Bill > H5755

This bill modifies Rhode Island's estate tax reporting requirements by adding a new provision that allows executors, administrators, heirs-at-law, or persons in possession of real property to file a statement with the municipality where the decedent resided, affirming that the estate's value does not trigger state or federal estate tax filing requirements. When such a statement is recorded with the municipality, the state's Division of Taxation will automatically issue a discharge of the estate tax lien. The bill applies to situations where an estate's value is below the threshold that would normally require formal estate tax filings, providing a streamlined process for smaller estates to clear potential tax liens. The changes apply to estates of decedents with a date of death on or after January 1, 2025, and maintain existing requirements for providing detailed estate information to the tax administrator, while adding this new optional recording process. By creating this simplified mechanism, the bill aims to reduce administrative burden for estate representatives and provide a clear pathway to obtaining an estate tax discharge for estates that do not meet tax filing thresholds.

Budget and Finance

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