Rhode Island State Taxes
Quick Tax Facts
- Income Tax: 3.75% – 5.99%
- State Sales Tax: 7%
- Median Property Tax: $3,618
Overview
Rhode Island is the smallest state and one of the original U.S. colonies. Despite its small size, it has nearly 400 miles of beautiful coastline and 21 lighthouses. It’s also a melting pot of many cultures and has some of the lowest crime rates in the country. Unfortunately, its lack of land mass means higher-than-average property taxes, but the state’s income and sales taxes are more modest.
Rhode Island Income Tax
Rhode Island has a graduated income tax with three tax brackets ranging from 3.75% to 5.99%.
2023 Rhode Island Tax Rates |
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Taxable Income | Tax Rate |
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$0 – $73,450 | 3.75% |
$73,450 – $166,950 | 4.75% |
Over $166,950 | 5.99% |
Who Must File?
Every resident who is required to file a federal income tax return must file a Rhode Island income tax return (RI-1040). If a resident is not required to file a federal return but has income above their Rhode Island personal exemptions and standard deduction, they must still file a state return.
Part-Year and Nonresidents
Part-year residents must file a Rhode Island income tax return if they are required to file a federal tax return. Non-residents who have income derived from Rhode Island sources and are required to file a federal return must also file a state income tax return. Part-year and non-residents should use Form RI-1040NR.
Part-year and non-residents who are not required to file a federal income tax return may still be required to file a state return if they have state modifications that increase their federal adjusted gross income.
Rhode Island Sales Tax
Rhode Island has a state sales tax rate of 7%. No additional local sales tax is levied.
Rhode Island Property Taxes
Rhode Island property taxes are some of the highest in the United States. This is due to its lack of land mass. Property taxes help pay for many community services, such as education. Since land is limited, property taxes rates are very high to compensate for the needed revenue.
The median property tax bill in Rhode Island is approximately $3,618 (based on a median home value of $267,100). Bristol County has the highest property tax at an average of $4,477. The lowest amount is $3,380 in Providence County.
Highest | $4477 |
---|---|
Median | $3618 |
Lowest | $3380 |
Yearly Cost Per Resident
Rhode Island Tax Holidays
Although there are no sales tax holidays currently scheduled in Rhode Island, state lawmakers recently proposed an annual “Christmas in July” for the second weekend of the month. During those two days, items below $2,500 would be tax-free. There are a few exclusions, including tobacco, gas, electricity, cars, steam, and telecommunications.
Rhode Island Tax Resources
If you need assistance preparing your Rhode Island state taxes, you can speak with a tax professional from Tax Defense Network by calling 855-476-6920.
You can also visit the Rhode Island Department of Revenue website for additional resources.
- Find a Form
- Where’s My Refund
- File & Pay
- Taxpayer Assistance: 401-574-8484