RI-1040C: Composite Income Tax Return (2024)
Rhode Island · RI Division of Taxation · Used for tax years 2024
Form RI-1040C is Rhode Island’s 2024 Composite Income Tax Return. It reports Rhode Island source income, calculates income tax for qualified electing nonresident members, and accounts for payments, withholding, amounts due, and overpayments.
Who files this form
The 2024 RI-1040C is Rhode Island’s Composite Income Tax Return. It calculates Rhode Island income tax for qualified electing nonresident members.
The form lists entity types including S corporations, LLCs, partnerships and trusts. The supplied form does not explain who is required to file or what makes a member eligible to participate.
What you'll need
- The applicable federal return: Form 1120S, line 22; Form 1065, line 23; or Form 1041, line 23. Also gather federal K-1 information for separately stated income or deduction items.
- Documentation for reported income from obligations of states other than Rhode Island, exempt U.S. government obligation income, and other income modifications. The form requires these attachments where applicable.
- Forms RI K-1 showing Rhode Island nonresident withholding received from pass-through entities. Attach these forms when reporting that withholding.
- Records of RI-1040C-ES estimated payments, amounts applied from the 2023 composite return, qualified electing nonresident members’ real estate withholding, and other payments.
- Each qualified electing member’s name, address, Social Security number, Rhode Island source income and Rhode Island income tax. Attach additional schedules if needed.
- For multistate entities, property, receipts, and salary information for Rhode Island and everywhere to complete Section C.
How to file
The form states that Rhode Island has an electronic mandate for filing a return and making a payment. It directs filers to the 2024 RI-1040C Instructions for the requirements and details on how to file and pay. Those instructions are not included in the supplied text, and the form does not provide a filing website or mailing address.
Complete the income and tax calculations in Sections A and B, the apportionment calculation in Section C when applicable, and the qualified electing member information in Section D. The form includes an authorized officer signature block and a paid preparer signature block.
If you report a total amount due on line 19, the form directs you to complete Form RI-1040C-V.
Common mistakes
- Leaving out required documentation for income modifications. Attach documentation wherever the form requests it.
- Reporting withholding from Forms RI K-1 without attaching those forms.
- Leaving out qualified electing member information when the form runs out of space. Attach additional schedules if needed.
- Overlooking the electronic filing and payment mandate notice. The form directs you to the 2024 instructions for details.
- Failing to complete Form RI-1040C-V when reporting a total amount due on line 19.
Questions people ask
What tax rate does the 2024 composite return use?
Line 9 applies a composite income tax rate of 5.99% to Rhode Island source income. Line 11 then multiplies that tax by the qualified electing nonresident members’ ownership percentage.
What if the entity operates only in Rhode Island?
The form tells entities solely in Rhode Island to enter 1.0000 on line 7. Multistate entities use the apportionment ratio from Section C, line 27.
What ownership percentage should I enter if all members are nonresidents?
Line 10 instructs you to enter 1.0000 if all members are nonresidents.
Can an overpayment be refunded or applied to next year?
Yes. Line 21 provides for an amount to be refunded, and line 22 provides for an amount to be applied to 2025 RI-1040C estimated tax. The form also directs you to subtract any underestimating interest on line 18 from the overpayment on line 20.
Can the Division of Taxation contact my preparer?
The form includes a “YES” option allowing the Division of Taxation to contact your preparer.