STAND. COM. REP. NO.1556

Honolulu, Hawaii

, 2001

RE: H.B. No. 424

H.D. 1

S.D. 1

 

 

Honorable Robert Bunda

President of the Senate

Twenty-First State Legislature

Regular Session of 2001

State of Hawaii

Sir:

Your Committee on Ways and Means, to which was referred H.B. No. 424, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO THE INCOME TAX,"

begs leave to report as follows:

The purpose of this measure is to increase the standard income tax deduction for state residents.

Section 235-2.4, Hawaii Revised Statutes, sets the statutory standard income tax deduction for state residents. Your Committee supports the amendments contained in this measure to increase the amount of the standard deduction, in order to reduce the overall income tax liability of Hawaii residents.

Your Committee amended this measure to leave the amount of increase in the standard deduction blank for purposes of further discussion. For the same reason, your Committee also amended this measure to delay its effective date until taxable years beginning after December 31, 2050.

As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 424, H.D. 1, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 424, H.D. 1, S.D. 1, and be placed on the calendar for Third Reading.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

____________________________

BRIAN T. TANIGUCHI, Chair