Rhode Island S3154 proposes a 4% tax on net investment income for high-income households, estates, and trusts.

Rhode Island S3154 introduces a wealth proceeds tax equal to four percent on net investment income, including interest, dividends, annuities, royalties, capital gains, and rental income, for high-income households, estates, and trusts. This tax is based on federal guidelines and will take effect on January 1, 2027, without retroactive application. The tax applies to the lesser of wealth proceeds or federal modified adjusted gross income, less a specified threshold amount.

Rhode Island S3154 proposes a 4% tax on net investment income for high-income households, estates, and trusts.

Rhode Island S3154 introduces a wealth proceeds tax equal to four percent on net investment income, including interest, dividends, annuities, royalties, capital gains, and rental income, for high-income households, estates, and trusts. This tax is based on federal guidelines and will take effect on January 1, 2027, without retroactive application. The tax applies to the lesser of wealth proceeds or federal modified adjusted gross income, less a specified threshold amount.