Posted by: Providence Chamber of Commerce | September 30, 2011

Sales Tax Advisory – Changes to take effect tomorrow

Changes to the Rhode Island sales tax will take effect tomorrow. Starting October 1, 2011, the state’s 7 percent sales and use tax will officially apply to all of the following:

over-the-counter drugs (also known as non-prescription drugs);

computer software downloads – including smartphone apps; and

certain package tours and scenic and sightseeing transportation services.

Retailers or others who must begin collecting and remitting Rhode Island sales tax because of the changes need to complete and file the state’s business application and registration form to obtain a sales tax permit.  Businesses or others with questions about the changes may call the Tax Division’s excise tax section at (401) 574-8955.



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