Rhode Island state taxes at a glance
| Individual income tax | Graduated (bracket) income tax |
|---|---|
| Rate structure | Three graduated rates: 3.75%, 4.75% and 5.99%, with the middle bracket beginning above $82,050 and the top above $186,450 for 2026. Verify current-year figures. |
| Tax agency | Rhode Island Division of Taxation |
| Main individual return | Form RI-1040 (residents); RI-1040NR (nonresidents) |
| Local income taxes | No local income taxes. Cities and towns levy property taxes. |
| Sales tax | A 7% state rate, tied for the second-highest in the country, with no local sales taxes. Clothing under a price threshold has been exempt; check the Division for current rules. |
| Property tax | Billed by cities and towns. Rhode Island taxes motor vehicles as local property, and relief programs have changed in recent years; check your municipality. |
| Retirement & Social Security | Rhode Island does not tax Social Security for people at full retirement age with AGI below annually indexed limits (about $107,000 single or $133,750 joint for 2025). Other retirement income is partly exempt for some filers. |
Verify current-year figures: state rates, brackets, credits and filing rules change. Treat this page as a starting orientation and confirm details on the Rhode Island Division of Taxation website.
How Rhode Island income tax works
Rhode Island’s income tax has three rates. For tax year 2025 the RI-1040 instructions show 3.75% on taxable income up to $79,900, 4.75% from $79,901 to $181,650, and 5.99% above that; the Division’s inflation adjustments for 2026 move the thresholds to $82,050 and $186,450 with the same three rates. The state standard deduction ($11,200 single in Tax Foundation’s 2026 table) and personal and dependent exemptions phase out at high incomes: Tax Foundation notes the standard deduction, personal exemption and dependency exemption disappear entirely above roughly $290,800 of modified federal AGI.
The Social Security rule depends on age and income. According to AARP and the Division’s 2025 guidance, benefits are not taxed if you have reached Social Security full retirement age and your AGI is under a threshold that is adjusted each year (about $107,000 for single filers and $133,750 for joint filers for 2025); the 2026 thresholds were not yet published in sources we reviewed, so check the current Division instructions. Younger beneficiaries and higher earners may owe tax on the federally taxable portion. Read our Social Security guide for the federal side.
Rhode Island’s 7% sales tax is tied with Indiana, Mississippi and Tennessee for second-highest in the nation, and there are no local sales taxes, so the rate is the same statewide. Rhode Island also has a Temporary Disability Insurance payroll deduction, which funds temporary disability benefits and is separate from income tax. Local property taxes are billed by your city or town, and motor vehicles are taxed as local property.
Filing your Rhode Island return and free options
The Division of Taxation’s Rhode Island Free File lets eligible filers prepare and e-file federal and Rhode Island returns for free through participating software; you must use the Division’s dedicated links and meet the provider’s AGI and eligibility rules. The Division’s “file a tax return” page also lists other e-file options, and the state’s online portal handles payments and account services.
See our free filing hub for the federal return, VITA for in-person help, and extensions explained for deadlines. Track your refund with state refund status guidance.
For the federal side, see our guides to free federal filing options and the complete guide to filing taxes.
Things Rhode Island residents often ask about
- Three rates, indexed thresholds: bracket amounts change each year with inflation.
- Deduction phase-outs: standard deduction and exemptions disappear at high incomes.
- Social Security test: full retirement age and an indexed AGI limit both matter.
- 7% sales tax statewide: no local sales taxes, but check exemptions for items like clothing.
- Use the Division’s Free File links: going directly to a software company’s site may charge you.
Official Rhode Island links
- Rhode Island Division of Taxation
- Rhode Island: Free File
- Rhode Island: file a tax return
- Federation of Tax Administrators: State tax agencies
Frequently asked questions
What are Rhode Island’s income tax rates?
Three rates: 3.75%, 4.75% and 5.99%. For 2026 the thresholds are $82,050 and $186,450 per the Division’s inflation adjustments.
Does Rhode Island tax Social Security?
Not if you have reached full retirement age and your AGI is under an indexed threshold (about $107,000 single or $133,750 joint for 2025). Check current thresholds with the Division.
Can I file Rhode Island taxes for free?
Yes. The Division’s Free File program offers free federal and state e-filing through participating software for eligible filers who use the Division’s links.
General information only — not tax, legal or financial advice. Tax figures change every year; verify the current numbers at IRS.gov or with a qualified professional. Read the full disclaimer.