Rhode Island – Taxable Transportation Services

SALT Report 1691 – The Rhode Island Division of Taxation issued a notice regarding taxicab, limousine, charter bus, and other types of transportation services.  Effective October 1, 2012 Rhode Island’s 7% sales and use tax will be imposed on the gross receipts derived from sales of taxicab and limousine services.

These services include but are not limited to:

  • Taxicab services and taxi dispatchers
  • Limousine services
  • Charter bus services, and
  • All other transit and ground passenger transportation
Additionally, any person or entity engaged in any of the above services will be considered a retailer and will be required to register with the Rhode Island Division of Taxation, obtain a sales tax permit, and collect and remit sales and use tax.

For Further Information:

Rhode Island Division of Taxation – Notice 2012-08