RI New Legislation – Gentile Stephen T CPA
The new legislation amends the state’s Business Corporation Tax by adding an elective pass-through entity-level tax effective for tax years on or after January 1, 2019. Entities now may elect to be taxed at the entity level. A qualifying pass-through entity includes a corporation, that is an S corporation or general partnership, limited partnership, limited liability partnership, trust, limited liability company or certain unincorporated sole proprietorships.
The pass-through entity may elect to pay the state tax at the entity level at a rate of 5.99%. This election would replace the payments required for nonresident withholding.
The amount of the entity level tax paid will be allowed as a credit on the owner’s tax return.
The entity level tax will be a RI modification increase.
Read more about Stephen Gentile.
Gentile Stephen T CPA
109 Airport Rd, Warwick, RI 02889