Bill Text: HI HB791 | 2022 | Regular Session | Amended
Bill Title: Relating To Taxation.
Spectrum: Moderate Partisan Bill (Democrat 5-1)
Status: (Introduced - Dead) 2021-12-10 - Carried over to 2022 Regular Session. [HB791 Detail]
Download: Hawaii-2022-HB791-Amended.html
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HOUSE OF REPRESENTATIVES |
H.B. NO. |
791 |
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THIRTY-FIRST LEGISLATURE, 2021 |
H.D. 1 |
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STATE OF HAWAII |
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A BILL FOR AN ACT
RELATING TO TAXATION.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. Chapter 235, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:
"§235- Teacher expenses; tax credit. (a)
There shall be allowed to each eligible educator
subject to the tax imposed by this chapter a nonrefundable tax credit for
qualifying expenses that shall be deductible from the eligible educator's net
income tax liability, if any, imposed by this chapter for the taxable year in
which the credit is properly claimed.
(b)
The amount of the tax credit shall be equal to the amount expended for
qualifying expenses in a taxable year; provided that the credit shall not
exceed $750 per taxable year.
(c)
An eligible educator claiming a credit under this section shall obtain a
written certificate from the school or schools at which the eligible educator
is employed that verifies the:
(1) Amount of the qualifying expenses paid or incurred by the eligible educator; and
(2) Employment of the eligible educator during the period in which the materials or services purchased were used or applied.
The eligible
educator shall file the certificate with the educator's tax return with the
department.
(d)
If the tax credit under this section exceeds the eligible educator's net
income tax liability, the excess of credit over liability may be used as a tax
credit against the eligible educator's net income tax liability in subsequent
years until exhausted.
(e)
All claims for a 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 tax credit may be claimed. Failure to comply with the foregoing provision
shall constitute a waiver of the right to claim the tax credit.
(f)
No other tax credit or deduction shall be claimed under this chapter for
the certain expenses used to claim a tax credit under this section for the
taxable year.
(g)
The director of taxation:
(1) Shall prepare any forms necessary to claim a tax credit under this section;
(2) May require the eligible educator to furnish reasonable information to ascertain the validity of the claim for the tax credit made under this section; and
(3) May adopt rules, pursuant to chapter 91, to effectuate the purposes of this section.
(h) As used in this section:
"Eligible educator" means, with
respect to any taxable year, an individual who is a pre-kindergarten through twelfth‑grade
teacher, instructor, counselor, principal, or aide in a school for at least nine
hundred hours during a school year.
"Personal protective equipment"
includes gloves, medical masks, N–95 respirators, eye protection, gowns and
aprons, boots or closed-toe work shoes, cleaning detergents, hand sanitizers, and
cleaning products and tools.
"Qualifying expenses" means
expenses paid or incurred by an eligible educator in connection with:
(1) Books;
(2) Supplies, other than athletic supplies for courses of instruction in health or physical education;
(3) Computer equipment, including related software and services;
(4) Supplementary materials used in the classroom;
(5) Professional-development courses related to
the curriculum in which the eligible educator provides instruction; and
(6) Supplies, including personal protective equipment, purchased from March 21, 2020, through June 30, 2021, for the purpose of reducing the risk of coronavirus disease 2019 transmission on the premises of the school or schools at which the eligible educator is employed."
SECTION 2. New statutory material is underscored.
SECTION 3. This Act shall take effect on July 1, 2050, and shall apply to taxable years beginning after December 31, 2021.
Report Title:
Tax Credit; Teacher Expenses
Description:
Establishes a state income tax credit for certain expenses incurred by pre-kindergarten through grade 12 teachers, instructors, counselors, principals, or aides in a school. Applies to taxable years beginning after 12/31/2021. Effective 7/1/2050. (HD1)
The summary description
of legislation appearing on this page is for informational purposes only and is
not legislation or evidence of legislative intent.
