General Excise Tax; Amnesty

Establishes a one time amnesty period for delinquent general
excise taxpayers, beginning 1/1/00 and ending 3/31/00.

HOUSE OF REPRESENTATIVES                H.B. NO.225        
TWENTIETH LEGISLATURE, 1999                                
STATE OF HAWAII                                            

                   A  BILL  FOR  AN  ACT



 1      SECTION 1.  There is established an amnesty period beginning
 2 January 1, 2000, and ending March 31, 2000, during which time a
 3 taxpayer, who has failed to pay state general excise tax on or
 4 before the day on which the tax is required to be paid, may pay
 5 to the director of taxation on or before March 31, 2000, the
 6 amount of that tax, without:
 7      (1)  Any interest that may otherwise be due;
 8      (2)  Any costs of collection that may otherwise be due; and
 9      (3)  The imposition of any civil or criminal penalties
10           arising out of an obligation imposed under the state
11           general excise tax law.
12      This Act shall apply only to state general excise tax
13 liabilities for tax returns due prior to January 1, 2000, and
14 shall not extend to any taxpayer who, at the time of the payment,
15 is under criminal investigation or charge for any state general
16 excise tax matter, as certified by a county prosecuting attorney
17 or the attorney general.
18      SECTION 2.  If a taxpayer elects to participate in the
19 temporary amnesty program established pursuant to this Act, as

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                                     H.B. NO.225        

 1 that election shall be evidenced by full payment of a state
 2 general excise tax liability, then that election shall constitute
 3 an express and absolute relinquishment of all administrative and
 4 judicial rights of appeal that have not run or otherwise expired
 5 as of the date payment is made.  The relinquishment of rights of
 6 appeal pursuant to this Act shall apply with respect to all
 7 rights of appeal established by law.  No tax payment made
 8 pursuant to this Act shall be eligible for refund or credit,
 9 whether claimed by administrative protest or judicial appeal,
10 except as otherwise provided.
11      SECTION 3.  No amnesty payment shall be accepted without the
12 express approval of the director of taxation with respect to any
13 state general excise tax assessment that is the subject of any
14 administrative or judicial appeal as of the effective date of
15 this Act.
16      SECTION 4.  No taxpayer shall be entitled to the waiver of
17 penalty, interest, and cost of collection unless full payment of
18 the general excise tax due is made.  There shall be imposed a
19 five per cent penalty, which shall not be subject to waiver or
20 abatement, in addition to all other penalties, interest, or costs
21 of collection otherwise authorized by law, upon any state general
22 excise tax liability eligible to be satisfied during the amnesty
23 period that was not satisfied during that period.

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                                     H.B. NO.225        

 1      SECTION 5.  This Act shall take effect on December 31, 1999.
 3                           INTRODUCED BY:_________________________