The bill amends Section 44-11-2 of the General Laws concerning the Business Corporation Tax in Rhode Island. It establishes that the tax imposed on corporations shall not be less than four hundred dollars ($400) effective for tax years beginning on or after January 1, 2017. The bill specifically exempts small business corporations that have an election in effect under subchapter S from paying this minimum tax in their first year of existence when a tax return is due.

Key insertions in the bill clarify the imposition of the minimum tax and the exemption for small business corporations in their first year. The bill aims to provide relief to new small businesses while maintaining tax obligations for other corporations based on their net income. The act will take effect upon passage.

Statutes affected:
5753: 44-11-2