Raimondo pushing for ‘Amazon tax’ to plug gaps in RI budget
PROVIDENCE, R.I. (AP) — Rhode Island Gov. Gina Raimondo is pushing for an expanded “Amazon tax” to help shore up growing holes in the state budget due to lagging revenues.
The Democratic governor’s budget team is asking state lawmakers to pass legislation allowing Rhode Island to collect an anticipated $11.5 million in state sales taxes from “remote sellers” who market their wares on Amazon and other internet sites.
The Providence Journal reports that state law already requires a 7 percent sales tax on goods ordered online from companies with a physical presence in the state.
Gaps in the budget are being attributed to personal income tax revenues through December being down $28.8 million from previous expectations.
A state report attributes the “under performance” of the income tax revenues to a dip in estimated payments.