Rhode Island – Annual Reconciliations, Returns, and Payments

SALT Report 1356 – Due to many changes, the Rhode Island Division of Taxation has issued an advisory regarding annual sales and use tax reconciliations, returns, and payments. The advisory was issued at the request of retailers and their tax advisers.

Payments and Returns

There is no change to the schedule for making sales and use tax payments and for filing sales and use tax returns.  If you are a quarterly filer, for example, you will still file your quarterly sales tax return and make your quarterly sales tax payment. The deadline for your fourth quarter payment and quarterly sales tax return is January 31, 2012. If you’re a monthly filer, December’s payment and return are due January 20, 2012.

Reconciliations

The sales and use tax reconciliation is separate from your quarterly or monthly sales and use tax return. There is a change involving reconciliation. Under the old system, the reconciliation was done quarterly. But the Tax Division now requires an annual reconciliation.  If you held a Rhode Island sales tax permit in 2011, you must make that detailed sales tax accounting – the reconciliation – by January 31, 2012.

New e-File Option

You now have the option to file your annual reconciliation electronically instead of on paper.  The online filing feature is available to any retailer currently registered to make electronic payment of sales and use tax through ACH debit.

For Further Information:

Rhode Island Division of Taxation – Advisory: Sales Tax Filing and Reconciliation