Rhode Island –No Nexus for Remote Work, Equipment in State (ADV 2020-24)


ADVISORY FOR TAX PROFESSIONALS 

Direct from the Rhode Island Department of Revenue Division of Taxation:

 May 28, 2020

“For the duration of Rhode Island’s coronavirus state of emergency, the Rhode Island Division of Taxation will not seek to establish nexus for Rhode Island sales and use tax purposes solely because an employee is temporarily working from home during the state of emergency, or because an employee is temporarily working from home during the state of emergency and is using property to allow the employee to work from home (e.g., computers, computer equipment, or similar property) temporarily during the state of emergency.

Put another way, the presence of one or more employees that previously worked in another state but, solely due to the state of emergency, are working remotely from Rhode Island, will not in and of itself trigger nexus for Rhode Island sales and use tax purposes. Property that is temporarily located in Rhode Island during the state of emergency solely to allow one or more employees to work from home temporarily in Rhode Island (e.g., computers, computer equipment, or similar property) during the state of emergency will not in and of itself trigger nexus for Rhode Island sales and use tax purposes.”


For more information visit: tax.ri.gov

Rhode Island Department of Revenue Division of Taxation
May 28, 2020