The last budged crafted by former Gov. Lincoln Chafee’s administration and the General Assembly seems to be holding up fairly well, according to the latest revenue assessment by the Rhode Island Department of Revenue.
The official state bean-counters say that adjusted total general revenues are up about $61 million more than expected in the current budget year, which ends on June 30. This is good news for a state that has been slowly emerging from the recession.
The 2.6 percent increase in revenues is fueled by increases in the personal income tax and the corporate tax.
If you are a aficionado of wine and works of art, you’ll be pleased that beginning Sunday you’ll get a sales tax break. This means that if you purchase win and spirits from a Rhode Island liquor store, you will not have to pay the state’s 7 percent sales tax.
And if you buy original works of art or limited edition art works anywhere in the Ocean State, the 7 percent sales tax is waived.
These tax breaks are the result of action taken by the 2013 General Assembly and signed into law by Gov. Lincoln Chafee.
The Rhode Island Division of Taxation held a drawing Tuesday to award just $35 million in state historic tax credits. The General Assembly voted earlier this year to reopen the historic tax credit program.
The Division of Taxation used a drawing to pick who would get the tax credits since demand outstripped supply. State Tax Administrator David Sullivan says the recipients comprise a variety of projects expected to boost the economy.
Rhode Island’s top tax official says more people are filing their returns electronically than ever before. The wait time for a refund may have something to do with it. E-filed returns are running four percent higher than last year. State tax administrator David Sullivan says by the time the tax season’s over, eighty percent of the state’s taxpayers will have filed electronically.