RI Frequently Asked Questions (FAQ's)
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What is the interest rate that RI charges on underpayment of taxes? |
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The interest rate on delinquent tax payments has been set at eighteen percent (18%) per annum. The rate so set will be in effect for the calendar year 2009. Interest on overpayments for the calendar year 2009 shall be at the rate of five (5.00%) per annum. |
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I am opening a new business. Must I register with your department?
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A. Only companies or individuals who have hired someone as an employee must register with this department. |
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am a sole proprietor, and my spouse works for me. Do I pay taxes on my spouse's earnings? |
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A. No. wives working for their husbands or husbands working for their wives are exempt under the law. Likewise minor children (under the age of 18) working for a parent are also exempt, as are parents for their child. |
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I hire only independent contractors for my business. How do I know this is correct? |
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A. To be an independent contractor the person must be free from your direction and control, the service performed by the person is not in the usual course of your business, and the individual is customarily engaged in their own business. If the person does not meet all three of the above, they are employees. |
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I received a penalty for filing my tax return late. Can I have the penalty waived? |
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The law does not grant the department discretionary power to waive penalties, so the penalty must stand. |
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