HB 7241 establishes a state tax credit for Rhode Island residents who provide unpaid care to qualifying family members. It allows eligible caregivers (earning under $50,000 individually or $100,000 jointly) to claim a 50% credit on out-of-pocket expenses for caregiving, capped at $1,000 annually. Eligible expenses include home modifications, medical equipment, hiring aides, or respite care, but exclude insurance-covered costs or general home maintenance. The credit applies to expenses incurred after 2026 for family members aged 65+ or with disability benefits who live with the caregiver and need help with at least two basic self-care tasks (like bathing or dressing).
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.
Gradually phases in modifications to federal adjusted gross income over a five (5) year period for social security income, from twenty percent (20%) up to one hundred percent (100%), beginning on or after January 1, 2027.
HB 7313 creates a new 3% tax rate on Rhode Island taxable income exceeding $640,000 (adjusted for inflation in 2026 dollars) for tax years beginning in 2027 and later. This applies specifically to high-income earners, including individuals, estates, and trusts with annual income above this threshold. The bill amends existing tax code to add this rate to the current progressive brackets, which already include rates up to 9.9% for income over $349,700. It does not affect past tax years and will be adjusted for inflation annually as required by law.
SB 2246 establishes a Rhode Island tax credit to help unpaid family caregivers offset out-of-pocket costs for caring for eligible relatives. It provides a 50% credit (up to $1,000 annually) for qualifying expenses like home modifications, medical equipment, hired aides, respite care, or adult day care, directly benefiting caregivers with household incomes under $50,000 ($100,000 for couples). To qualify, the caregiver must provide unpaid support for a relative aged 65+ or with Social Security Disability, who needs assistance with at least two daily living tasks (e.g., bathing, feeding) and resides with them in Rhode Island for six+ months. The credit applies to taxable years starting after December 31, 2026, and excludes costs covered by insurance or general home maintenance.
SB 2238 creates a new 3% tax rate on Rhode Island taxable income exceeding $640,000 (in 2026 dollars) for tax years beginning in 2027 and later. This additional tax applies only to high-income earners - specifically, individuals with taxable income above this threshold - and does not affect prior tax years. The bill does not change existing tax rates for lower income levels, targeting only the highest earners in the state. It is a concrete policy change that increases tax liability for a specific income bracket starting in 2027.
SB 2021 creates a temporary tax exemption for small Bitcoin transactions in Rhode Island. It exempts individuals and Rhode Island-based businesses from state income tax on Bitcoin sales or exchanges totaling $5,000 or less per month, or $20,000 or less annually. Taxpayers must self-certify eligibility on their annual tax return and maintain records to verify they stayed within the limits, but do not need to report each transaction individually. The exemption applies only to transactions within the state and expires on January 1, 2028.
This bill amends Rhode Island's personal income tax code to remove the age limit for modifying Social Security income, allowing residents of all ages to exclude these funds from their taxable income. The legislation also updates tax calculations to include new federal provisions, such as taxing forgiven Paycheck Protection Program loans over $250,000 and adjusting how tuition savings program withdrawals are handled. By aligning state tax rules with recent federal changes, the bill ensures that residents pay state taxes on income that is no longer exempt under federal law.
SB 2228 modifies Rhode Island's personal income tax code to adjust how social security income is treated for tax purposes. Starting with tax years beginning January 1, 2027, the bill allows a modification to federal adjusted gross income specifically for all social security benefits received by residents. This change directly affects Rhode Island residents who receive Social Security payments, as it alters how those benefits are counted toward their state taxable income. The bill does not change the federal tax treatment of social security benefits but adjusts the state-level calculation. The provision is part of broader tax code amendments but focuses specifically on social security income for state tax computation.
