STAND. COM. REP. NO.17-02
Honolulu, Hawaii
, 2002
RE: H.B. No. 1794
H.D. 1
Honorable Calvin K.Y. Say
Speaker, House of Representatives
Twenty-First State Legislature
Regular Session of 2002
State of Hawaii
Sir:
Your Committee on Economic Development and Business Concerns, to which was referred H.B. No. 1794 entitled:
"A BILL FOR AN ACT RELATING TO A GENERAL EXCISE TAX HOLIDAY,"
begs leave to report as follows:
The purpose of this bill is to establish a three-day general excise tax exemption on the sale of footwear and clothing valued at under $100, provided that:
(1) Businesses pass the savings on to consumers; and
(2) Federal legislation fully reimburses the State for taxes that are not collected under this bill.
Testimony in support of this measure was received from Retail Merchants of Hawaii. The Department of Budget and Finance and the Department of Taxation opposed this measure. The Tax Foundation of Hawaii offered comments.
Your Committee has amended this bill by:
(1) Adding a provision requiring that this bill meet all federal criteria and standards to qualify for full federal reimbursement of State taxes that are not collected under this measure; and
(2) Making technical, nonsubstantive amendments for purposes of style and clarity.
As affirmed by the record of votes of the members of your Committee on Economic Development and Business Concerns that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1794, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1794, H.D. 1, and be referred to the Committee on Finance.
Respectfully submitted on behalf of the members of the Committee on Economic Development and Business Concerns,
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____________________________ LEI AHU ISA, Chair |
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