§ 44-30-1.1 - Exemption from tax for writers, composers and artists.
SECTION 44-30-1.1
§ 44-30-1.1 Exemption from tax forwriters, composers and artists. – (a) This section shall only apply to writers, composers and artists residingwithin a section of the defined economic development zone within the city ofProvidence, Pawtucket, Woonsocket or Warwick, or the economic development zonewithin the town of Westerly as defined in § 44-18-30B(c)(1)(i), or withinthe city of Newport or within the town of Tiverton or the town of LittleCompton, or within those areas of the town of Warren which are zoned"waterfront district," "special district," "village business district,""manufacturing district," "business district" or "Warren historic district", ora tax pass-through entity wholly owned by one or more such individuals and whocreate such work while residing in the zone, or in the case of Newport or thetown of Little Compton, within those areas of the city or town which are zoned"general business," "waterfront business" or "limited business" or have beendesignated by the city of Newport as part of the arts district, or in the caseof Warren, within those areas of the town which are zoned "waterfrontdistrict," "special district," "village business district," "manufacturingdistrict," "business district" or "Warren historic district," or in the case ofTiverton with those areas of the town which are zoned "business commercial,""business waterfront" or "village commercial." For the purposes of thissection, a "work" means an original and creative work, whether written,composed, created or executed for "one-of-a-kind, limited" production, beforeor after the passing of this section, which falls into one of the followingcategories: (1) a book or other writing; (2) a play or the performance of saidplay; (3) a musical composition or the performance of said composition; (4) apainting or other like picture; (5) a sculpture; (6) traditional and finecrafts; (7) the creation of a film or the acting of said film; (8) the creationof a dance or the performance of said dance. For purposes of this section, a"work" does not apply to any piece or performance created or executed forindustry oriented or related production.
(b) This section shall apply to any individual:
(i) Who is a resident within the section of the economicdevelopment zone designated as the arts and entertainment district in thedowntown areas of the cities of Providence, Woonsocket or Pawtucket, andderiving the income exempted from within said district while a resident of saidzone, or who is a resident within the section of the arts and entertainmentdistrict in the town of Westerly, as defined in § 44-18-30B(c)(1)(i) andwho derives the income exempted from within said district while a resident ofsaid zone. For the purposes of this section, the "Providence arts andentertainment district" is defined as the area bounded by Pine Street to thesoutheast, Dorrance Street to the northeast, Sabin Street to the northwest andEmpire Street to the southwest. Said Providence arts and entertainment districtalso includes the area beginning at the point of intersection of Acorn Streetand Harris Avenue, then turning east onto Atwells Avenue to Service Road 7,then turning southerly onto Service Road 7 to Westminster Street, then turningwesterly onto Westminster Street, continuing until Bridgham, then turning southonto Bridgham to Cranston Street, then turning southwesterly onto CranstonStreet, then continuing to Messer Street, then turning north onto Messer Streetto Westminster Street, turning west onto Westminster Street to US Hwy 6 offramp, then heading west on US Hwy 6 to Sheridan Street, then heading northeaston Sheridan Street to Aleppo Street, then turning southeast along Aleppo Streetto Pelham Street, then heading northeast on Pelham Street to Manton Avenue,then continuing southeast on Manton Avenue until Delaine Street, then headingnortheast on Delaine Street until Appleton Street, then continuingnorthwesterly on Appleton Street until Bowdoin Street, then heading north onBowdoin Street until Barstow Street, then heading east on Barstow until ValleyStreet, then heading northeast on Valley Street to Hemlock Street, then turningsoutheast on Hemlock Street until Promenade Street, then heading east onPromenade Street to Acorn Street, then heading south on Acorn Street to theintersection of Acorn Street and Harris Avenue. The abovementioned streetsshall be included in the district. The "Westerly arts and entertainmentdistrict" is defined in § 44-18-30B(c)(1)(i). The "Pawtucket arts andentertainment district" shall be defined as the area beginning at the point ofintersection of Dexter Street and the Central Falls line, then east along theCentral Falls Line to the Blackstone River, then north along the city boundaryon the Blackstone River to the Cumberland line, then west along the Pawtucketcity boundary line to I-95, then south along I-95 to Pine Street, then north onPine Street to AMTRAK Right of Way, then northwest along the AMTRAK Right ofWay to Dexter Street, then north on Dexter Street to the Central Falls line.The abovementioned streets shall be included in the district. The "Woonsocketarts and entertainment district" shall be defined as the area beginning at apoint of land on the southwest bank of the Blackstone River abutting the bridgefor the Providence & Worcester Railroad and proceeding northerly to a point atthe intersection of Worrall Street, Clinton Street and Harry S. Truman Drive,then proceeding northwesterly along Worrall Street to its intersection withSocial Street, then turning westerly on Social Street proceeding to itsintersection with Main Street, Blackstone Street and North Main Street, thenturning northwesterly and proceeding along Blackstone Street to itsintersection with River Street, then turning northerly and proceeding alongRiver Street to its intersection with the northeast bank of Blackstone River,then following the riverbank southerly to the bridge at Bernon Street andturning easterly crossing the Blackstone River via Bernon Street and proceedingto its intersection with Front Street, then turning northeasterly on FrontStreet and proceeding to its intersection with Hamlet Avenue, and to includethe former Courthouse on the southerly side of Front Street at its intersectionwith Hamlet Avenue, then turning easterly on Hamlet Avenue and proceeding toits intersection with Manville Road, then turning southeasterly on ManvilleRoad and proceeding to its intersection with Davison Avenue, then turningnortheasterly on Davison Avenue and proceeding to a point on the southwest bankof the Blackstone River, then turning northerly, following the southerlyriverbank to the point of beginning. The abovementioned streets are included inthe district. The Warwick arts district is defined as that area known asPontiac Village, beginning on Route 5 at the Warwick/Cranston municipalboundary, then south to the intersection of Route 5 and the Pawtuxet River,then following the Pawtuxet River in an easterly and northerly direction to themunicipal boundary in the vicinity of Knight Street, then from the intersectionof Knight Street and the municipal boundary westerly along the Warwick/Cranstonmunicipal boundary to the intersection of Route 5 and Greenwich Avenue. Theabove named streets are included in the district.
This section shall also apply to any individual who is aresident of the city of Newport or the town of Tiverton or the town of LittleCompton and whose income otherwise qualifies for an exemption as provided forin this section.
This section shall also apply to any individual who is aresident of the town of Warren and whose income otherwise qualifies for anexemption as provided for in this section.
(ii) Who is determined by the tax administrator, afterconsideration of any evidence in relation to the matter which the individualsubmits to him or her and after such consultation as may seem to him or her tobe necessary with such person or body of persons as in his or her opinion maybe of assistance to him or her, to have written, composed or executed eithersolely or jointly with another individual, a work or works that would fall intoone of the categories listed in subsection (a) of this section.
(c) An individual to whom this section applies and who dulymakes a claim to the tax administrator in that behalf shall, subject tosubdivision (2) of this subsection, be entitled to have the profits or gainsarising to him or her from the publication, production or sale of a work orworks in relation to which the tax administrator has made a determination underparagraph (b)(1)(ii) of this section to be taken as a modification reducingfederal adjusted gross income.
(2) The modification authorized by this section shall applyto the year in which the profit or gain from the publication, production orsale of a work is realized.
(d) The tax administrator may serve on an individual whomakes a claim under this subsection a notice or notices, in writing, requiringhim or her to make available within any time that may be specified in thenotice of all such books, accounts and documents in his or her possession orpower as may be requested, being books, accounts and documents relating to thepublication, production or sale of the work in respect of the profits or gainsof which exemption is claimed.
(e) For the purpose of determining the amount of profits orgains subject to modification under this section, the tax administrator maymake any apportionment of receipts and expenses that may be necessary.
(f) Notwithstanding any other provisions of this chapter, anyindividual seeking relief under this section shall file a Rhode Island personalincome tax return listing the modification reducing federal adjusted grossincome relating to profits or gains realized from the works as defined in thissection.