2021 -- S 0358

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LC001600

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2021

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A N   A C T

RELATING TO TAXATION -- PERSONAL INCOME TAX

     Introduced By: Senator Frank A. Ciccone

     Date Introduced: February 25, 2021

     Referred To: Senate Finance

     It is enacted by the General Assembly as follows:

     SECTION 1. Section 44-30-57 of the General Laws in Chapter 44-30 entitled "Personal

Income Tax" is hereby amended to read as follows:

     44-30-57. Extensions of time.

     (a) General. Under any regulations that the tax administrator shall promulgate, the

administrator may grant a reasonable extension of time for payment of tax or estimated tax, or any

installment, or for filing any return, declaration, statement, or other required document. Except for

a taxpayer who is outside the United States, no extension for filing any return, declaration,

statement, or other document, shall exceed six (6) months.

     (b) Furnishing of security. If any extension of time is granted for payment of any amount

of tax, the tax administrator may by regulation require the taxpayer to furnish a bond or other

security in an amount not exceeding twice the amount for which the extension of time for payment

is granted.

     (c) Cross reference. See § 44-30-84 for interest provided in case of extension of time for

payment.

     (d) Reasonable estimate. An extension form filed pursuant to this section shall include a

declaration by the taxpayer estimating the reasonable amount of the Rhode Island tax due for the

taxable year. For the purposes of this section a reasonable amount shall include estimates of less

than eighty percent (80%) of the tax due for the taxable year.

     (e) In no event shall an extension be deemed void if the taxpayer has declared an estimate

of the reasonable amount of the Rhode Island tax due for the taxable year, as defined herein.

     SECTION 2. This act shall take effect upon passage.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO TAXATION -- PERSONAL INCOME TAX

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     This act would require a taxpayer requesting an extension of the time to pay Rhode Island

personal income tax or estimated tax to file a declaration by the taxpayer estimating the reasonable

amount of tax due for the taxable year. A "reasonable amount" may be less than eighty percent

(80%) of the tax due for the taxable year. An extension will not be deemed void if the taxpayer has

declared a reasonable amount of the tax due for a taxable year.

     This act would take effect upon passage.

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