STAND. COM. REP. NO.  665

 

Honolulu, Hawaii

                , 2011

 

RE:   H.B. No. 794

      H.D. 1

 

 

 

 

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Sixth State Legislature

Regular Session of 2011

State of Hawaii

 

Sir:

 

     Your Committee on Finance, to which was referred H.B. No. 794 entitled:

 

"A BILL FOR AN ACT RELATING TO TAXATION,"

 

begs leave to report as follows:

 

     The purpose of this bill is to amend the State Income Tax Law by:

 

     (1)  Placing a temporary cap on the amount of itemized deductions that may be claimed by a taxpayer; and

 

     (2)  Suspending the refunding feature of the capital goods excise tax credit for eligible depreciable tangible personal property placed in service after December 31, 2010, but before January 1, 2015.

 

     The Department of Taxation supported this bill.  A concerned individual opposed this measure.  The Tax Foundation of Hawaii provided comments.

 

     Your Committee has amended this bill by:

 

     (1)  Removing provisions that suspend the refunding feature of the capital goods excise tax credit for eligible depreciable tangible personal property placed in service after December 31, 2010, but before January 1, 2015; and

 

     (2)  Making technical, nonsubstantive amendments for clarity, consistency, and style.

 

     As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 794, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 794, H.D. 1, and be placed on the calendar for Third Reading.

 

Respectfully submitted on behalf of the members of the Committee on Finance,

 

 

 

 

____________________________

MARCUS R. OSHIRO, Chair