Bill Text: HI SB2699 | 2018 | Regular Session | Amended
Bill Title: Relating To The Transient Accommodations Tax.
Spectrum: Partisan Bill (Democrat 7-0)
Status: (Vetoed) 2018-07-10 - Vetoed on 07-10-18 - Returned from the Governor without approval (Gov. Msg. No. 1257). [SB2699 Detail]
Download: Hawaii-2018-SB2699-Amended.html
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THE SENATE |
S.B. NO. |
2699 |
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TWENTY-NINTH LEGISLATURE, 2018 |
S.D. 2 |
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STATE OF HAWAII |
H.D. 1 |
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A BILL FOR AN ACT
RELATING TO THE TRANSIENT ACCOMMODATIONS TAX.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. Section 237D-1, Hawaii Revised Statutes, is amended as follows:
1. By adding a new definition to be appropriately inserted and to read:
""Resort fee" means any mandatory charge or surcharge imposed by an operator, owner, or representative thereof to a transient for the use of the transient accommodation's property, services, or amenities."
2. By amending the definition of "gross rental" or "gross rental proceeds" to read:
""Gross rental" or "gross
rental proceeds" means the gross receipts, cash or accrued, of the taxpayer
received as compensation for the furnishing of transient accommodations and the
value proceeding or accruing from the furnishing of such accommodations, including
resort fees, without
any deductions on account of the cost of property or services sold, the cost of
materials used, labor cost, taxes, royalties, interest, discounts, or any other
expenses whatsoever. Every taxpayer
shall be presumed to be dealing on a cash basis unless the taxpayer proves to
the satisfaction of the department of taxation that the taxpayer is dealing on
an accrual basis and the taxpayer's books are so kept, or unless the taxpayer
employs or is required to employ the accrual basis for the purposes of the tax
imposed by chapter 237 for any taxable year in which event the taxpayer shall
report the taxpayer's gross income for the purposes of this chapter on the
accrual basis for the same period.
The words "gross rental" or "gross rental proceeds" shall not be construed to include the amounts of taxes imposed by chapter 237 or this chapter on operators of transient accommodations and passed on, collected, and received from the consumer as part of the receipts received as compensation for the furnishing of transient accommodations. Where transient accommodations are furnished through arrangements made by a travel agency or tour packager at noncommissionable negotiated contract rates and the gross income is divided between the operator of transient accommodations on the one hand and the travel agency or tour packager on the other hand, gross rental or gross rental proceeds to the operator means only the respective portion allocated or distributed to the operator, and no more. For purposes of this definition, where the operator maintains a schedule of rates for identifiable groups of individuals, such as kamaainas, upon which the accommodations are leased, let, or rented, gross rental or gross rental proceeds means the receipts collected and received based upon the scheduled rates and recorded as receipts in its books and records."
SECTION 2. New statutory material is underscored.
SECTION 3. This Act shall take effect on July 1, 2018.
Report Title:
Transient Accommodations Tax; Hotel Resort Fees; Gross Rental Proceeds
Description:
Imposes the transient accommodations tax on additional resort fees that must be included in gross rental proceeds. (SB2699 HD1)
The summary description
of legislation appearing on this page is for informational purposes only and is
not legislation or evidence of legislative intent.
