The Rhode Island Department of Revenue recently found that sales of access to online databases should be subject to sales and use tax as this is considered the sale of vender-hosted prewritten computer software. In the decision, the Department noted that “searchability” (i.e., the ability to research/retrieve information) from a database is a main factor for the taxable determination. Please reference Case No. 22-T-050; No. 2026-01 for the full decision.
Rhode Island Finds Online Access to Databases Subject to Tax
Radhika Akhil
February 6, 2026
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Radhika Akhil
Radhika Akhil is Regulatory Counsel in the Sovos Regulatory Analysis and Design Department. Radhika focuses on U.S. sales tax law and Canada transaction taxes and fees. Radhika obtained two B.A. degrees from Boston University and a J.D. from Suffolk University. She is a member of the Massachusetts Bar and the New York Bar.
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