STAND. COM. REP. 2518
Honolulu, Hawaii
, 2004
RE: S.B. No. 2994
S.D. 1
Honorable Robert Bunda
President of the Senate
Twenty-Second State Legislature
Regular Session of 2004
State of Hawaii
Sir:
Your Committees on Judiciary and Hawaiian Affairs and Ways and Means, to which was referred S.B. No. 2994 entitled:
"A BILL FOR AN ACT RELATING TO THE USE TAX,"
beg leave to report as follows:
The purpose of this measure is to amend the law relating to the use tax.
Your Committees have amended this measure by replacing its contents with language that:
(1) Clarifies when a seller is subject to the 0.5 per cent use tax;
(2) Restores the imposition of taxes on goods purchased both within and outside the State; and
(3) Clarifies that the use tax applies to sellers who acquire goods from outside the State and import the product for resale in the State,
in light of the recent Supreme Court decision of Baker & Taylor, Inc. v. Kawafuchi and prior administrative rule.
As affirmed by the records of votes of the members of your Committees on Judiciary and Hawaiian Affairs and Ways and Means that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 2994, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 2994, S.D. 1, and be recommitted to the Committees on Judiciary and Hawaiian Affairs and Ways and Means, for further consideration.
Respectfully submitted on behalf of the members of the Committees on Judiciary and Hawaiian Affairs and Ways and Means,
|
____________________________ BRIAN T. TANIGUCHI, Chair |
____________________________ COLLEEN HANABUSA, Chair |
|