STAND. COM. REP. NO. 1760

Honolulu, Hawaii

RE:    S.C.R. No. 115

       S.D. 1

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fourth State Legislature

Regular Session of 2007

State of Hawaii

Madam:

     Your Committee on Ways and Means, to which was referred S.C.R. No. 115, S.D. 1, entitled:

"SENATE CONCURRENT RESOLUTION REQUESTING THE DEPARTMENT OF TAXATION TO CODIFY THE LANGUAGE OF THE REFERENCES TO INTERNAL REVENUE CODE PROVISIONS IN SECTION 235-110.7, HAWAII REVISED STATUTES,"

begs leave to report as follows:

     The purpose of this measure is to request that the Department of Taxation codify the language of the references to Internal Revenue Code provisions in section 235-110.7, Hawaii Revised Statutes, and to submit the proposed legislation directly to the Legislature for introduction in the Regular Session of 2008.

     Written comments in support of this measure were received from the Department of Taxation and one individual.

     Your Committee finds that this measure will provide clarity for both tax practitioners and taxpayers, and responds to a recommendation by the 2001-2003 Tax Review Commission.

     As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee concurs with the intent and purpose of S.C.R. No. 115, S.D. 1, and recommends its adoption.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

____________________________

ROSALYN H. BAKER, Chair