Category Archives: General Excise (HRS 237)

SB 1292, HD-3

General Excise (HRS 237), Transient Accommodations Tax (HRS 237D)

SUBJECT:  GENERAL EXCISE, TRANSIENT ACCOMMODATIONS, Transient Accommodations Brokers as Tax Collection Agents

BILL NUMBER:  SB 1292, HD-3

INTRODUCED BY:  House Committee on Finance

EXECUTIVE SUMMARY:  Adds definitions to the TAT law. Amends the definition of “transient accommodations” to include additional forms of transient accommodations. Makes any person who fails to register with DOTAX subject to a citation process and monetary fines. Requires hosting platforms that collect fees for booking services to register as collection agents on behalf of its operators and plan manager for GET and TAT.

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SB 1292, HD-2

General Excise (HRS 237), Transient Accommodations Tax (HRS 237D)

SUBJECT:  GENERAL EXCISE, TRANSIENT ACCOMMODATIONS, Transient Accommodations Brokers as Tax Collection Agents

BILL NUMBER:  SB 1292, HD-2

INTRODUCED BY:  House Committees on Consumer Protection & Commerce and Judiciary

EXECUTIVE SUMMARY:  Adds definitions to the TAT law. Amends the definition of “transient accommodations” to include additional forms of transient accommodations. Makes any person who fails to register with DOTAX subject to a citation process and monetary fines. Requires hosting platforms that collect fees for booking services to register as collection agents on behalf of its operators and plan manager for GET and TAT.

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HB 307, Proposed SD-1

General Excise (HRS 237), Net Income (HRS 235)

SUBJECT:  INCOME, FRANCHISE, Renewable Energy Technologies Credit

BILL NUMBER:  HB 307, Proposed SD-1

INTRODUCED BY:  Senate Committees on Energy, Economic Development, and Tourism, and Commerce, Consumer Protection & Health.

EXECUTIVE SUMMARY:  Amends the renewable energy technologies income tax credit to change limitations for certain technology types.  Provides increased caps for photovoltaic property that is grid-connected and incorporates energy storage system.  Allows credit for commercial seawater air conditioning system.  Generally, the credit is being phased down, perhaps in recognition that the technology involved is no longer new.  If approved, the credit would be an indeterminate expenditure of public dollars out the back door and could carry with it large administrative costs.

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SB 530, HD-1

General Excise (HRS 237)

SUBJECT:  GENERAL EXCISE, Exempt Mobility Enhancing and Durable Medical Equipment

BILL NUMBER:  SB 530, HD-1

INTRODUCED BY:  House Committee on Health

EXECUTIVE SUMMARY:  Expands the current exemption for prescription drugs and prosthetic devices to include more items specific to health care.  The expanded list of items appears to be consistent with the policy justification for the original exemption.  In addition, some of the changes in this bill would rectify an anomaly that exists under current law.

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HB 1394, HD-1

General Excise (HRS 237)

SUBJECT:  GENERAL EXCISE, Expand Permitted Usage on Neighbor Islands of County Surcharge

BILL NUMBER:  HB 1394, HD-1

INTRODUCED BY:  House Committee on Finance

EXECUTIVE SUMMARY:  Authorizes any county with a population equal to or less than 500,000 that adopts a county surcharge on state tax ordinance to use the surcharges received from the State for infrastructure and public safety.  This bill will send us far afield from the original intent and philosophy of the county surcharge, which was a temporary tax to fund mass transportation, and raises questions about the general laws provision in the Hawaii Constitution.

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SB 1292, HD-1

General Excise (HRS 237)

SUBJECT:  GENERAL EXCISE, TRANSIENT ACCOMMODATIONS, Transient Accommodations Brokers as Tax Collection Agents

BILL NUMBER:  SB 1292, HD-1

INTRODUCED BY:  House Committee on Tourism & International Affairs

EXECUTIVE SUMMARY:  Adds definitions to the TAT law. Amends the definition of “transient accommodations” to include additional forms of transient accommodations. Makes any person who fails to register with DOTAX subject to a citation process and monetary fines. Requires hosting platforms that collect fees for booking services to register as collection agents on behalf of its operators and plan manager for GET and TAT.

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SB 396, SD-1

General Excise (HRS 237)

SUBJECT:  GENERAL EXCISE, Apply Tax to Marketplace Facilitators

BILL NUMBER:  SB 396, SD-1

INTRODUCED BY:  Senate Committee on Ways & Means

EXECUTIVE SUMMARY:  Establishes marketplace facilitators as the sellers of tangible personal property, intangible property, or services. Requires other persons who provide a forum for listing of items for sale and the taking or processing of orders to report information about purchasers to the Department of Taxation.

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SB 530, SD-2

General Excise (HRS 237)

SUBJECT:  GENERAL EXCISE, Exempt Mobility Enhancing and Durable Medical Equipment

BILL NUMBER:  SB 530, SD-2

INTRODUCED BY:  Senate Committee on Ways & Means

EXECUTIVE SUMMARY:  Expands the current exemption for prescription drugs and prosthetic devices to include more items specific to health care.  The expanded list of items appears to be consistent with the policy justification for the original exemption.  In addition, some of the changes in this bill would rectify an anomaly that exists under current law.

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SB 1292, SD-2

General Excise (HRS 237), Transient Accommodations Tax (HRS 237D)

SUBJECT:  GENERAL EXCISE, TRANSIENT ACCOMMODATIONS, Transient Accommodations Brokers as Tax Collection Agents

BILL NUMBER:  SB 1292, SD-2

INTRODUCED BY:  Senate Committees on Judiciary, and Ways & Means

EXECUTIVE SUMMARY:  Allows a transient accommodations broker to serve as a collection agent for general excise and transient accommodations taxes.  This type of arrangement would probably enhance collection of taxes because of the difficulty of policing individual owners.  However, the number of caveats, conditions, and restrictions that are placed on the broker signing up for this program is so large that it is unlikely that any broker in its right mind would sign up.  If no broker is motivated to sign up, this legislation will accomplish nothing.

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SB 1158, SD-2

General Excise (HRS 237)

SUBJECT:  GENERAL EXCISE TAX, Tax Holiday for School Supplies

BILL NUMBER:  SB 1158, SD-2

INTRODUCED BY:  Senate Committee on Ways & Means

EXECUTIVE SUMMARY:  Establishes a general excise tax holiday for consumers and businesses for school supplies sold during the weekend prior to the start of the school year on condition that businesses pass the savings on to consumers.  The holiday provisions may be unconstitutional to the extent they exclude orders from businesses operating outside Hawaii.

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