Report Title:
Ocean Recreation; Taxation
Description:
Requires the Department of Taxation to deposit an amount equivalent to % of the general excise tax revenues received from the direct revenues generated by the ocean recreation industry during the preceding fiscal year into the boating special fund. (SD1)
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THE SENATE |
S.B. NO. |
2150 |
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TWENTY-THIRD LEGISLATURE, 2006 |
S.D. 1 |
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STATE OF HAWAII |
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A BILL FOR AN ACT
relating to boating.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. Section 237-31, Hawaii Revised Statutes, is amended to read as follows:
"§237-31 Remittances. All remittances of taxes imposed by this chapter shall be made by money, bank draft, check, cashier's check, money order, or certificate of deposit to the office of the department of taxation to which the return was transmitted. The department shall issue its receipts therefor to the taxpayer and shall pay the moneys into the state treasury as a state realization, to be kept and accounted for as provided by law; provided that:
(1) The sum from all general excise tax revenues realized by the State that represents the difference between $45,000,000 and the proceeds from the sale of any general obligation bonds authorized for that fiscal year for the purposes of the state educational facilities improvement special fund shall be deposited in the state treasury in each fiscal year to the credit of the state educational facilities improvement special fund;
(2) A sum, not to exceed $5,000,000, from all general excise tax revenues realized by the State shall be deposited in the state treasury in each fiscal year to the credit of the compound interest bond reserve fund; and
[(3) A sum, not to exceed the amount necessary to meet the obligations of the integrated tax information management systems performance-based contract may be retained and deposited in the state treasury to the credit of the integrated tax information management systems special fund. The sum retained by the director of taxation for deposit to the integrated tax information management systems special fund for each fiscal year shall be limited to amounts appropriated by the legislature. This paragraph shall be repealed on July 1, 2005.]
(3) Beginning July 1, 2006, and each fiscal year thereafter, a sum equal to per cent of the general excise tax revenues received from the direct revenues generated by the ocean recreation industry during the preceding fiscal year shall be deposited in the state treasury to the credit of the boating special fund established pursuant to section 248-8 to supplement general revenues for the payment of costs enumerated under section 200-8. For the purposes of this paragraph, "direct revenues generated by the ocean recreation industry" includes taxable revenue generated by the following businesses:
(A) Tour boats and cruise ship operators;
(B) Recreational fishing tour operators;
(C) Surf shops and surfboard manufacturers;
(D) Personal boat sales;
(E) Competitive ocean recreation-related events such as yacht racing, ocean swims/triathlons, surfing contests, and canoe races;
(F) Dive shop tour operators;
(G) Charter boat fishing operators;
(H) Billfish tournaments;
(I) Jet ski tour operators;
(J) Parasailing tour operators;
(K) Kayak tour operators; and
(L) Windsurfing tour operators."
SECTION 2. Section 248-8, Hawaii Revised Statutes, is amended to read as follows:
"§248-8 Special funds in treasury of State. There are created in the treasury of the State three special funds to be known, respectively, as the state highway fund, the airport revenue fund, and the boating special fund. All taxes collected under chapter 243 in each calendar year, except the "county of Hawaii fuel tax", "city and county of Honolulu fuel tax", "county of Maui fuel tax", and "county of Kauai fuel tax", shall be deposited in the state highway fund; provided that:
(1) All taxes collected under chapter 243 with respect to gasoline or other aviation fuel sold for use in or used for airplanes shall be set aside in the airport revenue fund; and
(2) All taxes collected under chapter 243 with respect to liquid fuel sold for use in or used for small boats shall be deposited in the boating special fund.
As used in this section, "small boats" means all vessels and other watercraft except those operated in overseas transportation beyond the State, and ocean-going tugs and dredges. The chairperson of the board of land and natural resources, from July 1, 1992, and every three years thereafter, shall establish standards or formulas that will as equitably as possible establish the total taxes collected under chapter 243 in each fiscal year that are derived from the sale of liquid fuel for use in or used for small boats. The amount so determined shall be deposited in the boating special fund. The amounts received pursuant to section 237-31(3) shall be deposited into the boating special fund.
An amount equal to 0.3 per cent of the highway fuel tax but not more than $250,000 collected under chapter 243 shall be allocated each fiscal year to the special land and development fund for purposes of the management, maintenance, and development of trails and trail accesses under the jurisdiction of the department of land and natural resources established under section 198D-2. "
SECTION 3. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 4. This Act shall take effect on July 1, 2060.