Hawaii 2025 Regular Session

Hawaii Senate Bill SB596 Compare Versions

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

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1	1	THE SENATE S.B. NO. 596 THIRTY-THIRD LEGISLATURE, 2025 STATE OF HAWAII A BILL FOR AN ACT relating to taxation. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
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3	3	THE SENATE S.B. NO. 596
4	4	THIRTY-THIRD LEGISLATURE, 2025
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7	7	THE SENATE
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9	9	S.B. NO.
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11	11	596
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13	13	THIRTY-THIRD LEGISLATURE, 2025
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17	17	STATE OF HAWAII
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31	31	A BILL FOR AN ACT
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37	37	relating to taxation.
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43	43	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
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47	47	SECTION 1. Chapter 235, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows: "§235- Electric garbage truck tax credit. (a) There shall be allowed to each qualified taxpayer subject to the tax imposed under this chapter, an income tax credit that shall be deductible from the taxpayer's net income tax liability, if any, imposed by this chapter for the taxable year in which the credit is properly claimed. (b) The amount of the tax credit shall be $ for each electric garbage truck purchased by the qualified taxpayer. (c) In the case of a partnership, S corporation, estate, or trust, the tax credit allowable is for qualified expenses incurred by the entity for the taxable year. The expenses upon which the tax credit is computed shall be determined at the entity level. Distribution and share of credit shall be determined by rule. (d) The total amount of tax credits allowed under this section shall not exceed $ for all qualified taxpayers in any taxable year; provided that any taxpayer who is not eligible to claim the credit in a taxable year due to the $ cap having been exceeded for that taxable year shall be eligible to claim the credit in the subsequent taxable year. (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) If the tax credit under this section exceeds the taxpayer's net income tax liability, the excess of the credit over liability may be used as a credit against the taxpayer's net income tax liability in subsequent years until exhausted. All claims for the tax credit under this section, including amended claims, 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. (g) For the purposes of this section: "Electric garbage truck" means a motor vehicle that is powered by an electric motor via electricity stored in a high-capacity battery or generated from an onboard fuel cell and used for the transport or disposal of garbage or solid waste. "Qualified taxpayer" means a taxpayer subject to the tax under this chapter that receives compensation for the transport or disposal of garbage or solid waste within the State." SECTION 2. New statutory material is underscored. SECTION 3. This Act, upon its approval, shall apply to taxable years beginning after December 31, 2024. INTRODUCED BY: _____________________________
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49	49	SECTION 1. Chapter 235, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:
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51	51	"§235- Electric garbage truck tax credit. (a) There shall be allowed to each qualified taxpayer subject to the tax imposed under this chapter, an income tax credit that shall be deductible from the taxpayer's net income tax liability, if any, imposed by this chapter for the taxable year in which the credit is properly claimed.
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53	53	(b) The amount of the tax credit shall be $ for each electric garbage truck purchased by the qualified taxpayer.
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55	55	(c) In the case of a partnership, S corporation, estate, or trust, the tax credit allowable is for qualified expenses incurred by the entity for the taxable year. The expenses upon which the tax credit is computed shall be determined at the entity level. Distribution and share of credit shall be determined by rule.
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57	57	(d) The total amount of tax credits allowed under this section shall not exceed $ for all qualified taxpayers in any taxable year; provided that any taxpayer who is not eligible to claim the credit in a taxable year due to the $ cap having been exceeded for that taxable year shall be eligible to claim the credit in the subsequent taxable year.
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59	59	(e) The director of taxation:
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61	61	(1) Shall prepare any forms that may be necessary to claim a tax credit under this section;
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63	63	(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
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65	65	(3) May adopt rules under chapter 91 necessary to effectuate the purposes of this section.
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67	67	(f) If the tax credit under this section exceeds the taxpayer's net income tax liability, the excess of the credit over liability may be used as a credit against the taxpayer's net income tax liability in subsequent years until exhausted. All claims for the tax credit under this section, including amended claims, 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.
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69	69	(g) For the purposes of this section:
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71	71	"Electric garbage truck" means a motor vehicle that is powered by an electric motor via electricity stored in a high-capacity battery or generated from an onboard fuel cell and used for the transport or disposal of garbage or solid waste.
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73	73	"Qualified taxpayer" means a taxpayer subject to the tax under this chapter that receives compensation for the transport or disposal of garbage or solid waste within the State."
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75	75	SECTION 2. New statutory material is underscored.
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77	77	SECTION 3. This Act, upon its approval, shall apply to taxable years beginning after December 31, 2024.
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81	81	INTRODUCED BY: _____________________________
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91	91	Report Title: Electric Garbage Trucks; Income Tax Credit Description: Establishes an income tax credit for the purchase of electric garbage trucks by qualified taxpayers. Applies to taxable years beginning after 12/31/2024. The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.
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99	99	Electric Garbage Trucks; Income Tax Credit
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103	103	Description:
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105	105	Establishes an income tax credit for the purchase of electric garbage trucks by qualified taxpayers. Applies to taxable years beginning after 12/31/2024.
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113	113	The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.