Deloitte
Multistate Tax  |  May 21, 2021
Global InSight
State Tax Matters
The power of knowing.
 

Print Facebook Twitter Linkedin

Income/Franchise:
Rhode Island: Duration of Emergency Withholding Rules for Pandemic-Related Telecommuting Extended

Regulation 280-RICR-20-55-14 “Withholding for Employees Working Remotely During the COVID-19 State of Emergency,”, R.I. Div. of Tax. (5/21). Once again, the Rhode Island Division of Taxation (Division) extended the duration of its emergency regulation that first came into effect on May 23, 2020, and which provides tax withholding guidance for employers that have employees who are temporarily working remotely due to the COVID-19 pandemic, through to July 17, 2021 (originally, this emergency regulation was scheduled to expire on November 18, 2020, and subsequently was extended through to January 18, 2021, then March 19, 2021, and then May 18, 2021). According to the Division’s corresponding advisory guidance [see Advisory 2020-22 (5/26/20)], this emergency regulation “temporarily simplifies the tax withholding process with regard to remote working.” Under the emergency regulation, the income of employees who are nonresidents temporarily working outside of Rhode Island solely due to the pandemic generally will continue to be treated as Rhode Island-source income for Rhode Island withholding tax purposes. Additionally, under the emergency regulation, Rhode Island generally will not require employers located outside of Rhode Island to withhold Rhode Island income taxes from the wages of employees who are Rhode Island residents temporarily working within Rhode Island solely due to the COVID-19 pandemic.

 

Note that the Division previously issued guidance on the effect of COVID-19 pandemic-related telecommuting on nexus for Rhode Island corporate income and sales and use tax purposes [see Advisory 2020-24 (5/28/20), and State Tax Matters, Issue 2020-22, for more details on this guidance] – generally providing that “for the duration of Rhode Island’s coronavirus state of emergency,” it will not seek to establish nexus for Rhode Island corporate income or sales and use tax purposes solely because an employee is temporarily working from home during the state of emergency, or because an employee is temporarily working from home during the state of emergency and is using property to allow the employee to work from home (e.g., computers, computer equipment, or similar property) temporarily during the state of emergency. Please contact us with any questions.

 

—

Mike Degulis (Boston)

Principal

Deloitte Tax LLP

Zsuzsanna Goodman (Boston)

Senior Manager

Deloitte Tax LLP



Back to top
 
In this issue

Article
GILTI High-Tax Exclusion: Impact on State Taxes

Administrative
Pennsylvania DOR Extends Voluntary Compliance Program for Retailers with In-State Inventory

Income/Franchise
Alabama: New Law Includes Credits for Owners of Passthroughs Electing Entity-Level Taxation

California FTB Issues Another Round of Draft Market-Sourcing Rule Changes with 6th IPM on June 4

Indiana Tax Court Says Company’s Receipts are Derived from Services for Sourcing Purposes

Kansas: New Law Includes Withholding Option for Businesses with Pandemic-Related Telecommuters

New Jersey: Notice Summarizes Instances When Combined Groups Must File Short Period Returns

Rhode Island: Duration of Emergency Withholding Rules for Pandemic-Related Telecommuting Extended

South Carolina: New Law Provides for Elective Passthrough Entity-Level Taxation

South Carolina: New Law Updates State Conformity to Internal Revenue Code

Vermont: US Supreme Court Denies Review of Case Allocating Capital Gain to Commercial Domicile

Gross Receipts/Other Miscellaneous
Nevada High Court Says 2019 Law Changes Impacting Modified Business Tax Rates are Invalid

Sales/Use
Florida DOR Issues Implementation Guidance on New Remote Seller and Marketplace Provider Law

Missouri: Pending Bill Imposes Economic Nexus on Some Remote Sellers and Marketplace Facilitators

Tennessee: New Law Allows Some Customers to File Sales Tax Refund Claims Directly with DOR

Washington DOR Addresses Taxability of Food Delivery Services Involving Online Marketplaces

Multistate Tax Alerts



Helpful resources

Visit Deloitte.com

State tax Matters archive

Multistate Tax Alert archive

Read Accounting for Income Taxes

Join Dbriefs

Follow us on Twitter
Get the Tax@hand mobile app



Have a question?

If you have needs specifically related to this newsletter's content, send us an email to have a Deloitte Tax professional contact you.
 

Deloitte.com  | Manage email preferences  |  Legal  |  Privacy

30 Rockefeller Plaza
New York, NY 10112-0015
United States

About Deloitte
Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited, a UK private company limited by guarantee (“DTTL”), its network of member firms, and their related entities. DTTL and each of its member firms are legally separate and independent entities. DTTL (also referred to as “Deloitte Global”) does not provide services to clients. In the United States, Deloitte refers to one or more of the US member firms of DTTL, their related entities that operate using the “Deloitte” name in the United States and their respective affiliates. Certain services may not be available to attest clients under the rules and regulations of public accounting. Please see www.deloitte.com/about to learn more about our global network of member firms.

Copyright © 2021 Deloitte Development LLC. All rights reserved.
36 USC 220506



Facebook Twitter Linkedin Google Plus Email