Rhode Island § 44-23-30 - Estate and Transfer Taxes — Enforcement and Collection

§ 44-23-30. Interstate arbitration as to domicile.

If in any case it appears that an agreement cannot be reached as provided in § 44-23-29, or if one year has elapsed from the date of the election without an agreement having been reached, the domicile of the decedent at the time of his or her death shall be determined solely for death tax purposes as follows:

(1) Where only this state and one other state are involved, the taxing administrator and the taxing official of the other state shall each appoint a member of a board of arbitration, and the appointed members shall select the third member of the board. If this state and more than one other state are involved, the taxing officials of the states shall agree upon the authorities charged with the duty of administering death tax laws in three (3) states not involved, each of which authorities shall appoint a member of the board. The members of the board shall elect one of their number as chairperson.

(2) The board shall hold hearings at those places as are deemed necessary, upon reasonable notice to the executors, ancillary administrators, all other interested persons, and the taxing officials of the states involved, all of whom are entitled to be heard.

(3) The board has the power to administer oaths, take testimony, subpoena and require the attendance of witnesses and the production of books, papers and documents and issue commissions to take testimony. Subpoenas may be issued by any member of the board. Failure to obey a subpoena may be punished by a judge or justice of any court of record in the same manner as if the subpoena had been issued by the judge or justice or by the court in which the judge or justice functions.

(4) The board shall apply, whenever practicable, the rules of evidence which prevail in federal courts under the federal rules of civil procedure at the time of hearing.

(5) The board shall, by majority vote, determine the domicile of the decedent at the time of his or her death. The determination is final and conclusive, and binds this state and all its judicial and administrative officials on all questions concerning the domicile of the decedent for death tax purposes.

(6) The reasonable compensation and expenses of the members of the board and employees of the board shall be agreed upon among the members, the taxing officials of the states involved, and the executors. In the event an agreement cannot be reached, the compensation and expenses shall be determined by the appropriate probate court of the state determined to be the domicile. The amount is borne by the estate and is deemed an administration expense.

(7) The determination of the board and the record of its proceedings shall be filed with the authority having jurisdiction to assess the death tax in the state determined to be the domicile of the decedent and with the authorities which would have had jurisdiction to assess the death tax in each of the other states involved if the decedent had been found to be domiciled in that state.