How to Complete and File Form RI-706: Rhode Island Estate Tax Return

Form RI-706 is the Rhode Island estate tax return that an executor or personal representative files with the Rhode Island Division of Taxation after a death. For a decedent dying in 2026, you must file if the gross estate is $1,838,056 or more, and you must file within nine months of the date of death.¹ Filing is also what releases the statutory lien Rhode Island places on the decedent’s real estate the moment they die, so even estates that owe no tax may need to deal with this paperwork before any property can be sold or refinanced.²

Who Has to File

The 2026 threshold is $1,838,056 of gross estate value.¹ If the gross estate meets or exceeds that figure, the executor files Form RI-706. The threshold is a cliff, not an exemption that shelters the first chunk of value. Once the estate crosses it, the full net taxable estate runs through the computation.

Rhode Island residents report everything they owned worldwide. Non-residents file only if the decedent owned real property or tangible personal property located in Rhode Island; the tax is then apportioned based on the Rhode Island share of the gross estate, using the Rhode Island Apportionment section on page one of the form.³

Estates below $1,838,056 do not file Form RI-706. If the decedent owned Rhode Island real estate, those smaller estates still have a lien to clear, but they use Form T-77 instead. That process is covered further down.

The Nine-Month Deadline

Both the return and full payment are due nine months from the date of death.² Nothing is automatic. If you need more time to file, submit Form RI-4768 before the nine months run out.⁴ A six-month filing extension may be granted.

The extension only buys time to file. It does not extend the time to pay. Interest and penalty start running from the original nine-month date whether or not an extension is approved, so if you expect to owe tax, estimate it and send payment with the extension request.²

The cost of missing the deadline is steep. Interest runs at 12 percent per year on the unpaid balance.⁵ The penalty is 0.5 percent per month on the unpaid balance, capped at 25 percent.² An executor who ignores the deadline can be personally on the hook for those charges.

Documents to Pull Together First

Most of the work on RI-706 is translating paperwork into numbers on a schedule. Before you open the form, collect:

A certified copy of the death certificate.
The will and any revocable trust agreements.
Professional real estate appraisals dated as close to the date of death as possible.
Date-of-death statements for every bank, brokerage, and retirement account.
Face-value and beneficiary information for every life insurance policy.
A formal appraisal for any closely held business interest.
Documentation of outstanding debts: mortgages, credit cards, personal loans, medical bills.
Receipts for funeral expenses, attorney fees, accounting fees, and court costs.
A signed copy of federal Form 706 if one was required. RI-706 mirrors the federal return and the Division expects the two to match.

If the decedent owned property in another state, pull records of any estate tax paid there. Rhode Island allows a credit for tax paid to another state on property located there.

Working Through the Form

Form RI-706 has six numbered parts and a stack of lettered schedules. The parts handle identification, computation, and summary. The schedules handle the asset-by-asset and deduction-by-deduction detail.⁶

Parts 1 Through 6

Part 1 calculates the net taxable estate by pulling in schedule totals. Part 2 captures marital status, which drives the marital deduction. Part 3 identifies the executor or administrator; the Division uses this for all correspondence, so verify the address and Social Security number. Part 4 runs the tax computation using the Rhode Island Tax Computation Schedule at the end of the form. Part 5 asks background questions about the estate. Part 6 is the recapitulation page that totals every schedule into one summary.⁶

Asset Schedules A Through I

Each asset type has its own schedule. Schedule A is real estate. Schedule B is stocks and bonds. Schedule C handles mortgages, notes, and cash. Schedule D reports life insurance on the decedent’s life. Schedule E lists jointly owned property. Schedule F is the catch-all for miscellaneous property. Schedule G reports lifetime transfers that pull back into the gross estate, including certain gifts made within three years of death and transfers where the decedent kept an interest or control. Schedule H covers property subject to a power of appointment. Schedule I covers annuities.⁶

For each line item, list a description and the date-of-death fair market value, with alternate valuation if you elect it. Real estate and closely held business interests should be backed by professional appraisals. Publicly traded stocks and bonds use the mean of the high and low trading prices on the date of death.

The gross estate is broader than the probate estate. It picks up assets passing by beneficiary designation, jointly held property, retirement accounts, life insurance the decedent owned or controlled, business interests, and certain lifetime transfers.² If the decedent had any interest in or control over an asset at death, it probably belongs on a schedule.

Deduction Schedules J Through O and U

Deductions take the gross estate down to the taxable estate. Schedule J is funeral expenses and administration costs such as attorney and executor fees. Schedule K is debts, mortgages, and liens. Schedule L is net losses during administration. Schedule M is the marital deduction. Schedule O is charitable bequests. Schedule U is the qualified conservation easement exclusion.⁶

The marital deduction does the heaviest lifting. Property passing outright to a surviving U.S. citizen spouse, or to a qualifying trust for the spouse’s benefit, is deductible dollar for dollar with no cap. A $5 million estate passing entirely to a surviving spouse can owe zero Rhode Island estate tax. The return still has to be filed to release the lien.

How the Tax Is Figured

Rhode Island’s estate tax is based on the old federal state death tax credit under 26 U.S.C. § 2011, frozen as it stood on January 1, 2001.³ You start with the adjusted taxable estate (the taxable estate minus $60,000), then apply the graduated rate table in the federal statute. Rates begin at 0.8 percent and reach a top rate of 16 percent on adjusted taxable estates above roughly $10 million.⁷

From the tentative tax, you subtract the Rhode Island credit. For 2026, that credit is $87,940.⁸ That credit is what produces the $1,838,056 effective filing threshold. An estate just over the threshold owes only the amount by which the tentative tax exceeds the credit, so the first dollars above the line are taxed lightly; the effective rate climbs as the estate grows.

Where to Send It and What to Pay

Mail the signed return, all schedules, supporting documents, and payment to:

RI Division of Taxation
Estate Tax Section
One Capitol Hill
Providence, RI 02908-5800⁹

Make checks payable to “RI Division of Taxation.” Along with any tax owed, include the statutory filing fee the Division requires with estate tax returns.² Keep copies of everything, including the postmarked envelope and a record of the check, for the probate file.

The Division responds with one of two documents. If no tax is due, it issues a Notice of No Tax Due. If tax was assessed and paid, it issues a Certificate of Estate Tax Release, sometimes referenced as Form RI-706-L. Either document is proof the estate’s obligation is satisfied, and either one is what you need to clear the lien.

Clearing the Lien on Rhode Island Real Estate

For most executors, the lien release is the whole point. Rhode Island’s statutory lien attaches to the decedent’s real estate and certain securities at the moment of death, and no one can sell, refinance, or transfer clear title until the Division releases it.² Once you have the Certificate of Estate Tax Release or Notice of No Tax Due in hand, record it in the land evidence records of the city or town where the property sits.

For estates under the $1,838,056 threshold that still need the lien off a specific parcel, the Division provides Form T-77 (Discharge of Estate Tax Lien).¹⁰ T-77 must be typed, submitted one property per form, and must use the tax assessor’s property description (plat and lot, not a street address). Mistakes get the form returned, so match the local assessor’s records exactly. Both RI-706 and T-77 are posted on the Division’s estate tax forms page.⁴

1
Rhode Island Division of Taxation. 2026 Tax Changes
2
Rhode Island Division of Taxation. Estate Tax
3
Justia. Rhode Island Code 44-22-1.1 – Tax on Net Estate of Decedent
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Rhode Island Division of Taxation. Estate Tax Forms
5
Rhode Island Division of Taxation. Interest Rates
6
Rhode Island Division of Taxation. RI-706 Rhode Island Estate Tax Return
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Office of the Law Revision Counsel. 26 USC 2011 – Credit for State Death Taxes
8
Rhode Island Division of Taxation. Estate Tax Updates
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Rhode Island Division of Taxation. Form RI-706 Instructions
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Rhode Island Division of Taxation. Form T-77 Discharge of Estate Tax Lien