Rhode Island 2025 Regular Session

Rhode Island House Bill H5755

Introduced
2/26/25  

Caption

Generates an estate tax discharge upon the recording of a statement by the executor or other estate representative that the value of the decedent’s gross estate does not require a state or federal tax filing.

Impact

If enacted, H5755 would simplify the process for estates that do not owe estate taxes, thus easing the burden on executors and heirs. This is particularly relevant for smaller estates that might currently face an unnecessarily cumbersome process in dealing with the taxation system. Traditionally, those handling estates may have encountered delays and financial obligations related to tax documentation, which this bill aims to alleviate, thereby enhancing efficiency within the taxation framework.

Summary

House Bill 5755 is a legislative proposal that seeks to amend current laws governing estate and transfer taxes in Rhode Island. The primary aim of the bill is to streamline the process of obtaining an estate tax discharge for estates where the value does not necessitate a state or federal tax filing. The bill mandates that executors, trustees, or other representatives of an estate must record a statement with the decedent's municipality, confirming that the estate's value falls beneath the thresholds that require tax filings. Upon recording this statement, the division of taxation is required to issue a discharge of the estate tax lien.

Contention

While the bill appears beneficial to those managing smaller estates, there may be contention regarding its implications for tax revenue. Critics might argue that easing requirements could lead to oversight, where potential taxable estates slip through the cracks due to simplified reporting practices. Furthermore, discussions around the potential impact on state revenue from estate taxes might invite scrutiny, as this could affect state funding dependent on such taxes. Supporters, however, propose that the benefits of reducing bureaucratic hurdles outweigh the concerns about lost tax revenue.

Companion Bills

No companion bills found.

Previously Filed As

RI H7680

Phases in an annual increase of the net taxable estate exemption by ten percent (10%) per year until the state exemption equals the federal exemption.

RI S2064

Increases the net taxable estate exemption to four million dollars ($4,000,000) for deaths that occur on or after January 1, 2025.

RI H7487

Increases the net taxable estate exemption to four million dollars ($4,000,000) for deaths that occur on or after January 1, 2025.

RI H5631

Estate And Transfer Taxes--liability And Computation

RI S2065

Increases the net taxable estate exemption to three million six hundred thousand dollars ($3,600,000) on January 1, 2025. Also increases the exemption by one million dollars ($1,000,000) on January 1 per year thereafter.

RI S0259

Estate And Transfer Taxes--liability And Computation

RI H5802

Estate And Transfer Taxes -- Liability And Computation

RI S0526

Estate And Transfer Taxes -- Liability And Computation

RI H7760

Exempts all Narragansett Indian Tribe homeowners from real estate taxes and real estate tax liens, imposed by the state or any municipality. Also declares the Tribe as the sole sovereign federally recognized Indian Tribe in Rhode Island.

RI H7867

Requires the recording of the bylaws and rules of the association in the land evidence records of the city or town the condominium is located in and require amendments to the original filings to be certified by 2 or more members of the executive board.

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