2012 -- H 7643

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LC01268

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STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2012

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A N A C T

RELATING TO TAXATION -- TAXATION OF INSURANCE COMPANIES

     Introduced By: Representative Daniel P. Gordon

     Date Introduced: February 16, 2012

     Referred To: House Finance

It is enacted by the General Assembly as follows:

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     SECTION 1. Section 44-17-1 of the General Laws in Chapter 44-17 entitled "Taxation of

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Insurance Companies" is hereby amended to read as follows:

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     44-17-1. Companies required to file -- Payment of tax -- Retaliatory rates. [Effective

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January 1, 2011.] -- Every domestic, foreign, or alien insurance company, mutual association,

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organization, or other insurer, including any health maintenance organization, as defined in

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section 27-41-1, any medical malpractice insurance joint underwriters association as defined in

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section 42-14.1-1, any nonprofit dental service corporation as defined in section 27-20.1-2 and

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any nonprofit hospital or medical service corporation, as defined in chapters 27-19 and 27-20,

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except companies mentioned in section 44-17-6, and organizations defined in section 27-25-1,

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transacting business in this state, shall, on or before March 1 in each year, file with the tax

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administrator, in the form that he or she may prescribe, a return under oath or affirmation signed

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by a duly authorized officer or agent of the company, containing information that may be deemed

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necessary for the determination of the tax imposed by this chapter, and shall at the same time pay

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an annual tax to the tax administrator of two percent (2%) of the gross premiums on contracts of

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insurance, except for ocean marine insurance, as referred to in section 44-17-6, covering property

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and risks within the state, written during the calendar year ending December 31st next preceding,

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but in the case of foreign or alien companies, except as provided in section 27-2-17(d) the tax is

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not less in amount than is imposed by the laws of the state or country under which the companies

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are organized upon like companies incorporated in this state or upon its agents, if doing business

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to the same extent in the state or country.

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     SECTION 2. This act shall take effect upon passage.

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LC01268

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N A C T

RELATING TO TAXATION -- TAXATION OF INSURANCE COMPANIES

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     This act would exempt any medical malpractice insurance joint underwriters association

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from having to pay an annual tax of two percent (2%) of its gross premiums on contracts of

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insurance.

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     This act would take effect upon passage.

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LC01268

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