Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Third State Legislature

Regular Session of 2005

State of Hawaii

Sir:

Your Committee on Finance, to which was referred S.B. No. 97, S.D. 1, entitled:

begs leave to report as follows:

The purpose of this bill is to adjust the current standard deduction amounts for state income tax returns with unspecified amounts.

The Tax Foundation of Hawaii testified in support of this bill. The Department of Taxation supported the intent of this measure.

Your Committee has amended this bill by changing the effective date to July 1, 2010, to encourage further discussion.

As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 97, S.D. 1, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 97, S.D. 1, H.D. 1, and be placed on the calendar for Third Reading.