Report Title:

Transient Accommodations Tax; Cruise Ship Cabins

Description:

Imposes 7.25% transient accommodations tax on gross proceeds derived from cruise ship cabins, but only for that portion of the entire cruise ship voyage, in number of days, that the cruise ship is docked at a port in the State.

THE SENATE	S.B. NO.	1579
TWENTY-FOURTH LEGISLATURE, 2007
STATE OF HAWAII

A BILL FOR AN ACT

relating to transient accommodations tax.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

     SECTION 1.  Section 237D-1, Hawaii Revised Statutes, is amended by adding a new definition to be appropriately inserted and to read as follows:

     ""Cruise ship cabin" means any accommodation on a cruise ship that is docked at any port in the State."

     SECTION 2.  Section 237D-1, Hawaii Revised Statutes, is amended by amending the definition of "transient accommodations" to read as follows:

     "Transient accommodations" [mean the furnishing of] means a room, apartment, suite, cruise ship cabin, or the like which is customarily occupied by a transient for less than one hundred eighty consecutive days for each letting by a hotel, apartment hotel, motel, condominium property regime or apartment as defined in chapter 514B, cooperative apartment, or rooming house that provides living quarters, sleeping, or housekeeping accommodations, or cruise ship, or other place in which lodgings are regularly furnished to transients for consideration."

     SECTION 3.  Section 237D-2, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:

     "(a)  There is levied and shall be assessed and collected each month a tax of:

     (1)  Five per cent for the period beginning on January 1, 1987, to June 30, 1994;

     (2)  Six per cent for the period beginning July 1, 1994, to December 31, 1998; and

     (3)  7.25 per cent for the period beginning on January 1, 1999, and thereafter;

on the gross rental or gross rental proceeds derived from furnishing transient accommodations[.]; provided that an operator of a cruise ship offering a cruise ship cabin shall be assessed and shall pay a tax of 7.25 per cent on the gross proceeds derived from the cruise ship cabin but only for that portion of the entire cruise ship voyage, in number of days, that the cruise ship is docked at a port in the State."

     SECTION 4.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 5.  This Act shall take effect upon its approval.

INTRODUCED BY:

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