Report Title:

GET EXEMPTION; BIOMASS-DERIVED ALCOHOL FUEL

Description:

REINSTATES GET EXEMPTION FOR FUEL MIXTURES CONTAINING AT LEAST TEN VOLUME PER CENT BIOMASS-DERIVED ALCOHOL

THE SENATE	S.B. NO.	1294
TWENTY-FOURTH LEGISLATURE, 2007
STATE OF HAWAII

A BILL FOR AN ACT

RELATING TO GENERAL EXCISE TAX.

.

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

     SECTION 1.  Chapter 237, Hawaii Revised Statutes, is amended to read as follows:

     "§237-27.1  Exemption of sale of alcohol fuels.  (a)  There shall be exempted from and excluded from the measure of the taxes imposed by this chapter all of the gross proceeds arising from the sale of alcohol fuels for consumption or use by the purchaser and not for resale.

     (b)  As used in this section, "alcohol fuels" means neat biomass-derived alcohol liquid fuel or a petroleum-derived fuel and alcohol liquid fuel mixture consisting of at least ten volume per cent denatured biomass-derived alcohol commercially usable as a fuel to power aircraft, seacraft, spacecraft, automobiles, or other motorized vehicles.

     (c)  The director of taxation shall adopt rules pursuant to chapter 91 necessary to administer this section.

     (d)  This section shall be repealed on December 31, [2006] 2011."

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  Statutory material to be repealed is bracketed and stricken.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

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

INTRODUCED BY:

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