Rhode Island 2012 Tax Amnesty Nets $17 Million
- Sales Tax News
- Dec 6, 2012 | Gail Cole
The Rhode Island Division of Taxation ran a Tax Amnesty Program from September 2, 2012 through November 15, 2012. On December 5, the division announced that $17 million was generated by the amnesty program.
In announcing the Tax Amnesty program, Rhode Island Governor Lincoln D. Chafee (Independent) said,
"We've just been through one of the most punishing recessions since the Great Depression. … Some businesses and individuals fell behind on their taxes… . For them, ... this is a perfect time to pay what they owe and get a fresh start."
The amnesty applied to personal income tax, corporate income tax, sales and use tax, and employer taxes.
According to the Rhode Island Division of Taxation website, the program allowed:
"certain taxpayers to pay the full amount of overdue taxes plus seventy-five percent of any interest due, without having to pay the remaining interest and any penalty amounts due and without being subject to any other civil or criminal penalties."
Compelling motivation for some, to be sure.
Records from the Tax Division reveal that "about $122 million in delinquent taxes" were owed to the state prior to the Amnesty program. The $17 million collected takes a respectable bite out of that. Revenue from the amnesty program could still increase a bit after "final payments are added."