Bill Text: HI SB2909 | 2010 | Regular Session | Introduced

Hawaii Senate Bill 2909 (Prior Session Legislation)

Introduced

Bill Title: GET; Income Tax Credit

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2010-01-29 - (S) Referred to WAM. [SB2909 Detail]

Download: Hawaii-2010-SB2909-Introduced.html

THE SENATE	S.B. NO.	2909
TWENTY-FIFTH LEGISLATURE, 2010
STATE OF HAWAII

A BILL FOR AN ACT

relating to taxation.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

SECTION 1. Chapter 237, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

"§237- General excise tax surcharge. (a) There is levied, assessed, and collected as provided in this section, on all gross proceeds and gross income taxable under this chapter, a general excise tax surcharge equal to per cent of all gross proceeds and gross income that applies to this chapter. All provisions of this chapter shall apply to the general excise tax surcharge.

The director of taxation shall have all the rights and powers provided under this chapter to administer the general excise tax surcharge.

(b) The general excise tax surcharge shall be imposed on the gross proceeds or gross income of all written contracts that require the passing-on of the taxes imposed under this chapter; provided that if the gross proceeds or gross income are received as payments beginning in the taxable year in which the taxes become effective on contracts entered into before June 30 of the year prior to the taxable year in which the taxes become effective, and the written contracts do not provide for the passing-on of increased rates of taxes, the surcharge shall not be imposed on the gross proceeds or gross income covered under the written contracts.

The surcharge shall be imposed on the gross proceeds or gross income from all contracts entered into on or after June 30 of the year prior to the taxable year in which the taxes become effective, regardless of whether the contract allows for the passing-on of any tax or any tax increase.

(1) Gross income or gross proceeds taxable under this chapter at the one-half per cent tax rate;

(2) Gross income or gross proceeds taxable under this chapter at the 0.15 per cent tax rate; or

(3) Transactions, amounts, persons, gross income, or gross proceeds exempt from tax under this chapter.

(d) All taxpayers who file on a fiscal year basis whose fiscal year ends after December 31 of the year prior to the taxable year in which the taxes become effective, shall file a short period annual return for the period preceding January 1 of the taxable year in which the taxes become effective. Each fiscal year taxpayer shall also file a short period annual return for the period starting on January 1 of the taxable year in which the taxes become effective, and ending before January 1 of the following year."

SECTION 2. Section 235-55.85, Hawaii Revised Statutes, is amended by amending subsection (b) to read as follows:

"(b) Each resident individual taxpayer may claim a refundable food/excise tax credit multiplied by the number of qualified exemptions to which the taxpayer is entitled in accordance with the table below; provided that a husband and wife filing separate tax returns for a taxable year for which a joint return could have been filed by them shall claim only the tax credit to which they would have been entitled had a joint return been filed.

Adjusted gross income Credit per exemption

Under $5,000 [~~$85~~]$___

$5,000 under $10,000 [75]___

$10,000 under $15,000 [65]___

$15,000 under $20,000 [55]___

$20,000 under $30,000 [45]___

$30,000 under $40,000 [35]___

$40,000 under $50,000 [25]___

$50,000 [~~and over~~] under $60,000 [0]___

$60,000 under $70,000 ___

$70,000 under $80,000 ___

$80,000 under $90,000 ___

$90,000 under $100,000 ___"

SECTION 3. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 4. This Act shall take effect upon its approval and shall apply to taxable years beginning after December 31, 2009.

INTRODUCED BY:	_____________________________

Report Title:

GET; Income Tax Credit

Description:

Provides vehicles to raise the general excise tax and to expand the qualifying income levels for the food/excise tax credit.

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.