UPDATE: Licensing and enforcement of ENDS products On December 19, 2024, the United States District Court for the District of Rhode Island denied an injunction sought by plaintiffs to enjoin the flavored ENDS ban. At this time, the flavored ENDS ban will be enforceable on its effective date of January 1, 2025.Licensing and enforcement of Electronic Nicotine-Delivery System (ENDS) products, also known as ecigarettes or vapes, are being transitioned to the Rhode Island Division of Taxation. For more information, please see the Division’s Notice and/or visit the ENDS tax webpage.
Corporate In accordance with changes signed into law in June of 2022, a larger business registrant will be required to use electronic means to file returns and remit taxes to the State of Rhode Island for tax periods beginning on or after January 1, 2023. Visit our Electronic Filing Mandate page for more information on this requirement. Generally, all corporations operating in Rhode Island, both foreign and domestic, need to pay corporate tax. Below you will find information regarding Corporate Taxes. You may also visit our main Corporate Taxes Page. Who must file and pay Corporation Tax? Every business corporation, joint stock company or association exercising corporation functions or otherwise doing business in this state is required to file an annual tax return using Form RI-1120C and is subject to the income tax (minimum $400.00) under R.I. Gen. Laws § 44-11-2. S Corporations A small business corporation having an election in effect under subchapter S of the Internal Revenue Code is required to file an annual tax return using Form RI-1120S and is subject to the income tax (minimum $400.00). If a subchapter S corporation is taxable for federal purposes, it must attach RI Schedule S and compute and pay any tax due at the 7% tax rate. LLCs, LLPs, LPs, Partnerships and SMLLCs Limited liability companies not treated as a corporation on the federal level, limited liability partnerships, limited partnerships, general partnerships, and single member limited liability companies are required to file an annual tax return using Form RI-1065. Such entities, with the exception of general partnerships, shall be subject to an annual fee equal to the minimum tax imposed upon a corporation under R.I. Gen. Laws § 44-11-2(e). See Rhode Island Regulations 280-RICR-20-25-7 and 280-RICR-20-25-6 for more information Pass-through Withholding Requirements Pass-Through Entities, such as “S” corporations, general partnerships, limited partnerships, limited liability partnerships, trusts, or limited liability companies that are not taxed as corporations for federal tax purposes are required to withhold from the member’s share of income of the entity which is derived from or attributable to sources within Rhode Island distributed to each nonresident member and pay the withheld amount to the Division of Taxation at either the highest individual rate or seven percent (7%) for corporations. Rate of Tax Seven percent (7%) of net income apportioned to Rhode Island; or a minimum of $400.00, whichever amount shall yield the greatest tax. Limited liability companies not treated as a corporation on the federal level, limited liability partnerships, limited partnerships, and single member limited liability companies shall pay an annual charge equal to the minimum tax imposed upon a corporation under R.I. Gen. Laws § 44-11-2(e). When is Corporate Tax Due? Form RI-1120C: For calendar year and non-June 30 fiscal year end filers, Form RI-1120C is due on or before the fifteenth day of the fourth month following the close of the taxable year. For June 30 fiscal year end filers, Form RI-1120C is due on or before the fifteenth day of the third month following the close of the taxable year (September 15). Form RI-1065 and RI-1120S: For all filers except for single-member LLC filers, Forms RI-1065 and RI-1120S are due on or before the fifteenth day of the third month following the close of the taxable year. For calendar year and non-June 30 fiscal year end single-member LLC filers, Form RI-1065 is due on or before the fifteenth day of the fourth month following the close of the taxable year. For all June 30 fiscal year end filers, Forms RI-1065 and RI-1120S are due on or before the fifteenth day of the third month following the close of the taxable year (September 15). How do I file and pay Corporate Tax? You can make payments via the Tax Division’s portal: Tax Portal: https://taxportal.ri.gov You may file your return electronically using an approved software vendor product or Mail: Complete the form and send in with payment to: RI Division of Taxation One Capitol Hill – Suite 4 Providence, RI 02908-5802