2024 -- H 7478

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2024

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A N   A C T

RELATING TO TAXATION -- RHODE ISLAND NEW QUALIFIED JOBS INCENTIVE ACT

2015

     Introduced By: Representatives Solomon, and Casey

     Date Introduced: February 02, 2024

     Referred To: House Finance

     (Executive Office of Commerce)

It is enacted by the General Assembly as follows:

     SECTION 1. Section 44-48.3-7 of the General Laws in Chapter 44-48.3 entitled "Rhode

Island New Qualified Jobs Incentive Act 2015" is hereby amended to read as follows:

     44-48.3-7. Documentation.

     (a) A business shall submit documentation:

     (1) Indicating indicating that it has met the employment requirements specified in the

incentive agreement for certification of its tax credit amount within three (3) years following the

date of approval of its application by the commerce corporation.; or

     (2) Waiving tax credits in the first year of its eligibility under the program created by this

chapter.

     The commerce corporation, after a finding of good cause, may grant two (2) six (6) month

extensions of this deadline. In no event shall the incentive effective date occur later than four (4)

years following the date of approval of an application by the commerce corporation.

     (b) Full-time employment for an accounting or privilege period shall be determined as the

average of the monthly full-time employment for the period.

     (c) In conducting its annual review of a business, the commerce corporation may require a

business to submit any information determined by the commerce corporation to be necessary and

relevant to its review.

     (d) The credit amount for any tax period for which the documentation of a business’s credit

amount remains uncertified as of a date one year after the closing date of that period shall be

forfeited, although credit amounts for the remainder of the years of the eligibility period shall

remain available to the business.

     (e) A business that was approved for tax credits under the program created by this chapter

prior to January 1, 2022, and was unable to meet its employment commitments as a result of the

global pandemic caused by COVID-19 as determined by the commerce corporation, may re-apply

for tax credits to the commerce corporation without consideration of its pre-pandemic employment

levels.

     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 -- RHODE ISLAND NEW QUALIFIED JOBS INCENTIVE ACT

2015

***

     This act would provide that a business that is unable to meet its first year employment level

under the qualified jobs tax credit program established by chapter 48.3 of title 44 would not lose

eligibility for tax credits in the remaining years of an award under the program and also would

provide a procedure for businesses that were approved under the tax credit program prior to January

1, 2022, and unable to meet employment commitments as a result of the global pandemic caused

by COVID-19, to reapply for tax credits to the commerce corporation.

     This act would take effect upon passage.

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