Bill Text: HI SB395 | 2019 | Regular Session | Introduced
Bill Title: Relating To Conveyance Tax.
Spectrum: Partisan Bill (Democrat 2-0)
Status: (Engrossed - Dead) 2019-03-07 - Referred to FIN, referral sheet 27 [SB395 Detail]
Download: Hawaii-2019-SB395-Introduced.html
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THE SENATE |
S.B. NO. |
395 |
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THIRTIETH LEGISLATURE, 2019 |
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STATE OF HAWAII |
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A BILL FOR AN ACT
RELATING TO CONVEYANCE TAX.
BE IT
ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. Section 247-2, Hawaii Revised Statutes, is amended to read as follows:
"§247-2 Basis and rate of tax. The tax imposed by section 247-1 shall be based on the actual and full consideration (whether cash or otherwise, including any promise, act, forbearance, property interest, value, gain, advantage, benefit, or profit), paid or to be paid for all transfers or conveyance of realty or any interest therein, that shall include any liens or encumbrances thereon at the time of sale, lease, sublease, assignment, transfer, or conveyance, and shall be at the following rates:
(1) Except as provided in paragraph (2):
(A) Ten cents per $100 for properties with a value of less than $600,000;
(B) Twenty cents per $100 for properties with a value of at least $600,000, but less than $1,000,000;
(C) Thirty
cents per $100 for properties with a value of at least $1,000,000, but less
than $2,000,000;
(D) Fifty
cents per $100 for properties with a value of at least $2,000,000, but less
than $4,000,000;
(E) Seventy
cents per $100 for properties with a value of at least $4,000,000, but less
than $6,000,000;
(F) Ninety
cents per $100 for properties with a value of at least $6,000,000, but less
than $10,000,000; and
(G) One
dollar per $100 for properties with a value of $10,000,000 or greater; and
(2) For the sale of a condominium or single family residence for which the purchaser is ineligible for a county homeowner's exemption on property tax:
(A) Fifteen cents per $100 for properties with a value of less than $600,000;
(B) Twenty-five cents per $100 for properties with a value of at least $600,000, but less than $1,000,000;
(C) Forty
cents per $100 for properties with a value of at least $1,000,000, but less
than $2,000,000;
(D) Sixty
cents per $100 for properties with a value of at least $2,000,000, but less than
$4,000,000;
(E) Eighty-five
cents per $100 for properties with a value of at least $4,000,000, but less
than $6,000,000;
(F) One
dollar and ten cents per $100 for properties with a value of at least
$6,000,000, but less than $10,000,000; and
(G) One
dollar and twenty-five cents per $100 for properties with a value of
$10,000,000 or greater,
of [such] the actual and full consideration;
provided that in the case of a lease or sublease, [this chapter shall apply
only to a lease or sublease whose full unexpired term is for a period of five
years or more, and in those cases, including (where appropriate) those cases where
the lease has been extended or amended,] the tax in this chapter shall be
based on the cash value of the lease rentals discounted to present day value
and capitalized at the rate of six per cent, plus the actual and full
consideration paid or to be paid for any and all improvements, if any, that
shall include on-site as well as off-site improvements, applicable to the
leased premises; and provided further that the tax imposed for each transaction
shall be not less than $1."
SECTION 2. This Act does not affect rights and duties that matured, penalties that were incurred, and proceedings that were begun before its effective date.
SECTION 3. Statutory material to be repealed is bracketed and stricken.
SECTION 4. This Act shall take effect on July 1, 2019.
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INTRODUCED BY: |
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Report Title:
Taxation; Conveyance Tax; Realty; Leases
Description:
Repeals exemption from conveyance tax for realty leases of less than 5 years.
The summary description
of legislation appearing on this page is for informational purposes only and is
not legislation or evidence of legislative intent.
