In Rhode Island, shipping charges are taxable if they’re tied to taxable goods.
General Rule
Taxable: Delivery is taxable when taxable items are shipped.
Exempt: Shipping is exempt if all items in the shipment are exempt.
Handling Charges
Handling or combined “shipping & handling” fees are always taxable.
Best Practices for Compliance
Itemize shipping clearly on invoices.
Review mixed orders — taxable items make the shipping taxable.
Example
$400 taxable goods with $25 delivery → $25 is taxable.
$400 exempt food with $25 delivery → $25 is exempt.
Stay Compliant with Kintsugi
Rhode Island’s rules are simple but mixed orders can cause issues. Kintsugi Intelligence ensures shipping charges are treated correctly every time.
⚖️ Important Notice: Sales tax regulations are subject to change without prior notice. For guidance tailored to your business, please consult a qualified tax advisor.