STAND. COM. REP. NO.455

Honolulu, Hawaii

, 2003

RE: S.B. No. 900

S.D. 1

 

 

Honorable Robert Bunda

President of the Senate

Twenty-Second State Legislature

Regular Session of 2003

State of Hawaii

Sir:

Your Committee on Economic Development, to which was referred S.B. No. 900 entitled:

"A BILL FOR AN ACT RELATING TO TAX CREDITS,"

begs leave to report as follows:

The purpose of this measure is to allow a small business renovation tax credit.

Comments on this measure were received from the Department of Taxation and National Federation of Independent Business.

The credit is for an independently owned and operated small business employing not more than twenty-five employees and earning not more than $5,000,000 in annual gross income. The amount of the credit is ten per cent of the renovation costs incurred up to an unspecified amount, if the renovation work is performed by a licensed entity and in compliance with state labor and business laws.

Your Committee believes that because the State's fiscal outlook is uncertain at this time, this measure deserves further consideration and discussion.

Your Committee has amended this measure by changing the effective date to July 1, 2050, to continue the discussion.

As affirmed by the record of votes of the members of your Committee on Economic Development that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 900, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 900, S.D. 1, and be referred to the Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committee on Economic Development,

____________________________

CAROL FUKUNAGA, Chair