STAND. COM. REP. NO. 1927

                                 Honolulu, Hawaii
                                                   , 1999

                                 RE: H.C.R. No. 230
                                     H.D. 1




Honorable Calvin K.Y. Say
Speaker, House of Representatives
Twentieth State Legislature
Regular Session of 1999
State of Hawaii

Sir:

     Your Committee on Finance, to which was referred H.C.R. No.
230, H.D. 1, entitled: 

     "HOUSE CONCURRENT RESOLUTION REQUESTING A STUDY ON THE
     FEASIBILITY OF REPLACING THE INCOME TAX AND GENERAL EXCISE
     TAX WITH A NEW RETAIL SALES TAX OR OTHER TAX,"

begs leave to report as follows:

     The purpose of this concurrent resolution is to request that
the Department of Business, Economic Development, and Tourism and
the Department of Taxation, with the assistance of the
Legislative Reference Bureau, study the feasibility of replacing
the income and general excise taxes with a new retail sales tax
or other tax.

     As affirmed by the record of votes of the members of your
Committee on Finance that is attached to this report, your
Committee concurs with the intent and purpose of H.C.R. No. 230,
H.D. 1, and recommends its adoption.

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



                                   ______________________________
                                   DWIGHT Y. TAKAMINE, Chair