The bill amends Section 44-11-2 of the General Laws regarding the Business Corporation Tax in Rhode Island. It establishes that the tax imposed shall not be less than four hundred dollars ($400) starting from tax years beginning on or after January 1, 2017. The bill specifies that no small business corporation having an election in effect under subchapter S shall be required to pay this minimum tax in its first year of existence when a tax return is due.

Key insertions in the bill include provisions that clarify the imposition of tax and the exemption for small business corporations under subchapter S in their first year. The act aims to provide tax relief for new small business corporations while maintaining the tax structure for other corporations in the state. The act will take effect upon passage.

Statutes affected:
5753: 44-11-2