Sales Tax Overview
Rhode Island has a 7% state sales tax rate, applicable to most goods and some services. Exemptions include food, clothing, and medical items.
- Shipping charges are taxable if items shipped are taxable.
- For orders with taxable and non-taxable items, the entire shipping charge is taxable.
- Online sellers likely need to charge sales tax on shipping.
Filing Frequency and Returns
- Filing frequency depends on collected sales tax amount.
- Returns are due based on assigned frequency and due dates.
Exemptions and Taxable Items
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Items exempt from sales tax in Rhode Island are clothing, food, medical items, and some services.
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Rhode Island imposes a 7% sales tax on shipping costs for taxable items being shipped.
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The entire shipping charge is taxable if an order contains both taxable and nontaxable items.
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Online sellers likely need to charge sales tax on shipping.
Out-of-State Sellers
- Sales tax applies based on the shipping address.
- Out-of-state sellers owe sales tax if they have an in-state physical presence.