Title 44
Taxation
Chapter 30
Personal Income Tax
Part II
Residents
R.I. Gen. Laws § 44-30-15
§ 44-30-15. Resident partners.
(a) Partner's modifications. In determining Rhode Island income of a resident partner, any modification described in subsection (b), (c), or (d) of § 44-30-12, which related to an item of partnership income or deduction shall be made in accordance with the partner's distributive share, for federal income tax purposes, of the item to which the modification relates. Where a partner's distributive share of any item is not required to be taken into account separately for federal income tax purposes, the partner's distributive share of the item shall be determined in accordance with his distributive share for federal income tax purposes of partnership taxable income or loss generally.
(b) Character of items. Each item of partnership income or deduction shall have the same character for a partner as for federal income tax purposes. Where an item is not characterized for federal income tax purposes, it shall have the same character for a partner as if realized directly from the source from which realized by the partnership or incurred in the same manner as incurred by the partnership.
(c) Rhode Island tax avoidance or evasion. Where a partner's distributive share of an item of partnership income or deduction is determined for federal income tax purposes by special provision in the partnership agreement with respect to the item, and where the principal purpose of the provision is the avoidance or evasion of the Rhode Island personal income tax, the partner's distributive share of the item, and any modification required with respect thereto, shall be determined as if the partnership agreement made no special provision with respect to the item.
History of Section.
P.L. 1971, ch. 8, art. 1, § 1; P.L. 1971, ch. 204, art. 3, § 1.