Bill Text: HI SB2031 | 2018 | Regular Session | Introduced
Bill Title: Relating To Tax Exemption.
Spectrum: Partisan Bill (Democrat 6-0)
Status: (Introduced - Dead) 2018-01-19 - Referred to CPH/WAM. [SB2031 Detail]
Download: Hawaii-2018-SB2031-Introduced.html
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THE SENATE |
S.B. NO. |
2031 |
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TWENTY-NINTH LEGISLATURE, 2018 |
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STATE OF HAWAII |
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A BILL FOR AN ACT
relating to tax exemption.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. The purpose of this Act is to establish a statewide general excise tax exemption for the costs of food and health care.
SECTION 2. Chapter 237, Hawaii Revised Statutes, is amended by adding two new sections to be appropriately designated and to read as follows:
"§237- Amounts not taxable for food products and
food ingredients. (a) The excise tax assessed under this chapter
shall not apply to amounts received from the sale of food products or food
ingredients.
(b) As used in this section:
"Alcoholic beverages"
means beverages that are suitable for human consumption and contain one-half of
one per cent or more alcohol by volume.
"Dietary supplement"
means any product, other than tobacco, intended to supplement the diet that:
(1) Contains one or
more of the following dietary ingredients:
(A) A
vitamin;
(B) A
mineral;
(C) An
herb or other botanical element;
(D) An
amino acid;
(E) A
dietary substance for use by humans to supplement a person's diet by increasing
the total dietary intake; or
(F) A
concentrate, metabolite, constituent, extract, or combination of any ingredient
described in this definition;
(2) Is intended for
ingestion in tablet, capsule, powder, softgel, gelcap, or liquid form, or if
not intended for ingestion in such form, is not represented as conventional
food and is not represented for use as a sole item of a meal or of a diet; and
(3) Is required to
be labeled as a dietary supplement, identifiable by the "supplement
facts" box found on the label as required pursuant to title 21 Code of
Federal Regulations section 101.36, as amended or renumbered.
"Food ingredient" means
any substance purchased by a consumer to be cooked, baked, combined, or
otherwise prepared with one or more other food ingredients to create a food
product. "Food ingredient" does
not include alcoholic beverages, dietary supplements, or tobacco.
"Food product" has the
same meaning as in section 145D-1.
"Food product" does not include alcoholic beverages, dietary
supplements, or tobacco.
"Tobacco" means
cigarettes, cigars, chewing or pipe tobacco, or any other item that contains
tobacco.
(c) The director of taxation shall adopt rules
pursuant to chapter 91 for the purpose of this section, including any time
limitation for the exemptions.
§237- Amounts not taxable for health care
services. (a) The excise tax assessed under this chapter
shall not apply to amounts received as compensation for health care services.
(b) For purposes of this section, "health
care services" has the same meaning as in section 334B-2.
(c) The director of taxation shall adopt rules
pursuant to chapter 91 for the purpose of this section, including any time
limitation for the exemption."
SECTION 3. New statutory material is underscored.
SECTION 4. This Act shall apply to taxable years beginning after December 31, 2018.
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INTRODUCED BY: |
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Report Title:
General Excise Tax; Exemption; Food Product; Food Ingredient; Health Care Services
Description:
Exempts all amounts received from the sale of food products and ingredients, except alcohol, tobacco, and dietary supplements, and received as compensation for health care services from the general excise tax. Applies to taxable years beginning after 12/31/2018.
The summary description
of legislation appearing on this page is for informational purposes only and is
not legislation or evidence of legislative intent.
