HB 1265 creates a tax credit for businesses that use recycled or waste materials as inputs in their operations. It directly affects businesses generating or utilizing such materials, allowing them to reduce their state tax liability. The credit applies to taxable years beginning after December 31, 2025, meaning it would take effect in 2026. This bill establishes a specific mechanism for claiming the credit but does not specify the credit amount or detailed eligibility criteria in the provided abstract. The bill is currently pending in committee review for the 2026 legislative session.
Authorizes the School Facilities Authority to use public-private partnerships for the development of public school facilities, including facilities at public charter schools. Requires the School Facilities Authority to establish a pilot program to develop three new public schools in areas based on demonstrated need through public-private partnerships. Requires the approval of the Department of Education prior to the development of a public school for the pilot program on Department lands. Requires reports to the Legislature. Appropriates funds. Effective 7/1/3000. (HD1)
SB 123 eliminates a tax deduction for home mortgage interest on second homes under Hawaii's income tax law. This change directly affects Hawaii residents who currently claim this deduction for properties not used as their primary residence. The bill requires the state to submit annual reports to the Legislature detailing the deduction's impact. These provisions represent a specific policy change to Hawaii's tax code, removing a financial benefit for second-home owners.
Establishes a definition for "premium cigar" that is distinct from a "large cigar" and adds a definition for "characterizing flavor" in the Cigarette Tax and Tobacco Tax Law. Excludes premium cigars from percentage excise tax. Establishes an excise tax at a rate of 50 cents per premium cigar.
Requires the Department of Taxation to establish a pilot program that would grant participating landlords a certain general excise tax exemption for each unit they rent to a long-term tenant with a pet. Requires the Department of Taxation to submit reports to the Legislature.
By 1/1/2040, requires all municipal wastewater treatment facilities owned by a State or county agency to meet state R-1 water standards. Requires the Department of Health to adopt five-year benchmarks to ensure compliance with state R-1 water standards. Requires the Legislature to appropriate sufficient funds. Appropriates funds.
Beginning on 1/1/2026, increases transient accommodations tax rates by 1 percentage point. Deposits the increased revenues into the Hawaiian Home General Loan Fund established under the Hawaiian Homes Commission Act, 1920, as amended. Effective 7/1/3000. (HD1)
Permanently increases the state earned income tax credit to fifty per cent of the federal earned income tax credit. Applies to taxable years beginning after 12/31/2024.
HB 574 would create a $3,000 income tax credit for retired Hawaii National Guard service members, directly reducing their state tax liability. The bill provides this credit as a specific policy change to support veterans who served in the state's National Guard. It does not alter tax rates or create new obligations but offers a concrete financial benefit to eligible retired members. The legislation is currently pending in the 2026 session after being carried over from 2025.
Increases designated income check-off amounts for the Hawaii Election Campaign Fund to $6 for taxpayers filing individual returns with $6 or more of state income tax liability and for spouses filing joint returns with $12 or more of state income tax liability.
