2014 -- H 7229 AS AMENDED

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2014

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A N   A C T

RELATING TO MOTOR AND OTHER VEHICLES - OPERATOR LICENSES - STATE TAX

PAYMENTS

     Introduced By: Representatives O`Grady, Cimini, Ajello, Valencia, and Amore

     Date Introduced: January 29, 2014

     Referred To: House Judiciary

     It is enacted by the General Assembly as follows:

     SECTION 1. Section 31-3-6.1 of the General Laws in Chapter 31-3 entitled "Registration

of Vehicles" is hereby amended to read as follows:

     31-3-6.1. List of vehicles and licenses on which taxes delinquent -- Denial of renewal

of registration and licenses. -- (a) The administrator/division of motor vehicles shall furnish to

the Tax Administrator a listing showing the names, addresses and social security numbers of

persons whose operator's license and/or motor vehicle registration is subject to renewal within

ninety (90) days. If within ninety (90) days prior to the renewal date the tax administrator

determines that any person seeking to renew his/her operator's license and/or registration has

neglected or refused to file any tax returns or to pay any tax administered by the tax administrator

and that such tax matter is not pending administrative or appellate review, the tax administrator

shall send a written notice to such person informing him/her of the tax administrator's intention to

inform the division of motor vehicles not to renew the person's operator license and/or motor

vehicle registration and of the procedures available to the person to contest that determination.

      (b) Within twenty-one (21) days from the date of such notice, the licensee or registrant

may request, in writing, a conference with the tax administrator or his/her designee, in order to

show proof of payment of all taxes or for the purpose of entering into a time payment agreement

for the delinquent taxes satisfactory to the tax administrator. Notwithstanding any general or

public law to the contrary, if the licensee or registrant provides proof of involuntary

unemployment and proof that employment is being actively sought to the tax administrator during

the course of such a conference, this may be considered sufficient reason to allow license or

registration renewal during the verifiable period of involuntary unemployment. The tax

administrator shall promulgate rules and regulations to implement the provisions of this section.

      (c) If upon the expiration of twenty-one (21) days from the date of the notice to the

licensee or registrant or, if a conference has been requested, after a conference has been held, the

licensee or registrant has not demonstrated to the satisfaction of the tax administrator that he/she

has filed all required returns and paid all required taxes, or that the licensee or registrant has not

entered into time payment arrangement satisfactory to the tax administrator, the tax administrator

shall notify the administrator/division of motor vehicles that the licensee or registrant is

delinquent in filing tax returns and/or remitting taxes due. The tax administrator shall send a copy

of the notification to the licensee or registrant.

      (d) The administrator/division of motor vehicles shall not renew any operator's license or

registration upon expiration thereof until all state taxes, interest and attendant penalties have been

paid in full or the licensee or registrant has entered into a time payment agreement satisfactory to

the tax administrator.

      (e) If the licensee thereafter files an overdue return and/or remits past taxes due or enters

into a satisfactory time payment agreement with respect to any and all returns due and taxes

payable, the tax administrator shall, within five (5) business days of a licensee's request, provide

the appropriate agency or authority the certificate of good standing specified in section 5-76-5.

Within five (5) business days of receiving such a certificate, the agency or authority shall

reinstate, reissue, renew or otherwise extend the licensee's license.

      (f) Payment of tax not an admission. - If the licensee or registrant files an overdue return

and/or remits past due taxes in order to apply for or renew a license or registration, said late filing

and/or payment shall not be an admission of a violation of any criminal tax statute regarding late

filing and/or late payment. The tax administrator shall not refer such person to the Attorney

General for prosecution based solely upon said late filing and/or payment of past due taxes.

     SECTION 2. This act shall take effect on January 1, 2015.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO MOTOR AND OTHER VEHICLES - OPERATOR LICENSES - STATE TAX

PAYMENTS

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     This act would allow persons who are subject to license or registration non-renewal as a

result of failure to pay taxes to obtain a conditional renewal during their period of unemployment.

     This act would take effect on January 1, 2015.

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