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Rhode Island Sales Tax

On this page you will find handy sales and use tax information about Rhode Island.

How to use this page:

We’ve pulled in the information from all our Charts for a consolidated view by state.  Here you can see the sales tax rates and if the state has remote seller nexus rules. You can also see any sales tax holidays or amnesty programs that may exist, though these do not apply to all states.

Below the chart you can find any News & Tip item we have published that relates to Rhode Island that you can filter by topic. This will help you get informed on current and past legislation that has passed in the state.

State Sales Tax Rates
State Rate

7.000%
Range of Local Rates

0%
Local Rates Apply to Use Tax

N/A
Remote Seller Nexus Rules
CLICK-THROUGH NEXUS

7/1/2009 and 8/17/2017
AFFILIATE NEXUS

8/17/2017
REPORTING REQUIREMENTS

8/17/2017 – repealed effective 7/1/2019
ECONOMIC NEXUS

8/17/2017 – register or comply with notice (through 6/30/2019)

7/1/2019 – mandatory registration
MARKETPLACE NEXUS

8/17/2017 – register or comply with notice (through 6/30/2019)

7/1/2019 – mandatory registration
Sales Tax Amnesty
Status

Inactive

Amnesty Filing Dates

December 1, 2017 - February 15, 2018

Go to Rhode Island Amnesty Page
AMNESTY INCLUSION PERIODS

Any taxable period ending on or before December 31, 2016.

TAX TYPES AND CONDITIONS

Any Rhode Island state tax. More details.
AMNESTY BENEFITS

Waiver of penalty and reduction of the applicable interest rate by 25%.

Status

Inactive

Amnesty Filing Dates

September 2, 2012 - November 15, 2012

Go to Rhode Island Amnesty Page
AMNESTY INCLUSION PERIODS

Any taxable period ending on or prior to December 31, 2011.

TAX TYPES AND CONDITIONS

All state taxes collected by the Tax Administrator.
AMNESTY BENEFITS

Penalties will be waived, interest reduced by 25%.

Administration Information
Streamlined Sales Tax Status

Full Member
NUMBER OF TAXING AUTHORITIES

1 Sales Tax Jurisdiction
HOME RULE AUTHORITIES

N/A
Sales Tax Sourcing (Intrastate)

Destination
Sales Tax Return Due Date

Monthly filers: 20th of month following reporting period; Quarterly filers: last day of month following reporting period
Exemption Information
RESALE CERTIFICATE

Rhode Island Resale Certificate
TYPES OF EXEMPTIONS

Product types of exemptions: In general, a manufacturer’s purchases of certain materials and equipment; Construction related services; Clothing and footwear are exempt up to $250 of the sales price per item

 

Entity types of exemptions: Sales to nonprofit organizations; government agencies

 

Rhode Island Exemption Certificate Forms
State Links
State Tax Web Page

Rhode Island Division of Taxation
Rate Look-Up Page
Registration Link

Register for Rhode Island Sales Tax
History & Fun Facts
HISTORY

Rhode Island first enacted sales and use tax in 1947.

 

Rhode Island became a full member of Streamlined Sales Tax on January 1, 2007.
FUN FACTS
  • After Puerto Rico (which has the highest state-level sales tax rate of 10.5%), Rhode Island is tied with several other states for the second highest state-level sales tax rate of 7%.

Congress Introduces Marketplace Fairness Act of 2017 and Remote Transactions Parity Act of 2017

Introduced on April 27, 2017, the Marketplace Fairness Act of 2017, if enacted, would authorize states meeting certain requirements to require remote sellers that do not meet a small seller exception to collect their state and local sales and use taxes.

Online Sales Simplification Act of 2016 Discussion Draft is Introduced

The proposed legislation would implement a “hybrid origin” approach for remote sales. States could impose sales tax on remote sales if the origin state participates in a clearinghouse.

Rhode Island Issues Notice Regarding Taxation of Ride Sharing Services

Rhode Island issued a notice regarding legislation that imposes sales and use tax on transportation network companies or ride sharing companies, such as Uber and Lyft, effective July 1, 2016.

No Regulation Without Representation Act of 2016 Introduced

Taking the opposite approach of the Marketplace Fairness Act and Remote Transactions Parity Act, the proposed bill would limit the ability of states to require remote sellers to collect use tax. However, the bill failed to pass.

Congress Approves Permanent Extension of Internet Tax Freedom Act

Congress approved a permanent extension of the Internet Tax Freedom Act, signed into law by the President 02/24/16. More…

Internet Tax Freedom Act Extended Through October 1, 2016

The President signed an act to extend the Internet Tax Freedom Act through 10/01/16. More…

Rhode Island Introduces Self-Audit Program

Rhode Island introduced a self-audit program for consumer’s use tax. More…

Internet Tax Freedom Act Extended Until December 11, 2015

U.S. House of Representatives passed a provision to extend the Internet Tax Freedom Act until 12/11/15. More…

House Introduces Remote Transactions Parity Act of 2015

U.S. House of Representatives introduced the Remote Transactions Parity Act of 2015 on 06/15/15. More…

Rhode Island Amends Definition of Hotel for Sales Tax and Hotel Tax Purposes

Rhode Island amended the definition of hotel for sales and hotel tax purposes, effective 07/01/15. More…

Senate Introduces Marketplace Fairness Act of 2015

On March 10, 2015, a bipartisan group of senators introduced the Marketplace Fairness Act of 2015.

Internet Tax Freedom Act Extended Until October 1, 2015, Permanent Extension Introduced

On December 16, 2014, President Barack Obama signed an act including a provision that extends the Internet Tax Freedom Act until October 1, 2015.

Internet Tax Freedom Act is Extended through December 11, 2014

President Barack Obama has signed federal legislation extending the Internet Tax Freedom Act through December 11, 2014.

SST Best Practices Matrix on Deal of the Day Vouchers

The Streamlined Sales and Use Tax (SST) Governing Board has issued a best practices matrix which provides answers to whether the state follows the best practices set forth in the SST Agreement regarding deal-of-the-day vouchers. All SST Member states are…

Rhode Island Enacts Exemptions for Art and Alcoholic Beverages

Rhode Island has enacted two new sales and use tax exemptions on art and alcoholic beverages. Effective December 1, 2013, the entire state of Rhode Island will be deemed an art district. As a result, original and creative works by…

New Federal Digital Goods and Services Bill Proposed

Representative Lamar Smith (Republican, Texas) has introduced a bill to bar multiple taxes on digital goods and services. Smith had proposed an earlier bill which failed to pass. This bill is a revised version of the earlier bill. The proposed…

Rhode Island Amends Direct Mail Sourcing Rule

Rhode Island has amended its sales and use tax regulation covering direct mail sourcing to maintain compliance with the Streamlined Sales Tax Agreement. The regulation has been amended to specify that a sale of advertising and promotional direct mail is…

Federal Government Introduces New Remote Seller Bill

The federal Marketplace Fairness Act of 2013 was introduced in the House of Representatives and the Senate on February 14, 2013.

Property Tax Included in Leased Vehicle Sales Price in Rhode Island

The sales price of motor vehicle lease payments properly included personal property tax charged to the lessee by the lessor, for Rhode Island sales and use tax purposes. Only taxes that are legally imposed on the consumer can be excluded…

Rhode Island Amends Clothing Regulation

Rhode Island has implemented statutory changes to the state’s sales and use tax regulation applicable to clothing. Effective October 1, 2012, clothing items with a sales price greater than $250 are subject to tax on the portion of the sales…

Rhode Island Enacted a Tax Amnesty Program

Rhode Island Governor Lincoln Chafee has signed a budget bill establishing a tax amnesty program applicable to all state taxes collected by the Tax Administrator. The amnesty program will run from September 2, 2012 to November 15, 2012. Amnesty will…

Rhode Island Amends its EFT Regulation

Rhode Island’s regulation relating to mandatory electronic funds transfer (EFT) payments for sales and use tax and personal income tax withholding has been amended. Beginning January 1, 2010, any person with an average monthly sales and use tax liability of…

Rhode Island Enacts its Version of the Amazon Provision Effective June 30, 2009

Rhode Island has amended it’s definition of a retailer to include a retailer who enters into an agreement with a resident, under which the resident, for a commission or other consideration, directly or indirectly refers potential customers, whether by link…

Rhode Island Regulations Amended to Conform to SST, Now Full Member

Effective January 1, 2007, numerous Rhode Island sales and use tax regulations were amended to conform to the Streamlined Sales and Use Tax Agreement. These regulations include definitions relating to drugs, medical equipment, telecommunications, and clothing. Additionally, provisions applicable to…