Newly enacted legislation (House Bill 5175) in Rhode Island imposes certain requirements on “non-collecting retailers,” “referrers,” and “retail sale facilitators.”
Beginning August 17, 2017, any non-collecting retailer, referrer, and retail sales facilitator must comply with certain reporting requirements or, in the case of a non-collecting retailer, register to collect and remit sales and use tax, if in the immediately preceding calendar year there were: (1) over $100,000 of taxable sales of tangible personal property, prewritten computer software, or taxable services delivered into Rhode Island; or (2) over 200 of such sales transactions.
The definition of non-collecting retailer is complicated and does not simply capture retailers not currently collecting and remitting Rhode Island sales and use tax.
House Bill 5175 also mandates that a tax amnesty program be established for a 75-day period ending on February 15, 2018.
Read an August 2017 report [PDF 148 KB] prepared by KPMG LLP
© 2018 KPMG LLP, a Delaware limited liability partnership and the U.S. member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.
The KPMG logo and name are trademarks of KPMG International. KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. KPMG International provides no audit or other client services. Such services are provided solely by member firms in their respective geographic areas. KPMG International and its member firms are legally distinct and separate entities. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever. The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 4366, 1801 K Street NW, Washington, DC 20006.