Bill Text: HI HB674 | 2016 | Regular Session | Introduced

Hawaii House Bill 674 (Prior Session Legislation)

Introduced

Bill Title: Public Transportation Tax Credit

Spectrum: Partisan Bill (Democrat 5-0)

Status: (Introduced - Dead) 2015-12-17 - Carried over to 2016 Regular Session. [HB674 Detail]

Download: Hawaii-2016-HB674-Introduced.html

HOUSE OF REPRESENTATIVES	H.B. NO.	674
TWENTY-EIGHTH LEGISLATURE, 2015
STATE OF HAWAII

A BILL FOR AN ACT

RELATING TO PUBLIC TRANSPORTATION INCENTIVES.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

SECTION 1. The legislature finds that a robust public transportation system is a critical component of overtaxed public transportation infrastructure. The biggest barrier to increasing the usage of public transportation is that those most likely to use public transportation are those who can least afford it. The legislature also finds that increased usage of public transportation has the additional benefits of reduced highway maintenance costs, air pollution, and energy consumption. The legislature believes that the ancillary benefits of a robust public transportation system will reduce our carbon footprint and make strides toward environmental sustainability for the entire State.

The purpose of this Act is to establish an income tax credit for taxpayers who purchase bus passes or passes for a public transportation program.

SECTION 2. Chapter 235, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

"§235- Public transportation tax credit. (a) There shall be allowed to each taxpayer subject to the tax imposed by this chapter, an income tax credit that shall be deductible from the taxpayer's net income tax liability imposed by this chapter, if any, for the taxable year in which the credit is properly claimed.

(b) The amount of the tax credit shall be equal to the amount spent by the taxpayer to purchase public transportation passes during the taxable year; provided that the total amount of any tax credit allowed under this section shall not exceed:

(1) $ per individual taxpayer; or

(2) $ per participating employee if the taxpayer purchases the public transportation passes for use by the taxpayer's employees.

(1) Monthly or annual bus passes; or

(2) Monthly or annual passes for a public transportation program operated or contracted by the State or a county.

(d) The director of taxation shall prepare any forms that may be necessary to claim a tax credit under this section. The director may also require the taxpayer to furnish reasonable information to ascertain the validity of the claim for credit made under this section and may adopt rules necessary to effectuate the purposes of this section pursuant to chapter 91.

(e) If the tax credit under this section exceeds the taxpayer's income tax liability, the excess of the credit over liability may be used as a credit against the taxpayer's income tax liability in subsequent years until exhausted. All claims for the tax credit under this section, including amended claims, shall be filed on or before the end of the twelfth month following the close of the taxable year for which the credit may be claimed. Failure to comply with this subsection shall constitute a waiver of the right to claim the credit."

SECTION 3. New statutory material is underscored.

SECTION 4. This Act, upon its approval, shall apply to taxable years beginning after December 31, 2015.

INTRODUCED BY:	_____________________________

Report Title:

Public Transportation Tax Credit

Description:

Establishes an income tax credit for taxpayers who purchase bus passes or passes for a public transportation program.

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.