Bill Text: HI SB2416 | 2010 | Regular Session | Introduced
Bill Title: General Excise Tax; Pay on Last Day of Month, Quarter, Half-Year
Spectrum: Partisan Bill (Democrat 6-0)
Status: (Introduced - Dead) 2010-01-25 - (S) Referred to WAM. [SB2416 Detail]
Download: Hawaii-2010-SB2416-Introduced.html
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THE SENATE |
S.B. NO. |
2416 |
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TWENTY-FIFTH LEGISLATURE, 2010 |
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STATE OF HAWAII |
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A BILL FOR AN ACT
relating to general excise tax deadlines.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. Purpose. The legislature finds that Act 196, Session Laws of Hawaii, 2009, created a hardship for certain businesses and made compliance very difficult. Act 196 advanced the filing and payment of monthly, quarterly, and semi-annual general excise taxes due, from the last calendar day of the month following the month, quarter, or half-year in which taxes accrue to the twentieth day of that month, quarter, or half-year. However, for condominium management businesses on a monthly cycle, the process from billing to payment to reporting can take longer than twenty days. Due to a large volume of transactions, it frequently takes until the fifteenth of the month to complete all billing and payments. Statements are then sent to condominium owners for payment. If an owner can access the statement online, the individual can pay online within a day or two. However, many people do not use the Internet for bill payment and receive and pay their bills by regular mail, which would exceed the twentieth day of the month deadline.
The purpose of the Act is to amend the due date from the twentieth to the last calendar day of the month for filing and payment of general excise taxes.
SECTION 2. Section 237-30, Hawaii Revised Statutes, is amended by amending subsections (a) and (b) to read as follows:
"(a) The taxes levied hereunder shall be
payable in monthly installments on or before the [twentieth] last
day of the calendar month following the month in which they accrue. The
taxpayer, on or before the [twentieth] last day of the calendar
month following the month in which the taxes accrue, shall make out and sign a
return of the installment of tax for which the taxpayer is liable for the
preceding month and transmit the same, together with a remittance, in the form
required by section 237-31, for the amount of the tax, to the office of the
department of taxation in the appropriate district hereinafter designated.
(b) Notwithstanding subsection (a), the director of taxation, for good cause, may permit a taxpayer to file the taxpayer's return required under this section and make payments thereon:
(1) On a quarterly basis during the calendar or
fiscal year, the return and payment to be made on or before the [twentieth]
last day of the calendar month after the close of each quarter, to wit:
for calendar year taxpayers, on or before April [20,] 30, July [20,]
31, October [20,] 31, and January [20] 31
or, for fiscal year taxpayers, on or before the [twentieth] last
day of the fourth month, seventh month, and tenth month following the beginning
of the fiscal year and on or before the [twentieth] last day of
the month following the close of the fiscal year; provided that the director is
satisfied that the grant of the permit will not unduly jeopardize the
collection of the taxes due thereon and the taxpayer's total tax liability for
the calendar or fiscal year under this chapter will not exceed $4,000; or
(2) On a semiannual basis during the calendar or
fiscal year, the return and payment to be made on or before the [twentieth]
last day of the calendar month after the close of each six-month period,
to wit: for calendar year taxpayers, on July [20] 31 and January
[20] 31 or, for fiscal year taxpayers, on or before the [twentieth]
last day of the seventh month following the beginning of the fiscal year
and on or before the last day of the month following the close of the fiscal
year; provided that the director is satisfied that the grant of the permit will
not unduly jeopardize the collection of the taxes due thereon and the
taxpayer's total tax liability for the calendar or fiscal year under this
chapter will not exceed $2,000.
The director, for good cause, may permit a taxpayer to make monthly payments based on the taxpayer's estimated quarterly or semiannual liability, provided the taxpayer files a reconciliation return at the end of each quarter or at the end of each six-month period during the calendar or fiscal year, as provided in this section."
SECTION 3. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 4. This Act, upon its approval, shall apply to returns and payments due after June 30, 2010.
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INTRODUCED BY: |
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Report Title:
General Excise Tax; Pay on Last Day of Month, Quarter, Half-Year
Description:
Requires monthly, quarterly, and semi-annual general excise tax payments to be made on the last day, rather than the 20th day of the calendar month, quarter, or semi-annual period.
The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.
