Hawaii 2022 Regular Session

Hawaii House Bill HB1819 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	HOUSE OF REPRESENTATIVES H.B. NO. 1819 THIRTY-FIRST LEGISLATURE, 2022 STATE OF HAWAII A BILL FOR AN ACT RELATING TO TAXATION. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
2	2
3	3	HOUSE OF REPRESENTATIVES H.B. NO. 1819
4	4	THIRTY-FIRST LEGISLATURE, 2022
5	5	STATE OF HAWAII
6	6
7	7	HOUSE OF REPRESENTATIVES
8	8
9	9	H.B. NO.
10	10
11	11	1819
12	12
13	13	THIRTY-FIRST LEGISLATURE, 2022
14	14
15	15
16	16
17	17	STATE OF HAWAII
18	18
19	19
20	20
21	21
22	22
23	23
24	24
25	25
26	26
27	27
28	28
29	29
30	30
31	31	A BILL FOR AN ACT
32	32
33	33
34	34
35	35
36	36
37	37	RELATING TO TAXATION.
38	38
39	39
40	40
41	41
42	42
43	43	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
44	44
45	45
46	46
47	47	SECTION 1. Chapter 235, Hawaii Revised Statutes, is amended by adding a new section to part III to be appropriately designated and to read as follows: "§235- Child tax credit. (a) Any taxpayer who files an individual income tax return for a taxable year may claim an income tax credit under this section against the Hawaii state individual net income tax. (b) Each individual taxpayer may claim a tax credit for each qualifying child of the taxpayer 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 qualifying child for taxpayers filing a single return and married individuals filing separate returns Not over $35,000 $500 Over $35,000 but $250 not over $75,000 Over $75,000 $ 0. Adjusted gross income Credit per qualifying child for heads of household Not over $55,000 $500 Over $55,000 but $250 not over $107,500 Over $107,500 $ 0. Adjusted gross income Credit per qualifying child for married couples filing joint returns and surviving spouses Not over $75,000 $500 Over $75,000 but $250 not over $140,000 Over $140,000 $ 0. This credit is available only to Hawaii residents. Any part-year resident entitled to a credit under this section shall receive a proportional credit reflecting the part of the year in which the part-year resident was domiciled in Hawaii. (c) In the case of divorced parents or parents who do not live together, if the qualifying child is in the custody of one or both of the child's parents for more than one-half of a calendar year, the child is the qualifying child of the custodial parent for the taxable year beginning during the calendar year. However, the child may be the qualifying child of the noncustodial parent if either of the following requirements are met: (1) A court of competent jurisdiction has unconditionally awarded, in writing, the noncustodial parent the tax credit authorized under this section and the noncustodial parent attaches a copy of the court order to the noncustodial parent's income tax return for the taxable year; or (2) The custodial parent signs a written declaration that the custodial parent shall not claim the credit of this section with respect to the child for any taxable year beginning in the calendar year and the noncustodial parent attaches the written declaration to the noncustodial parent's income tax return for the taxable year beginning during the calendar year. (d) The credit allowed under this section shall be claimed against the net income tax liability for the taxable year. If the tax credit under this section exceeds the taxpayer's income tax liability, the excess of the tax credit over liability may be used as a credit against the taxpayer's net income tax liability in subsequent years until exhausted. All claims, including amended claims, for a tax credit under this section shall be filed on or before the end of the twelfth month following the close of the taxable year for which the credit may be claimed. Failure to comply with the foregoing provision shall constitute a waiver of the right to claim the credit. (e) The director of taxation: (1) Shall prepare any forms that may be necessary to claim a tax credit under this section; (2) May require the taxpayer to furnish reasonable information to ascertain the validity of the claim for the tax credit made under this section; and (3) May adopt rules under chapter 91 necessary to effectuate the purposes of this section. (f) As used in this section, "qualifying child" has the meaning as defined in section 24(c) of the Internal Revenue Code." SECTION 2. New statutory material is underscored. SECTION 3. This Act, upon its approval, shall apply to taxable years beginning after December 31, 2021. INTRODUCED BY: _____________________________
48	48
49	49	SECTION 1. Chapter 235, Hawaii Revised Statutes, is amended by adding a new section to part III to be appropriately designated and to read as follows:
50	50
51	51	"§235- Child tax credit. (a) Any taxpayer who files an individual income tax return for a taxable year may claim an income tax credit under this section against the Hawaii state individual net income tax.
52	52
53	53	(b) Each individual taxpayer may claim a tax credit for each qualifying child of the taxpayer 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.
54	54
55	55	Adjusted gross income Credit per qualifying child
56	56
57	57	for taxpayers filing
58	58
59	59	a single return and
60	60
61	61	married individuals
62	62
63	63	filing separate returns
64	64
65	65	Not over $35,000 $500
66	66
67	67	Over $35,000 but $250
68	68
69	69	not over $75,000
70	70
71	71	Over $75,000 $ 0.
72	72
73	73	Adjusted gross income Credit per qualifying child
74	74
75	75	for heads of household
76	76
77	77	Not over $55,000 $500
78	78
79	79	Over $55,000 but $250
80	80
81	81	not over $107,500
82	82
83	83	Over $107,500 $ 0.
84	84
85	85	Adjusted gross income Credit per qualifying child
86	86
87	87	for married couples
88	88
89	89	filing joint returns
90	90
91	91	and surviving spouses
92	92
93	93	Not over $75,000 $500
94	94
95	95	Over $75,000 but $250
96	96
97	97	not over $140,000
98	98
99	99	Over $140,000 $ 0.
100	100
101	101	This credit is available only to Hawaii residents. Any part-year resident entitled to a credit under this section shall receive a proportional credit reflecting the part of the year in which the part-year resident was domiciled in Hawaii.
102	102
103	103	(c) In the case of divorced parents or parents who do not live together, if the qualifying child is in the custody of one or both of the child's parents for more than one-half of a calendar year, the child is the qualifying child of the custodial parent for the taxable year beginning during the calendar year. However, the child may be the qualifying child of the noncustodial parent if either of the following requirements are met:
104	104
105	105	(1) A court of competent jurisdiction has unconditionally awarded, in writing, the noncustodial parent the tax credit authorized under this section and the noncustodial parent attaches a copy of the court order to the noncustodial parent's income tax return for the taxable year; or
106	106
107	107	(2) The custodial parent signs a written declaration that the custodial parent shall not claim the credit of this section with respect to the child for any taxable year beginning in the calendar year and the noncustodial parent attaches the written declaration to the noncustodial parent's income tax return for the taxable year beginning during the calendar year.
108	108
109	109	(d) The credit allowed under this section shall be claimed against the net income tax liability for the taxable year. If the tax credit under this section exceeds the taxpayer's income tax liability, the excess of the tax credit over liability may be used as a credit against the taxpayer's net income tax liability in subsequent years until exhausted. All claims, including amended claims, for a tax credit under this section shall be filed on or before the end of the twelfth month following the close of the taxable year for which the credit may be claimed. Failure to comply with the foregoing provision shall constitute a waiver of the right to claim the credit.
110	110
111	111	(e) The director of taxation:
112	112
113	113	(1) Shall prepare any forms that may be necessary to claim a tax credit under this section;
114	114
115	115	(2) May require the taxpayer to furnish reasonable information to ascertain the validity of the claim for the tax credit made under this section; and
116	116
117	117	(3) May adopt rules under chapter 91 necessary to effectuate the purposes of this section.
118	118
119	119	(f) As used in this section, "qualifying child" has the meaning as defined in section 24(c) of the Internal Revenue Code."
120	120
121	121	SECTION 2. New statutory material is underscored.
122	122
123	123	SECTION 3. This Act, upon its approval, shall apply to taxable years beginning after December 31, 2021.
124	124
125	125
126	126
127	127	INTRODUCED BY: _____________________________
128	128
129	129	INTRODUCED BY:
130	130
131	131	_____________________________
132	132
133	133
134	134
135	135
136	136
137	137	Report Title: Income Tax; Child Tax Credit Description: Establishes a nonrefundable state child 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.
138	138
139	139
140	140
141	141
142	142
143	143	Report Title:
144	144
145	145	Income Tax; Child Tax Credit
146	146
147	147
148	148
149	149	Description:
150	150
151	151	Establishes a nonrefundable state child tax credit.
152	152
153	153
154	154
155	155
156	156
157	157
158	158
159	159	The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.