Bill Text: HI HB791 | 2021 | Regular Session | Introduced
Bill Title: Relating To Taxation.
Spectrum: Moderate Partisan Bill (Democrat 5-1)
Status: (Introduced - Dead) 2021-02-18 - Passed Second Reading as amended in HD 1 and referred to the committee(s) on FIN with none voting aye with reservations; none voting no (0) and Representative(s) Gates excused (1). [HB791 Detail]
Download: Hawaii-2021-HB791-Introduced.html
HOUSE OF REPRESENTATIVES |
H.B. NO. |
791 |
THIRTY-FIRST LEGISLATURE, 2021 |
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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
qualifying taxpayer subject to the tax imposed by this chapter a nonrefundable
tax credit for qualifying expenses that shall be deductible from the taxpayer'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)
A qualifying taxpayer claiming a credit under this section shall obtain
a written certificate from the school or schools at which the taxpayer is employed
that verifies the:
(1) Amount of the qualifying expenses paid or incurred by the qualifying taxpayer; and
(2) Employment of the qualifying taxpayer during the period in which the materials or services purchased were used or applied.
The
taxpayer shall file the certificate with the taxpayer's tax return with the
department.
(d)
If the tax credit under this section exceeds the taxpayer's net income
tax liability, the excess of credit over liability may be used as a tax credit
against the taxpayer'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 taxpayer 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:
"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 a qualifying taxpayer 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 taxpayer 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 qualifying taxpayer is employed.
"Qualifying taxpayer" means,
with respect to any taxable year, an individual who is employed as a
pre-kindergarten through twelfth-grade teacher, instructor, school librarian,
counselor, principal, registrar, or aide in a school for at least nine hundred
hours during a school year.
"Qualifying taxpayer" includes a classroom teacher and special
education teacher."
SECTION 2. New statutory material is underscored.
SECTION 3. This Act, upon its approval, shall apply to taxable years beginning after December 31, 2021.
INTRODUCED BY: |
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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, school librarians, counselors, principals, registrars, or aides in a school. Applies to taxable years beginning after 12/31/2021.
The summary description
of legislation appearing on this page is for informational purposes only and is
not legislation or evidence of legislative intent.