HB 760 Hawaii House · 2026 Regular Session

RELATING TO TAXATION.

Summary

Reenacts the agricultural development and food security special fund. Establishes and appropriates moneys into the carbon emissions tax and dividend special fund. Establishes a refundable tax credit to mitigate the effect of a carbon emissions tax on taxpayers. Amends the environmental response, energy, and food security tax by taxing fossil fuels based on their emissions. Requires reports to the Legislature. Effective 7/1/3000. (HD1)

Bill status in committee 1 of 4 stages cleared

Introduction

Jan 2025

Committee Review

Floor Vote

Governor

Introduced Jan 17, 2025 Last action Dec 8, 2025

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What changed between versions

HB760 → HB760_HD1 · 5 edits

MODERATE

This bill revision (HD1) reorganizes the legislative text to prioritize the reenactment of the agricultural development fund before detailing the new carbon tax and dividend program. It simplifies the introductory findings by removing specific income thresholds and Nobel laureate citations, while significantly expanding the tax credit structure to include specific dollar amounts for each year through 2045 and additional credits for dependents. The effective date for the tax is set to January 1, 2026, but the entire act is oddly scheduled to take effect on July 1, 3000.

Scope change

The bill's scope remains focused on carbon taxation and agricultural funding, but the applicability of the tax credit has changed from a simplified income-based model to a complex, year-specific calculation that varies by filing status and number of dependents.

TIMELINE

The effective date for the entire Act was changed to July 1, 3000, while the specific tax provisions remain scheduled to begin in 2026.

ELIGIBILITY

The tax credit eligibility criteria were expanded to include specific dollar amounts for each year from 2026 to 2045, differentiated by filing status (single, head of household, joint) and the number of dependents claimed.

FISCAL

The bill now explicitly appropriates funds from the general fund into the new carbon emissions tax and dividend special fund for the 2025-2026 fiscal year.

REQUIREMENT

The introductory text was shortened by removing detailed justifications regarding Nobel laureate support and specific income percentage thresholds, focusing instead on the core policy goals.

SCOPE

The legislative purpose was reordered to list the reenactment of the agricultural fund as the first priority, followed by the establishment of the carbon tax and dividend fund.

Floor votes

How they voted

No floor votes recorded yet.

Full legislative history

Actions timeline

Total actions

Key actions

Committee

Feb 6, 2025

Committee

Reported from EEP/AGR (Stand. Com. Rep. No. 231) as amended in HD 1, recommending passage on Second Reading and referral to ECD.

lower

Jan 30, 2025

Lower · Passed

The committee on AGR recommend that the measure be PASSED, WITH AMENDMENTS. The votes were as follows: 5 Ayes: Representative(s) Kahaloa, Kusch, Lowen, Perruso, Quinlan; Ayes with reservations: none; Noes: none; and 1 Excused: Representative(s) Ward.

lower

Jan 30, 2025

Lower · Passed

The committee on EEP recommend that the measure be PASSED, WITH AMENDMENTS. The votes were as follows: 5 Ayes: Representative(s) Lowen, Perruso, Kahaloa, Kusch, Quinlan; Ayes with reservations: none; Noes: none; and 1 Excused: Representative(s) Ward.

lower

Jan 21, 2025

Committee

Referred to EEP/AGR, ECD, FIN, referral sheet 2

lower

Jan 21, 2025

Introduced

Introduced and Pass First Reading.

lower

Jan 17, 2025

Introduced

Pending introduction.

lower

8 primary · 0 co-sponsors