Report Title:

Low-Income Refundable Tax Credit

Description:

Increases the low-income refundable tax credit.

HOUSE OF REPRESENTATIVES	H.B. NO.	501
TWENTY-FOURTH LEGISLATURE, 2007
STATE OF HAWAII

A BILL FOR AN ACT

RELATING TO LOW-INCOME REFUNDABLE TAX CREDIT.

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

     SECTION 1.  Section 235-55.85, Hawaii Revised Statutes, is amended by amending subsection (b) to read as follows:

     "(b)  Each resident individual taxpayer may claim a refundable low-income tax credit multiplied by the number of qualified exemptions to which the taxpayer is entitled in accordance with the table below; provided that a husband and wife filing separate tax returns for a taxable year for which a joint return could have been filed by them shall claim only the tax credit to which they would have been entitled had a joint return been filed.

     Adjusted gross income   Credit per exemption

        Under $10,000            [$35] $100

     $10,000 under $15,000         [25] 75

     $15,000 under $20,000         [10] 50

        [Over] $20,000 or over       0"

     SECTION 2.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 3.  This Act, upon its approval, shall apply to taxable years beginning after December 31, 2006.

INTRODUCED BY:

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