Rhode Island Rules on Estimated Tax Payments, Pass-Through Entities, Good Standing Letters Revised, Adopted

The Rhode Island Division of Taxation has revised and adopted several rules dealing with corporate income tax, franchise tax, and gross premiums tax estimated payments, pass-through entities and letters of good standing.

The estimated tax payment rule (CT 12-10) is reorganized to clarify due dates and the forms used to make payments under various business taxes. The rule supersedes CT 01-10.

A rule about limited liability companies (CT 12-14) clarifies the filing requirements for the LLC and its members. It also incorporates information from a bulletin regarding pass-through entity withholding requirements. The rule supersedes CT 98-14.

The limited liability partnership and limited partnership rule (CT 12-16) implements the law that imposes a filing requirement on partnerships and their partners as well as charges an annual fee equal to the minimum tax on corporations. [M&Q Note: This requirement was added as part of last year’s budget bill.]

A rule about letters of good standing (CT 12-03) is revised to implement a law that requires corporations to notify the tax administrator if they are selling or transferring a major part of the value of Rhode Island assets other than in the ordinary course of business. The filing requirement for a letter of good standing is the proper method for notification. The rule supersedes CT 03-03.

Regulations CT 12-03, CT 12-10, CT 12-14, and CT 12-16 are effective July 1, 2012.

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