The bill amends Section 44-30-12 of the General Laws in Chapter 44-30, which pertains to personal income tax for Rhode Island residents. It introduces new legal language to clarify that the Rhode Island income of a resident individual is defined as their adjusted gross income for federal income tax purposes, with specific modifications. Notably, the bill includes provisions for various modifications that can either increase or decrease federal adjusted gross income.

Significantly, the bill adds a new provision that, for tax years beginning on or after January 1, 2027, all taxable social security income will be included in federal adjusted gross income for the purpose of calculating Rhode Island personal income tax. This change aims to ensure that social security benefits are accounted for in the state's tax calculations. The act is set to take effect upon passage.

Statutes affected:
7702: 44-30-12