Hawaii-2010-HB699-Amended

HOUSE OF REPRESENTATIVES	H.B. NO.	699
TWENTY-FOURTH LEGISLATURE, 2008		H.D. 2
STATE OF HAWAII

A BILL FOR AN ACT

SECTION 1. Chapter 235, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

"§235- Medical technology research tax credit. (a) There shall be allowed to each individual or corporate taxpayer who is not claimed or is not otherwise eligible to be claimed as a dependent by another taxpayer for federal or state income tax purposes, a medical technology research tax credit that shall be deductible from the taxpayer's net income tax liability imposed by this chapter for the taxable year in which the tax credit is properly claimed.

(b) To qualify for the tax credit, the taxpayer shall be in compliance with all applicable federal, state, and county statutes, rules, and regulations.

(c) The tax credit shall be equal to ten per cent of the costs related to conducting medical technology research provided the costs are over $2,500,000.

(d) If the tax credit under this section exceeds the taxpayer's net income tax liability, the amount of the excess tax credit shall be paid to the eligible taxpayer; provided that no refund or payment on account of the tax credit allowed by this section shall be made for amounts less than $25,000.

(e) Every claim, including amended claims, for the tax credit under this section shall be filed on or before the end of the twelfth month following the close of the taxable year for which the tax credit may be claimed. Failure to meet the filing requirements of this subsection shall constitute a waiver of the right to claim the tax credit.

(f) No taxpayer shall claim a credit under this section for costs for which any other credit is claimed under this chapter.

(g) The director of taxation:

(1) Shall prepare forms as may be necessary to claim the tax credit under this section;

(2) May require proof of the claim for the tax credit; and

(3) May adopt rules pursuant to chapter 91 to effectuate the purposes of this section.

(h) For the purposes of this section, "medical technology research" means research conducted to benefit children and the elderly with respect to acute health problems, health care in rural areas of the state, and disease prevention."

SECTION 2. New statutory material is underscored.

SECTION 3. This Act shall take effect on July 1, 2112, and shall apply to taxable years beginning after December 31, 2008; provided that this Act shall be repealed on December 31, 2013.