Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Second State Legislature

Regular Session of 2004

State of Hawaii

Sir:

Your Committee on Economic Development and Business Concerns, to which was referred H.C.R. No. 101 entitled:

begs leave to report as follows:

The purpose of this Resolution is to request the Department of Taxation in conjunction with the Department of Business, Economic Development and Tourism to review all State tax incentives under Title 14, Hawaii Revised Statutes, to ensure the justification for such incentives still applies.

The Resolution, among other things:

(1) Requests the Department of Taxation to compile data on all current tax incentives provided under title 14,

Hawaii Revised Statutes, that benefit a specific

person, group, or organization and does not apply to the

general public;

(2) Requests that the Department of Business, Economic

(3) Requests the Department of Business, Economic

Development, and Tourism to include in the review

and cost benefit analysis a detailed justification of

each tax incentive.

Tax Foundation of Hawaii submitted testimony in support of this Resolution. The Department of Taxation and the Department of Business, Economic Development, and Tourism submitted testimony supporting the intent of the Resolution.

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 concurs with the intent and purpose of H.C.R. No. 101 and recommends that it be referred to the Committee on Finance.