Bill Text: HI SB1194 | 2018 | Regular Session | Amended
Bill Title: Relating To Agriculture.
Spectrum: Partisan Bill (Democrat 6-0)
Status: (Introduced - Dead) 2017-11-30 - Carried over to 2018 Regular Session. [SB1194 Detail]
Download: Hawaii-2018-SB1194-Amended.html
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THE SENATE |
S.B. NO. |
1194 |
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TWENTY-NINTH LEGISLATURE, 2017 |
S.D. 1 |
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STATE OF HAWAII |
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A BILL FOR AN ACT
RELATING TO AGRICULTURE.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. The legislature finds that Hawaii has seen tremendous growth in the sale of local agricultural commodities directly to consumers through farmers' markets, roadside stands, and community supported agriculture. The department of agriculture lists two hundred thirty farmers' markets statewide operating approximately three hundred fifty-eight markets each week. Furthermore, the State's Increased Food Security and Food Self-Sufficiency Strategy lists as priority actions facilitating farmer participation in farmers' markets and encouraging and promoting community supported agriculture.
The legislature further finds that the United States Department of Agriculture identified seven thousand farms in Hawaii in 2012. Many of these farms are small farms that sell produce directly to consumers through farmers' markets, roadside stands, and community supported agriculture. For example, 6,171 farms, or eighty-eight per cent of the total number of farms, has sales of less than $50,000.
The legislature finds that providing additional support to Hawaii's agricultural industry could help to reduce reliance on agricultural imports and foster job growth in the State. Additionally, reducing the tax burden for farms that produce and sell locally grown agricultural commodities, such as fruits, vegetables, nuts, coffee, and honey, will help to promote the production of locally-grown food.
The purpose of this Act is to exempt gross income from the sale of agricultural commodities sold directly to consumers from the general excise tax up to a limit of $50,000 per year.
SECTION 2. Chapter 237, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:
"§237- Exemption for sales of agricultural commodities made directly to consumers. (a) In addition to the amounts not taxable under sections 237-24 and 237-24.3, this chapter shall not apply to an amount up to, but not in excess of, $50,000 a year of gross income received from the sale of agricultural commodities sold directly to consumers by producers, including direct farm sales and sales at farmers' markets, roadside stands, and community supported agriculture.
(b) For the purposes of this section:
"Agricultural commodity" means fresh fruits and fresh vegetables of every kind and character; nuts; coffee, whether cherry or parchment or green beans; and raw unprocessed honey.
"Producer" shall have the same meaning as in section 147-1."
SECTION 3. New statutory material is underscored.
SECTION 4. This Act shall take effect on July 1, 2017.
Report Title:
Agricultural Commodity; Exemption; General Excise Tax
Description:
Exempts gross income from agricultural commodities sold directly to consumers from the general excise tax up to a limit of $50,000 per year. (SD1)
The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.
