§ 42-64.5-3 - Tax rate reduction.
SECTION 42-64.5-3
§ 42-64.5-3 Tax rate reduction. – The rate of tax payable by an eligible company and each of its eligiblesubsidiaries for any taxable year ending on or after July 1, 1995, on its netincome pursuant to the applicable income tax provisions of the general laws,including the provisions of §§ 44-11-2(a), 44-14-3(a), 44-14-4 and44-17-1, or on its gross earnings pursuant to § 44-13-4(4), shall bereduced by the amount specified in § 42-64.5-4; this rate reduction shallbe applied annually once to those eligible companies which are permitted by lawto file a consolidated state tax return and in the case of eligible companiesnot permitted by law to file consolidated state tax returns, then the ratereduction shall be applied annually to each eligible company and its eligiblesubsidiaries; provided, however, except as provided in § 42-64.5-7, shouldany eligible company fail to maintain in any taxable year after 1997 or, ifapplicable, the third taxable year following the base employment periodelection set forth in § 42-64.5-5, the number of units of new employmentit reported for its 1997 tax year or, if applicable, the third taxable yearfollowing the base employment period election set forth in § 42-64.5-5;the rate reduction provided for in this chapter shall expire permanently.