Do I Owe Rhode Island Use Tax?

If you purchased items to be used or consumed in Rhode Island but did not pay sales tax on those items, you must pay Use Tax to Rhode Island. Examples of purchases where sales tax may not be collected are those made via the internet, mail order catalog or out-of-state.

What is the Use Tax rate?

The Rhode Island consumer use tax rate is 7%, which is the same rate as the state sales tax. According to the Rhode Island instructions, "when reporting the amount of use tax obligation on the Rhode Island personal income return, the taxpayer shall list either the actual amount of use tax or an amount using a lookup table established by the tax administrator." The Rhode Island use tax lookup table is also a "Safe Harbor" option to use rather than listing the exact price paid. For step-by-step instructions in computing your Use Tax due, please click here.

Program Entry

To enter the "Actual" Use Tax due within your account, please follow the steps below:

1. State Section
2. Edit Rhode Island state return
3. Use Tax
4. Option 1 - Actual Use Tax Due

To enter the Use Tax due using the "Tax Lookup Table", please follow the steps below:

1. State Section
2. Edit Rhode Island state return
3. Use Tax
4. Rhode Island Use Tax Lookup Table

Additional Information

Rhode Island Instructions