TITLE 44
Taxation

CHAPTER 44-18
Sales and Use Taxes – Liability and Computation

SECTION 44-18-15


§ 44-18-15. "Retailer" defined.

(a) "Retailer" includes:

(1) Every person engaged in the business of making sales at retail, including prewritten computer software delivered electronically or by load and leave, vendor-hosted prewritten computer software, specified digital products, sales of services as defined in § 44-18-7.3, and sales at auction of tangible personal property owned by the person or others.

(2) Every person making sales of tangible personal property, including prewritten computer software delivered electronically or by load and leave, or vendor-hosted prewritten computer software or specified digital products, or sales of services as defined in § 44-18-7.3, through an independent contractor or other representative, if the retailer enters into an agreement with a resident of this state, under which the resident, for a commission or other consideration, directly or indirectly refers potential customers, whether by a link on an internet website or otherwise, to the retailer, provided the cumulative gross receipts from sales by the retailer to customers in the state who are referred to the retailer by all residents with this type of an agreement with the retailer is in excess of five thousand dollars ($5,000) during the preceding four (4) quarterly periods ending on the last day of March, June, September, and December. Such retailer shall be presumed to be soliciting business through the independent contractor or other representative, which presumption may be rebutted by proof that the resident with whom the retailer has an agreement did not engage in any solicitation in the state on behalf of the retailer that would satisfy the nexus requirement of the United States Constitution during such four (4) quarterly periods.

(3) Every person engaged in the business of making sales for storage, use, or other consumption of: (i) Tangible personal property, (ii) Sales at auction of tangible personal property owned by the person or others, (iii) Prewritten computer software delivered electronically or by load and leave, (iv) Vendor-hosted prewritten computer software, (v) Specified digital products, and (vi) Services as defined in § 44-18-7.3.

(4) A person conducting a horse race meeting with respect to horses, which are claimed during the meeting.

(5) Every person engaged in the business of renting any living quarters in any hotel as defined in § 42-63.1-2, rooming house, or tourist camp.

(6) Every person maintaining a business within or outside of this state who engages in the regular or systematic solicitation of sales of tangible personal property, prewritten computer software delivered electronically or by load and leave, vendor-hosted prewritten computer software, and/or specified digital products in this state by means of:

(i) Advertising in newspapers, magazines, and other periodicals published in this state, sold over the counter in this state or sold by subscription to residents of this state, billboards located in this state, airborne advertising messages produced or transported in the airspace above this state, display cards and posters on common carriers or any other means of public conveyance incorporated or operated primarily in this state, brochures, catalogs, circulars, coupons, pamphlets, samples, and similar advertising material mailed to, or distributed within this state to residents of this state;

(ii) Telephone;

(iii) Computer-assisted shopping networks; and

(iv) Television, radio, or any other electronic media, that is intended to be broadcast to consumers located in this state.

(b) When the tax administrator determines that it is necessary for the proper administration of chapters 18 and 19 of this title to regard any salespersons, representatives, truckers, peddlers, or canvassers as the agents of the dealers, distributors, supervisors, employers, or persons under whom they operate or from whom they obtain the tangible personal property sold by them, irrespective of whether they are making sales on their own behalf or on behalf of the dealers, distributors, supervisors, or employers, the tax administrator may so regard them and may regard the dealers, distributors, supervisors, or employers as retailers for purposes of chapters 18 and 19 of this title.

History of Section.
(P.L. 1947, ch. 1887, art. 2, § 14; G.L. 1956, § 44-18-15; P.L. 1967, ch. 179, art. 2, § 4; P.L. 1990, ch. 514, § 1; P.L. 2009, ch. 68, art. 16, § 8; P.L. 2011, ch. 151, art. 19, § 24; P.L. 2012, ch. 241, art. 21, § 3; P.L. 2018, ch. 47, art. 4, § 10; P.L. 2019, ch. 88, art. 5, § 9; P.L. 2019, ch. 308, art. 2, § 13.)