Rhode Island State Excise Taxes 2017 - Fuel, Cigarette, and Alcohol Taxes
32.00¢ per gallon
$3.50 per pack
$5.40 per gal
$1.40 per gal
12¢ per gal
- What are Rhode Island's Excise Taxes?
- Rhode Island General Excise Taxes
- Rhode Island Alcohol Taxes
What is an Excise Tax?
An excise tax is a tax directly levied on certain goods by a state or federal government. The most prominent excise taxes collected by the Rhode Island state government are the fuel tax on gasoline and the so-called "sin tax" collected on cigarettes and alcoholic beverages.
An excise tax is not the same thing as the Rhode Island Sales Tax.The Rhode Island Sales Tax is collected as a percentage of the final purchase price of all qualifying sales, and is collected directly from the end consumer of the product.
Rhode Island's excise taxes, on the other hand, are flat per-unit taxes that must be paid directly to the Rhode Island government by the merchant before the goods can be sold. Merchants may be required to attach tax stamps to taxable merchandise to show that the excise tax was paid.
Even though excise taxes are collected from businesses, virtually all Rhode Island merchants pass on the excise tax to the customer through higher prices for the taxed goods.
Rhode Island per capita excise tax
Rhode Island collects an average of $554 in yearly excise taxes per capita, higher then 72% of the other 50 states.
Rhode Island General Excise Taxes - Gasoline, Cigarettes, and More
Rhode Island collects general excise taxes on the sale of motor fuel (gasoline and diesel), cigarettes (per pack), and cell phone service plans. Other general taxes, similar to excise taxes, may be collected on other items including transportation tickets, tanning salons, firearms, gas guzzlers, vehicle sales, and more.
Rhode Island Gas Tax11th highest gas tax
The Rhode Island excise tax on gasoline is 32.00¢ per gallon, higher then 78% of the other 50 states. Rhode Island's excise tax on gasoline is ranked #11 out of the 50 states. The Rhode Island gas tax is included in the pump price at all gas stations in Rhode Island.
Rhode Island Cigarette Tax3rd highest cigarette tax
The Rhode Island excise tax on cigarettes is $3.50 per 20 cigarettes, one of the highest cigarettes taxes in the country. Rhode Island's excise tax on cigarettes is ranked #3 out of the 50 states. The Rhode Island cigarette tax of $3.50 is applied to every 20 cigarettes sold (the size of an average pack of cigarettes). If a pack contains more then 20 cigarettes, a higher excise tax will be collected.
Rhode Island Cellphone Tax6th highest cellphone tax
The average tax collected on cell phone plans in Rhode Island is $14.62 per phone service plan, one of the highest cellphone taxes in the country. Rhode Island's average cellphone tax is ranked #6 out of the 50 states. The Rhode Island cellphone tax is already included in the service plan price you pay to your service provider, and may be listed as "Misc. taxes and Fees" or "Other" on your monthly bill.
Rhode Island Car Tax
Rhode Island collects a registration fee and a title fee on the sale or transfer of cars and motorcycles, which are essentially renamed excise taxes. Unlike standard excise taxes, however, the end consumer must pay the tax directly to the Rhode Island Department of Transportation and receive documentation (registration and title papers) proving the fees were paid.
Rhode Island Alcohol Excise Taxes - Liquor, Wine, and Beer
Rhode Island collects special excise taxes on the sale of all types of alcohol, subdivided into specific taxes on wine, beer, and liquor (hard alcohol other then wine and beer). Alcohol taxes are sometimes collectively referred to as "sin taxes", which also include excise taxes on cigarettes, gambling, drugs, and certain other items.
Please note that the IRS also collects a federal excise taxes on alcoholic beverages, which are included separately from Rhode Island's alcohol taxes in the final purchase price.
Rhode Island Beer Tax41st highest beer tax
The Rhode Island excise tax on beer is $0.12 per gallon, one of the lowest beer taxes in the country. Rhode Island's beer excise tax is ranked #41 out of the 50 states. The Rhode Island beer tax is already added to the purchase price of all beer bought in Rhode Island, whether in kegs, bottles, or cans.
Rhode Island Wine Tax10th highest wine tax
The Rhode Island excise tax on Wine is $1.40 per gallon, one of the highest wine taxes in the country. Rhode Island's excise tax on wine is ranked #10 out of the 50 states. The Rhode Island wine tax is already added to the purchase price of all wine bought in Rhode Island.
Rhode Island Liquor Tax28th highest liquor tax
The Rhode Island excise tax on liquor is $5.40 per gallon, lower then 56% of the other 50 states. Rhode Island's excise tax on Spirits is ranked #28 out of the 50 states. South Carolina's liquor tax includes per-bottle or per-case fees that can vary based on the size of the container. The Rhode Island liquor tax applies to all hard alcohol (alchoholic beverages other then beer and wine), and is already included in the purchase price by the retailer.
Rhode Island Excise Tax Deductions & Refunds
Can I deduct my Rhode Island Excise taxes?
Unlike the Rhode Island Sales Tax, excise taxes are not generally deductible on Rhode Island income tax returns or on your federal tax return. However, the IRS occasionally allows certain excise taxes to be deducted for certain tax years.
- Vehicle Tax Deduction
- Rhode Island sales and excise taxes on cars or vehicles bought during 2009 may be deducted once from your federal tax return. You cannot deduct excise taxes for vehicles bought during other years.
- Phone Tax Deduction
- You may deduct excise taxes paid on long-distance phone calls between the years of 2003 and 2006 from your federal tax return.
Can I get a Rhode Island Excise Tax Refund?
While sales tax refunds are available for goods that are purchased in Rhode Island and exported, Rhode Island excise taxes paid on goods are generally non-refundable. Incentives may exist allowing certain state of federal excise taxes to be refunded on goods bought for specific uses, but such incentives change frequently.
Rhode Island Excise Tax - References
- Tax Foundation, State Excise Tax Collections Per Capita, Updated 2009
- Tax Foundation, Gasoline Excise Taxes, Updated 2012
- Tax Foundation, Cigarette Excise Taxes, Updated 2012
- Tax Foundation, Liquor Excise Taxes, Updated 2011
- Tax Foundation, Beer Excise Tax Rates, Updated 2012
- Tax Foundation, Average Wine Taxes, Updated 2011
- Tax Foundation, Average Cell Phone Taxes, Updated 2010