Budget & Taxes (Income Tax)

in committee · Rhode Island · House Feb 27, 2026

HB 8200: AN ACT RELATING TO TAXATION -- WEALTH PROCEEDS TAX

Imposes a tax equal to four percent (4%) on net investment income, such as interest, dividends, annuities, royalties, capital gains and rental income, of high-income households, estates and trusts, based upon federal guidelines.

Topics ✓ Budget & TaxesSupports Budget & TaxesImposes 4% tax on high-income investment income, increasing revenue from wealthy households and advancing fiscal management through targeted taxation.95% confidence

Sub-Topics Business Taxes Income Tax

Track

died · Rhode Island · Senate May 28, 2026

SB 2673: AN ACT RELATING TO TAXATION -- PERSONAL INCOME TAX

Provides modifications for payments of interest on student loans shall be subtracted from federal adjusted gross income to an amount equal to the payments of interest for the satisfaction of outstanding student loans.

Topics ✓ Budget & TaxesSupports Budget & TaxesAllows subtraction of student loan interest from taxable income, providing direct tax relief for individuals, aligning with tax relief indicators for middle/lower income.95% confidence

Sub-Topics Income Tax

Track

died · Rhode Island · Senate Apr 30, 2026

SB 2539: AN ACT RELATING TO TAXATION -- PERSONAL INCOME TAX

Gradually phases in modifications to federal adjusted gross income over a four (4) year period for social security income, from twenty-five percent (25%) up to one hundred percent (100%), beginning on or after January 1, 2027.

Topics ✓ Budget & TaxesSupports Budget & TaxesPhases in higher tax exemption for social security income, providing relief to recipients (typically lower income). Direct tax reduction aligning with support indicators.95% confidence

Sub-Topics Business Taxes Income Tax

Track

died · Rhode Island · Senate Apr 30, 2026

SB 2536: AN ACT RELATING TO TAXATION -- PERSONAL INCOME TAX

SB 2536 modifies Rhode Island's personal income tax code to exclude up to $25,000 of social security income from taxable income for residents. This change applies to tax years beginning on or after January 1, 2027, directly affecting Rhode Island residents receiving social security benefits. The bill amends Section 44-30-12 to add this exclusion as a modification reducing federal adjusted gross income. It does not change other tax provisions but specifically lowers taxable income for qualifying social security recipients. The bill is currently pending in the Senate Finance Committee after introduction on February 13, 2026.

Topics ✓ Budget & TaxesSupports Budget & TaxesExcludes social security income from taxable income, providing tax relief to lower/middle-income retirees, directly aligning with tax relief indicators for Budget & Taxes.95% confidence

Sub-Topics Income Tax

Track

died · Rhode Island · House May 7, 2026

HB 7805: AN ACT RELATING TO TAXATION -- PERSONAL INCOME TAX

HB 7805 establishes Rhode Island's current personal income tax structure, applying to all taxpayers with income in the state (including residents, nonresidents, estates, and trusts). It sets progressive tax rates ranging from 3.75% to 9.90% based on filing status and income levels, with specific brackets adjusted annually for inflation. The bill also includes a cap on capital gains tax rates and provisions for calculating alternative minimum tax. These changes directly affect all Rhode Island taxpayers who file state income tax returns.

Topics ✓ Budget & TaxesSupports Budget & TaxesEstablishes progressive tax rates (3.75%-9.90%) with inflation adjustments, directly governing state taxation policy per bill summary.95% confidence

Sub-Topics Income Tax

Track

died · Rhode Island · Senate Apr 30, 2026

SB 2026: AN ACT RELATING TO TAXATION -- PERSONAL INCOME TAX

SB 2026 amends Rhode Island's personal income tax code to allow residents to subtract contributions to the state's tuition savings program from their federal adjusted gross income. This deduction is capped at $500 per individual or $1,000 for joint filers, and only applies to contributions made directly by the account participant. The bill specifically excludes transfers, rollovers, or changes of beneficiary from counting toward this deduction. It directly affects Rhode Island residents who contribute to the state's tuition savings program (Section 16-57-6.1), providing a limited tax benefit for education savings. The policy change would take effect for tax years beginning January 1, 2027.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides tax relief via personal income tax deduction for tuition savings contributions, reducing taxable income for eligible residents.90% confidence ✓ EducationSupports EducationProvides tax deduction for tuition savings program contributions, supporting higher education affordability and access by incentivizing college savings.95% confidence

Sub-Topics Income Tax Higher Education

Track

died · Rhode Island · House Apr 16, 2026

HB 7162: AN ACT RELATING TO TAXATION -- PERSONAL INCOME TAX

HB 7162 would modify Rhode Island's personal income tax calculation by allowing the exclusion of public pension benefits administered by the Employees Retirement System from federal adjusted gross income. This change directly affects state and local government retirees who receive pensions through the Employees Retirement System. The key provision adjusts how these pension payments are treated for tax purposes, effectively reducing taxable income for eligible recipients. The bill is currently pending in the House Finance Committee after its January 16, 2026, introduction.

Topics ✓ Budget & TaxesSupports Budget & TaxesExcludes public pension benefits from taxable income, providing tax relief to state/local retirees and reducing their tax burden.95% confidence

Sub-Topics Income Tax Pensions

Track

died · Rhode Island · Senate May 28, 2026

SB 2364: AN ACT RELATING TO TAXATION -- PERSONAL INCOME TAX

SB 2364 raises Rhode Island's earned-income tax credit (EITC) percentage from its current rate to 30% for tax years beginning in 2027 and later. This change directly benefits low-to-moderate income workers and families who qualify for the EITC, particularly those with children. The bill amends Section 44-30-2.6 of Rhode Island's tax code to implement this increase, which will reduce the tax burden for eligible filers. The adjustment applies to the credit amount calculated based on federal income tax returns, not to overall tax rates. This policy change is effective starting in 2027.

Topics ✓ Budget & TaxesSupports Budget & TaxesIncreases EITC percentage to 30% for low/mid-income earners, reducing tax burden and providing direct relief per tax code amendment.95% confidence ✓ Labor & EmploymentSupports Labor & EmploymentIncreases EITC to 30%, directly boosting income for low-to-moderate wage workers and families with children, aligning with expanded worker benefits.95% confidence

Sub-Topics Income Tax Tax Credits

Track

died · Rhode Island · Senate Feb 10, 2026

SB 2366: AN ACT RELATING TO TAXATION -- PERSONAL INCOME TAX

SB 2366 amends Rhode Island's personal income tax code to modify how tuition savings program contributions are treated for tax purposes. It allows taxpayers to subtract up to $500 ($1,000 for joint returns) annually from federal adjusted gross income for contributions made to Rhode Island's tuition savings program, with specific restrictions on what qualifies as a deductible contribution. This affects residents using the tuition savings program who claim tax deductions for contributions. The bill also clarifies rules for nonqualified withdrawals from these accounts and their tax treatment. The changes apply to tax years beginning on or after January 1, 2026.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides tax deduction for tuition savings contributions, offering tax relief to residents and modifying tax treatment per bill's explicit purpose.95% confidence ✓ EducationSupports EducationAllows tax deductions for tuition savings program contributions, increasing accessibility to higher education funding through tax incentives.92% confidence

Sub-Topics Income Tax Higher Education

Track

died · Rhode Island · Senate May 28, 2026

SB 2227: AN ACT RELATING TO TAXATION -- PERSONAL INCOME TAX

SB 2227 amends Rhode Island's personal income tax code to clarify how withdrawals from the state's tuition savings program are treated for tax purposes. Specifically, it modifies the calculation of taxable income for nonqualified withdrawals (those not used for eligible education expenses) by adding back certain amounts to federal adjusted gross income. This affects residents who use Rhode Island's tuition savings program (§ 16-57-6.1) and make nonqualified withdrawals. The bill does not address foreign service pensions as mentioned in the abstract; the actual provisions focus solely on tuition savings program tax treatment. The changes apply to taxable years beginning on or after January 1, 2020.

Topics ✓ Budget & TaxesSupports Budget & TaxesClarifies tax treatment for nonqualified tuition savings withdrawals, closing a potential loophole to ensure proper taxation and fiscal responsibility.95% confidence

Sub-Topics Income Tax Pensions

Track