unused credit may
				 not be carried forward to any subsequent year.
C. The maximum annual credit for daycare
				 establishment and operation and for amounts foregone is $30,000 and the amounts
				 of unused credits may be carried forward to the next 5 succeeding tax
				 years.
D. The maximum total credit
				 a taxpayer may apply against its taxes during any one tax year cannot exceed
				 $30,000 regardless of the composition of the types of daycare items
				 claimed.
E. Credits carried over to
				 succeeding tax years may not be used if, during that time, the facility was
				 operated for less than six months.
F. Calculations for sums expended, realty or
				 tangible personalty, or for rentals/leases foregone for the purposes of
				 claiming the Rhode Island credit DO NOT require recapture or recalculation of
				 those items for federal income tax purposes except as provided
				 federally.
G. If the employer or
				 commercial landlord is a partnership, joint venture or small business
				 corporation having an election in effect under subchapter S of the internal
				 revenue code, the credit must be divided in the same manner as
				 income.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 20 - TAX CREDITS/DEDUCTIONS › Part 14 - Research and Development Property Credit (280-RICR-20-20-14) › Section 280-RICR-20-20-14.1 - General

Current through June 14, 2024
A credit is available to corporations, sole proprietors or
					 passed through from partnerships, joint ventures or subchapter S corporations
					 for research and development property acquired, constructed, reconstructed or
					 erected after July 1, 1994. The credit is 10% of the cost or other basis of
					 realty and tangible personality which is depreciable; has a useful life of 3
					 years or more; was acquired by purchase; has a situs in Rhode Island and is
					 used principally for purposes of research and development in the experimental
					 or laboratory sense.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 20 - TAX CREDITS/DEDUCTIONS › Part 14 - Research and Development Property Credit (280-RICR-20-20-14) › Section 280-RICR-20-20-14.2 - Definitions

Current through June 14, 2024
A. "Research and development' means in the
				 experimental or laboratory sense and shall not be deemed to include the
				 ordinary testing or inspection of materials or products for quality control,
				 efficiency surveys, management studies, consumer surveys, advertising,
				 promotions, or research in connection with literary, historical or similar
				 projects.
B. "Structural
				 components" means such separately attached parts of a building, as walls and
				 built-in partitions, permanent paneling and tiling, doors, stairways, the
				 entire central heating, plumbing, electrical, and air conditioning systems.
				 Sink and toilet facilities, sprinkler systems, fire escapes, elevators and
				 escalators do not qualify. For the purpose of this regulation, the building and
				 all of its structural components are treated as a whole when the building is
				 acquired, constructed, reconstructed or erected and first placed in service.
				 The repairs, alterations, improvements or replacement of a structural component
				 subsequent to the acquisition, construction, reconstruction or erection of the
				 building will not be allowed the credit.
C. "Principally used" means used more than
				 50%. A building or addition is principally used in research and development in
				 the experimental or laboratory sense where more than 50% of its usable business
				 floor space is thusly used. Floor space used for bathrooms, cafeterias and
				 lounges is not usable business floor space. Machinery is principally used in
				 research and development in the experimental or laboratory sense when it is
				 thusly used more than 50% of its normal operating time.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 20 - TAX CREDITS/DEDUCTIONS › Part 14 - Research and Development Property Credit (280-RICR-20-20-14) › Section 280-RICR-20-20-14.3 - Rate

Current through June 14, 2024
The credit is ten percent (10%) of the cost or other basis
					 for federal income tax purposes of tangible personal property, and other
					 tangible property, including buildings and structural components of buildings
					 acquired, constructed or reconstructed, or erected after July 1, 1994.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 20 - TAX CREDITS/DEDUCTIONS › Part 14 - Research and Development Property Credit (280-RICR-20-20-14) › Section 280-RICR-20-20-14.4 - Basic Test

Current through June 14, 2024
A. In order to
				 qualify for this credit, the tangible personal property and other tangible
				 property, including buildings and structural components of buildings must meet
				 all of the following tests and therefore must:
1. be depreciable pursuant to
				  26 U.S.C. §
												167  or recovery property with
				 respect to which a deduction is allowable under
				  26 U.S.C. §
												168;
2. have a useful life of three (3) years or
				 more;
3. be acquired by purchase as
				 defined in section
				  26 U.S.C. §
												179(d);
4. have a situs in this state; and
5. be used principally for purposes of
				 research and development in the experimental or laboratory sense.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 20 - TAX CREDITS/DEDUCTIONS › Part 14 - Research and Development Property Credit (280-RICR-20-20-14) › Section 280-RICR-20-20-14.5 - Leased/Rented Property

Current through June 14, 2024
A. Partially
				 leased/rented to others: Generally, a taxpayer is not allowed a credit for
				 realty or tangible personalty including buildings and structural components of
				 buildings which it leases or rents to any other person or corporation. However,
				 if real property (buildings) is principally used by the taxpayer in research
				 and development and is partially rented or leased or leased to others, the
				 basis of the property must be adjusted for that proportionate share of
				 non-qualifying use.
B. EXAMPLES:
				 RST Corporation, a calendar year corporation, acquires a five story building
				 (with each story of equal square footage) on October 1, 1994. The basis of the
				 building is $200,000.
1. The taxpayer rents or
				 leases out three floors and uses the remaining two floors for research and
				 development in the experimental or laboratory sense. Since less than 50% of the
				 building is used for research and development in the experimental or laboratory
				 sense, no credit is allowed on any part of the building.
2. The taxpayer rents or leases out two
				 floors and uses the remaining three floors for research and development in the
				 experimental or laboratory sense. Since more than 50% of the building is used
				 for research and development in the experimental or laboratory sense, credit
				 will be allowed on that part of the building which is not leased.
3. The taxpayer does not rent/lease any of
				 the building; uses three floors for research and development in the
				 experimental or laboratory sense; and uses the other two floors for office
				 space. Since more than 50% of the building is used for research and development
				 in the experimental or laboratory sense and none is leased, credit will be
				 allowed on the entire building.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 20 - TAX CREDITS/DEDUCTIONS › Part 14 - Research and Development Property Credit (280-RICR-20-20-14) › Section 280-RICR-20-20-14.6 - Timing

Current through June 14, 2024
A. Property is considered first placed in
				 service by the taxpayer in the tax year in which under the taxpayer's
				 depreciation practice, the period for depreciation for the property begins or
				 the year in which the property is placed in a condition or state of readiness
				 and availability for a specifically assigned function, whichever is
				 earlier.
B. Only the amounts
				 actually paid by the taxpayer for qualifying property after July 1, 1994
				 qualify for the credit.
C.
				 Acquisitions in a taxable year do not affect similar property previously
				 qualifying. For example, a taxpayer builds an addition to a previously
				 qualifying building for use as office space. The investment in the addition
				 will not qualify for the credit since it is not used for research and
				 development in the experimental or laboratory sense but it will not trigger a
				 recapture of the credit taken on the previously existing structure. If the
				 addition were built for and used principally in research and development in the
				 experimental or laboratory sense (and the other criteria for the credit were
				 satisfied), the credit would apply to the addition.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 20 - TAX CREDITS/DEDUCTIONS › Part 14 - Research and Development Property Credit (280-RICR-20-20-14) › Section 280-RICR-20-20-14.7 - Limitation, Carryovers and Miscellaneous

Current through June 14, 2024
A. No deduction
				 for research and development facilities under R.I. Gen. Laws §
										44-32-1 shall be allowed for research and development property for which the credit is
				 allowed under these provisions.
B.
				 No investment tax credit under R.I. Gen. Laws §
										44-31-1 shall be allowed for research and development property for which the credit is
				 allowed under these provisions.
C.
				 Consolidated returns: The credit allowed for research and development property
				 for which the credit is claimed under these provisions shall only be allowed
				 against the tax of that corporation included in a consolidated return that
				 qualifies for the credit and not against the tax of other corporations that may
				 join in the filing of a consolidated return.
D. Division of the credit: In the event that
				 the taxpayer is a partnership, joint venture or small business corporation, the
				 credit shall be divided in the same manner as income.
E. Order of credits: The investment tax
				 credit allowed by R.I. Gen. Laws §
										44-31-1 shall be used by the taxpayer before the credit claimed under these
				 provisions.
F. Minimum tax and
				 carryover: In the case of corporations, the credit for research and development
				 property allowed shall not reduce the tax due to less than the minimum fixed by
				 R.I. Gen. Laws §
										44-11-2(e).
				 However, any amount of credit not used in such taxable year may be carried over
				 to the following year or years, up to a maximum of seven (7) years, and may be
				 credited against the taxpayer's tax for such year or years. For purposes of
				 R.I. Gen. Laws Chapter 44-30, if the credit allowed exceeds the taxpayer's tax
				 for such year, the amount of credit not used in such taxable year may be
				 carried over to the following year or years, up to a maximum of seven (7)
				 years, and may be credited against the taxpayer's tax for such year or years.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 20 - TAX CREDITS/DEDUCTIONS › Part 14 - Research and Development Property Credit (280-RICR-20-20-14) › Section 280-RICR-20-20-14.8 - Recapture

Current through June 14, 2024
A. In general, a recapture of a portion of
				 the credit is required where the property on which a credit has been allowed is
				 disposed of or ceases to be in qualified use. The following are examples of
				 some types of incidents which require recapture of the credit (this list is not
				 all-inclusive):
1. A legal
				 dissolution;
2. A trade
				 in;
3. Foreclosure of a security
				 interest;
4. Retirement before
				 expiration of its useful life;
5.
				 Destruction or damage by fire, storm or other casualty or by reason of its
				 theft or other involuntary conversion;
6. Where property is leased to
				 others;
7. Removal of property from
				 this state;
8. Cease to own
				 property;
9. Cease to be in
				 qualified use.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 20 - TAX CREDITS/DEDUCTIONS › Part 14 - Research and Development Property Credit (280-RICR-20-20-14) › Section 280-RICR-20-20-14.9 - Federal References

Current through June 14, 2024
For the purpose of determining the basis of qualifying
					 property, the carryover of credit and of the recapture of the credit, pertinent
					 portions of the Internal Revenue Code and regulations thereunder, including
					 provisions applicable to corporations, Subchapter S corporations, estates and
					 trusts, and partnerships are deemed adopted to the extent not inconsistent with
					 this regulation and Rhode Island law.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 20 - TAX CREDITS/DEDUCTIONS › Part 15 - Tax Incentives for Employers (280-RICR-20-20-15) › Section 280-RICR-20-20-15.1 - General

Current through June 14, 2024
Effective January 1, 1998, an incentive in the form of a
					 deduction or modification is available to businesses who hire employees who are
					 Rhode Island residents and who have been "unemployed" as defined in §
										15.2(A)(2)     of this Part. Once each employee has been employed by the business for a
					 minimum of 52 consecutive calendar weeks, has a minimum of 1,820 hours of paid
					 employment and is certified by the Department of Labor and Training, the
					 business shall be entitled to an incentive of 40% of the employee's first year
					 wages up to a maximum of $2,400 per employee.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 20 - TAX CREDITS/DEDUCTIONS › Part 15 - Tax Incentives for Employers (280-RICR-20-20-15) › Section 280-RICR-20-20-15.2 - Procedure

Current through June 14, 2024
A. If a business hires an employee who has
				 been unemployed as defined herein and who has been a domiciled resident of
				 Rhode Island for at least 52 consecutive calendar weeks before the date of hire
				 seeks the tax incentives provided herein, the following procedure shall be
				 followed:
1. Upon being hired the employee
				 must attest to the employer that he or she has been both unemployed and a
				 domiciled resident for the required time.
2. Within 30 days from the first day the
				 employee begins work, the business must file with the Department of Labor and
				 Training for confirmation of the employee's unemployment status. The Department
				 of Labor and Training shall notify the business of its findings as soon as
				 practicable. If the employee was "unemployed" by being a recipient of Rhode
				 Island Aid to Families with Dependent Children (Family Independence Program)
				 for the required period, the business shall request confirmation from the Rhode
				 Island Department of Human Services.
3. After the employee has been employed for
				 at least 52 consecutive weeks and a minimum of 1,820 hours of paid employment,
				 the business shall request the Department of Labor and Training to provide
				 final certification for that employee. If the employee has achieved both
				 minimum standards above, the Department shall issue a certificate for that
				 employee to the business. When claiming the incentive, the business shall
				 attach the certificate to its return.
4. Once the certificate is received, the
				 business shall calculate and claim the incentive on its tax return for the tax
				 year in which the minimum standards are met.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 20 - TAX CREDITS/DEDUCTIONS › Part 15 - Tax Incentives for Employers (280-RICR-20-20-15) › Section 280-RICR-20-20-15.3 - Definitions

Current through June 14, 2024
A. "Business" means any corporation, limited
				 liability company, partnership, individual, sole proprietorship, joint stock
				 company, joint venture or any other legal entity through which business is
				 legally conducted or the successors or assigns thereof.
B. "Unemployed" means and refers to an
				 individual who attests that he or she is not working and
1. has received unemployment compensation
				 benefits under R.I. Gen. Laws Chapter 28-44 or any similar laws of another
				 state any time within a one-year period before the date of hire; or
2. has been a recipient of Rhode Island Aid
				 to Families with Dependent Children (R.I. Gen. Laws Chapter 40-6) for a
				 minimum of one year before the date of hire.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 20 - TAX CREDITS/DEDUCTIONS › Part 15 - Tax Incentives for Employers (280-RICR-20-20-15) › Section 280-RICR-20-20-15.4 - The Employee

Current through June 14, 2024
A. The incentive
				 shall be applied only once for any given employee.
B. The employee must be a first-time hire of
				 the business and cannot have worked for any company that subsequently merges
				 with or is acquired by the claimant business.
C. Leased or temporary employees do not
				 qualify.
D. The employee cannot be
				 a relative of any controlling shareholder, director, or officer of the claimant
				 corporation; nor controlling shareholder, officer, or manager of the claimant
				 limited liability company; nor partner or owner of any claimant partnership,
				 joint venture, sole proprietorship or any other type of legal business entity
				 claiming this incentive.
E. If the
				 hiring of the employee will be used to obtain any other tax incentive/tax
				 benefit for the business, then that employee cannot be used in the computation
				 of this tax incentive.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 20 - TAX CREDITS/DEDUCTIONS › Part 15 - Tax Incentives for Employers (280-RICR-20-20-15) › Section 280-RICR-20-20-15.5 - Calculation of the Incentive

Current through June 14, 2024
A. At the end of
				 the business' tax year, the employer claims the incentive for each employee who
				 has been finally certified during that tax year by the Department of Labor and
				 Training.
B. The incentive is
				 calculated using the W-2's for each employee to determine the "first year
				 wages". Since the "first year wages" are the Rhode Island wages or Rhode Island
				 salary of the newly-hired employee and actually paid by the business for a
				 period of 365 days from the employee's first day of work, the W-2's for more
				 than one year will be used.
C. For
				 most certified employee, the calculation involves:
1. the first W-2 for the employee's first
				 year of employment;
2. a
				 determination of how many days of pay (of the mandated 365) were present during
				 that calendar year;
3. the W-2 for
				 the employee's second year of employment;
4. a determination of how many days remained
				 (of the mandated 365) during that (second) calendar year; and
5. a proration (or specific identification if
				 details are available for review) to determine the remaining portion of the
				 "first year wages".
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 20 - TAX CREDITS/DEDUCTIONS › Part 15 - Tax Incentives for Employers (280-RICR-20-20-15) › Section 280-RICR-20-20-15.6 - Employee Tax Credit Examples

Current through June 14, 2024
A. Example 1 -
				 Calendar year Employer
1. the incentive shall
				 be applied only once for any given employee
2. Employee John Doe is hired on January 1,
				 1998 and the employer is a calendar year end taxpayer. Since the 365 day
				 requirement is satisfied in 1 year, the stated total wages on the 1998 W-2 for
				 the employee may then be used for the calculation of the modification or
				 deduction.
John Doe 1998 W-2 Total Wages for his
								Employer
$12,000
Incentive rate (40%)
X .40
Total
$4,800
3.
				 Maximum incentive of $2,400 for John Doe may be utilized a modification or
				 adjustment on year end 12/31/98 tax return of his employer.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 20 - TAX CREDITS/DEDUCTIONS › Part 15 - Tax Incentives for Employers (280-RICR-20-20-15) › Section 280-RICR-20-20-15.7 - Minimum Tax and Carryover

Current through June 14, 2024
A. The incentive
				 cannot reduce the business' tax for that year below the minimum (if any) for
				 the chapter under which the business is filing.
B. Any amount of incentive not used in the
				 business' tax year may not be carried over to any following year.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 20 - TAX CREDITS/DEDUCTIONS › Part 15 - Tax Incentives for Employers (280-RICR-20-20-15) › Section 280-RICR-20-20-15.8 - Limitations and Miscellaneous

Current through June 14, 2024
A. The incentive
				 (deduction or modification) is not refundable.
B. The incentive may be used by the claimant
				 business for taxes levied under R.I. Gen. Laws Chapter 44-11 (Business
				 Corporation Tax); under R.I. Gen. Laws Chapter 44-13 (Public Service
				 Corporation Tax) but not under R.I. Gen. Laws §
										4-13-13;
				 under R.I. Gen. Laws Chapter 44-14 (Bank Excise Tax); under R.I. Gen. Laws
				 Chapter 44-15 (Bank Deposits Tax); under R.I. Gen. Laws Chapter 44-17 (Taxation
				 of Insurance Companies); and under R.I. Gen. Laws Chapter 44-30 (Personal
				 Income Tax).
C. If the business is
				 liable for both Bank Excise and Bank Deposits taxes (under R.I. Gen. Laws
				 Chapters 44-14 and 44-15), the taxpayer must elect only one tax in which to
				 claim the incentive and may not divide the incentive between the two
				 taxes.
D. If the business is a
				 Sub-chapter S corporation, limited liability company, partnership or joint
				 venture, the incentive is to be divided in the same manner as income.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 20 - TAX CREDITS/DEDUCTIONS › Part 16 - Disabled Access Credit for Small Businesses (280-RICR-20-20-16) › Section 280-RICR-20-20-16.1 - General

Current through June 14, 2024
Effective January 1, 1998, a small business taxpayer that
					 pays for or incurs expenses in Rhode Island to provide access to persons with
					 disabilities shall be allowed a 10% credit up to $1,000 against the Business
					 Corporation Tax (R.I. Gen. Laws Chapter 44-11) or Public Service Corporation
					 Tax (R.I. Gen. Laws Chapter 44-13).
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 20 - TAX CREDITS/DEDUCTIONS › Part 16 - Disabled Access Credit for Small Businesses (280-RICR-20-20-16) › Section 280-RICR-20-20-16.2 - Definitions

Current through June 14, 2024
A. "Small business" means one that for the
				 preceding tax year had thirty (30) or fewer full-time employees, or had one
				 million dollars ($1,000,000) or less in gross receipts.
B. "Full-time employees" means one employed
				 at least thirty (30) hours a week for twenty (20) or more calendar weeks in the
				 proceeding tax year.
C. "Amount
				 expended" means the actual sum of money spent.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 20 - TAX CREDITS/DEDUCTIONS › Part 16 - Disabled Access Credit for Small Businesses (280-RICR-20-20-16) › Section 280-RICR-20-20-16.3 - Qualifying Expenses

Current through June 14, 2024
A. Expenses must be
				 paid or incurred on or after January 1, 1998, and may be only for:
1. removing architectural, communication,
				 physical, or transportation barriers;
2. providing qualified interpreters or other
				 effective methods of delivering aurally delivered materials to persons with
				 hearing impairments;
3. providing
				 readers, tapes or other effective means of making visually delivered materials
				 available to persons with visual impairments;
4. providing job coaches or other effective
				 methods of supporting workers with severe impairments in competitive
				 employment;
5. providing
				 specialized transportation services to employees or customers with mobility
				 impairments;
6. buying or modifying
				 equipment for persons with disabilities; and
7. providing similar services, modifications,
				 materials or equipment for persons with disabilities.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 20 - TAX CREDITS/DEDUCTIONS › Part 16 - Disabled Access Credit for Small Businesses (280-RICR-20-20-16) › Section 280-RICR-20-20-16.4 - Limitations and Miscellaneous

Current through June 14, 2024
A. The credit
				 cannot reduce the small business' tax for that tax year below the minimum for
				 the chapter under which the business is filing.
B. The credit is not refundable and any
				 amount of credit not used may not be carried over to any subsequent
				 year.
C. If the small business is
				 included in a consolidated return, the credit is allowed against the tax of
				 only the corporation which qualifies for the credit and will not be allowed
				 against the tax of other corporations that may join in the filing of a
				 consolidated state tax return with the small business.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 25 - Business Corporation Tax › Part 1 - Amended Returns (280-RICR-20-25-1) › Section 280-RICR-20-25-1.1 - Purpose

Current through June 14, 2024
These rules implement R.I. Gen. Laws Chapter 44-11 with
					 regard to filing amended returns.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 25 - Business Corporation Tax › Part 1 - Amended Returns (280-RICR-20-25-1) › Section 280-RICR-20-25-1.2 - Authority

Current through June 14, 2024
These rules and regulations are promulgated by the Rhode
					 Island Division of Taxation pursuant to R.I. Gen. Laws §§
										44-1-4 and
					  44-11-9.
					 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 25 - Business Corporation Tax › Part 1 - Amended Returns (280-RICR-20-25-1) › Section 280-RICR-20-25-1.3 - Application

Current through June 14, 2024
The terms and provisions of these rules and regulations
					 shall be liberally construed to permit the Rhode Island Division of Taxation to
					 effectuate the purposes of R.I. Gen. Laws Chapter 44-11 and other applicable
					 state laws and regulations.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 25 - Business Corporation Tax › Part 1 - Amended Returns (280-RICR-20-25-1) › Section 280-RICR-20-25-1.4 - 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 25 - Business Corporation Tax › Part 1 - Amended Returns (280-RICR-20-25-1) › Section 280-RICR-20-25-1.5 - When to File a Claim for Refund

Current through June 14, 2024
A. Corporate
				 Tax
1. A refund claim may be filed at any
				 time within three (3) years after the tax has been paid or within three (3)
				 years after receiving notice of change or correction of taxable income by the
				 Federal Government.
2. If the
				 refund claim is attributable to a "net operating loss carryback" or a "net
				 capital loss carryback," the refund may be claimed within three (3) years of
				 the due date of the original return.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 25 - Business Corporation Tax › Part 1 - Amended Returns (280-RICR-20-25-1) › Section 280-RICR-20-25-1.6 - Forms to be Used

Current through June 14, 2024
A. Applicable Forms
				 Based on Entity Tax Type
1. Table
Entity Tax Type
Form
Business Corporation Tax
RI-1120C, RI1120S, RI-1065
Insurance Companies Tax
T-71
Public Service Corporation Tax
T-72
Bank Excise Tax
T-74
Bank Deposits Tax
T-86
2.
				 All changes by the Federal Government must be reported on a fully completed
				 amended return using the applicable Form as indicated in the table in §
											1.6(A)(1)     of
				 this Part according to entity tax type and checking the "Amended" checkbox for
				 each year of change.
a. Interest is to be
				 calculated at each respective year's rate
b. A copy of the document evidencing the
				 final federal change, such as Federal Form 4549, Form 870, a Decision of the
				 United States Tax Court, or similar documents, must accompany the amended Rhode
				 Island return for each year.
c.
				 Taxpayers must remit the total tax and interest with the amended Rhode Island
				 return filing.
3. These
				 Forms are to be used to claim refunds or to increase tax resulting from all
				 matters, other than a change made by the Federal Government, and must be
				 reported on a fully completed amended return using the applicable Form as
				 indicated in the table in §
											1.6(A)(1)     of
				 this Part and checking the "Amended" checkbox for each year of change.
a. Taxpayers must include a copy of the
				 Federal 1139 or 1120X whichever was submitted to IRS if relating to a taxable
				 income change, to a net operating loss or to a net capital loss
				 carryback.
b. Taxpayers must
				 include a copy of the front page of the original Rhode Island return filed for
				 year being amended. This page should also include any adjustments made by this
				 Division.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 25 - Business Corporation Tax › Part 1 - Amended Returns (280-RICR-20-25-1) › Section 280-RICR-20-25-1.7 - Credits

Current through June 14, 2024
Credits should be examined when filing amended returns. It
					 is possible that an amendment may alter the original computation of the
					 available credits.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 25 - Business Corporation Tax › Part 2 - Rhode Island Jobs Development Act (280-RICR-20-25-2) › Section 280-RICR-20-25-2.1 - Purpose

Current through June 14, 2024
These rules and regulations implement R.I. Gen. Laws
					 Chapter 42-64.5. This Chapter grants incremental income tax rate reductions to
					 companies that create new employment in this state.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 25 - Business Corporation Tax › Part 2 - Rhode Island Jobs Development Act (280-RICR-20-25-2) › Section 280-RICR-20-25-2.2 - 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 25 - Business Corporation Tax › Part 2 - Rhode Island Jobs Development Act (280-RICR-20-25-2) › Section 280-RICR-20-25-2.3 - Application

Current through June 14, 2024
These rules and regulations shall be liberally construed
					 so as to permit the Division of Taxation to effectuate the purpose of R.I. Gen.
					 Laws Chapter 42-64.5 and other applicable state laws and
					 regulations.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 25 - Business Corporation Tax › Part 2 - Rhode Island Jobs Development Act (280-RICR-20-25-2) › Section 280-RICR-20-25-2.4 - 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 thereby.
Rhode Island Code of Regulations › Title 280 - Department of Revenue › Chapter 20 - Division of Taxation › Subchapter 25 - Business Corporation Tax › Part 2 - Rhode Island Jobs Development Act (280-RICR-20-25-2) › Section 280-RICR-20-25-2.5 - Definitions

Current through June 14, 2024
A. "Adjusted current employment" means for
				 any taxable year ending on or after July 1, 1995, the aggregate of the average
				 daily number of full-time equivalent active employees employed within the state
				 by an eligible company and its eligible subsidiaries during such taxable
				 year.
B. "Affiliated entity" means
				 any corporation owned or controlled by the same persons or shareholders who own
				 or control an eligible company.
C.
				 "Average daily number or full time equivalent active employees within this
				 state" means a fraction of which the numerator is the sum of the number of full
				 time equivalent Employees for each business day and the denominator is the
				 number of business days.
D. "Base
				 employment" means the aggregate number of full-time equivalent active employees
				 employed within the State by an eligible company and its eligible subsidiaries
				 on July 1, 1994, or at the election of the eligible company, on July 1 of any
				 year subsequent to 1994; provided, however, that an eligible company that is a
				 telecommunication company shall determine its base employment on either July 1,
				 2001 or July 1, 2002; and provided, further, that an eligible company may not
				 use July 1, 2003 or any subsequent date to determine its base employment unless
				 a determination has been made by the board of directors of the Rhode Island
				 Economic Development Corporation that:
1. but
				 for the incentives available under the law the company is not likely to retain,
				 expand, or add employment in this state; and
2. that the company has provided reasonable
				 evidence supporting a finding that the jobs retained, expanded, or added will
				 generate new tax revenue for the state that is at least equivalent to the value
				 of this incentive.