REPORT TITLE:
GET; County Reimbursement


DESCRIPTION:
Authorizes the reimbursement of general excise tax (GET) amounts
to counties for GET passed on to the counties.  (SD1)

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
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THE SENATE                              S.B. NO.           S.D. 1
TWENTIETH LEGISLATURE, 1999                                
STATE OF HAWAII                                            
                                                             
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                   A  BILL  FOR  AN  ACT

RELATING TO TAXATION.
 


BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 1      SECTION 1.  Chapter 237, Hawaii Revised Statutes, is amended
 
 2 by adding a new section to be appropriately designated and to
 
 3 read as follows:
 
 4      "§237-    Reimbursement for amounts of taxes passed on to
 
 5 county governments by licensees.  (a)  Each county shall be
 
 6 reimbursed for amounts of general excise taxes passed on to them
 
 7 by licensees under this chapter and paid by the county after
 
 8 June 30, 1999.  Each county shall submit an itemized claim to and
 
 9 in the form prescribed by the director of finance for
 
10 reimbursement of general excise taxes passed on to them by
 
11 licensees under this chapter and paid by the county after
 
12 June 30, 1999.  The claim shall be made within thirty days
 
13 following January 1 and July 1 of each year.  The director of
 
14 finance shall review the itemized claim and pay the amount due to
 
15 become a general realization of the county.  Payment shall be
 
16 made out of the special accounts created in section 237-31.
 
17      (b)  The director of finance may request proof of any
 
18 itemized claim, before making reimbursement.
 
19      (c)  Reimbursements to each county shall be made for general
 

 
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                                     S.B. NO.           S.D. 1
                                                        
                                                        

 
 1 excise taxes passed on to each county by licensees after June 30,
 
 2 1999, on the following schedule:
 
 3      (1)  For taxes passed on in fiscal year 1999-2000,          
 
 4           per cent;
 
 5      (2)  For taxes passed on in fiscal year 2000-2001,          
 
 6           per cent;
 
 7      (3)  For taxes passed on in fiscal year 2001-2002,          
 
 8           per cent; and
 
 9      (4)  For taxes passed on in fiscal year 2002-2003, and
 
10           thereafter,           per cent,
 
11 of the total itemized claim presented by each county during the
 
12 fiscal year set forth in paragraphs (1) to (4)."
 
13      SECTION 2.  Section 237-31, Hawaii Revised Statutes, is
 
14 amended to read as follows:
 
15      "§237-31  Remittances.  All remittances of taxes imposed by
 
16 this chapter shall be made by money, bank draft, check, cashier's
 
17 check, money order, or certificate of deposit to the office of
 
18 the department of taxation to which the return was transmitted.
 
19 The department shall issue its receipts therefor to the taxpayer
 
20 and shall pay the moneys into the state treasury as a state
 
21 realization, to be kept and accounted for as provided by law;
 
22 provided that [the]:
 
23      (1)  The sum from all general excise tax revenues realized
 

 
Page 3                                                     17
                                     S.B. NO.           S.D. 1
                                                        
                                                        

 
 1           by the State that represents the difference between
 
 2           $90,000,000 and the proceeds from the sale of any
 
 3           general obligation bonds authorized for that fiscal
 
 4           year for the purposes of the state educational
 
 5           facilities improvement special fund shall be deposited
 
 6           in the state treasury in each fiscal year to the credit
 
 7           of the state educational facilities improvement special
 
 8           fund; [provided further that a]
 
 9      (2)  A sum, not to exceed $5,000,000, from all general
 
10           excise tax revenues realized by the State shall be
 
11           deposited in the state treasury in each fiscal year to
 
12           the credit of the compound interest bond reserve
 
13           fund[.]; and
 
14      (3)  A sum, necessary to make reimbursement payments to each
 
15           county under section 237-    , shall be kept by the
 
16           director of finance in separate accounts for
 
17           distribution as provided in section 237-   ."
 
18      SECTION 3.  Statutory material to be repealed in bracketed.
 
19 New statutory material is underscored.
 
20      SECTION 4.  This Act shall take effect on July 1, 1999.