The bill introduces amendments to the Rhode Island General Laws, specifically targeting the Rhode Island Business Corporation Act and the Rhode Island Limited Liability Company Act. It broadens the grounds for the Secretary of State to revoke the articles of incorporation or certificate of authority of corporations and foreign corporations by removing the word "corporate" before "fees or taxes," thus including any fees or taxes owed to the state. The bill also changes the process for compiling a list of limited liability companies that have not paid state fees and/or taxes and outlines the notice requirements for revocation, which includes a 60-day notice period and alternative procedures if mail is undeliverable. Additionally, it ensures that the Secretary of State and their employees are subject to the same tax confidentiality laws as the division of taxation.

Furthermore, the bill amends sections related to the assessment and collection of corporate income tax and sales and use taxes. It sets a three-year limit for the assessment of corporate income tax, with a ten-year limit for issuing a notice of deficiency determination, and revises the process for notifying the tax administrator of the sale or transfer of assets. The bill also introduces a new section outlining the process for notifying a retailer or person of taxes owed on tangible personal property, with a three-year limit for mailing the notice and a ten-year limit for issuing a notice of deficiency determination or commencing collection actions, except in cases of fraud or failure to file a return. The bill amends sections on estate and personal income taxes, setting similar ten-year limits for actions by the tax administrator and removing language regarding the due date for filing. It also authorizes the division of taxation to share tax compliance information with the secretary of state's office and includes provisions to protect tax information. The amendments would apply to filings made from July 1, 2020, and the act would take effect upon passage.

Statutes affected:
7280: 7-16-67.1, 44-19-13, 44-23-9, 44-30-83