Report Title:

Tax Credit; Low-income Household Renters; Increase

 

Description:

Increases the tax credit for low-income household renters.

 

THE SENATE

S.B. NO.

763

TWENTY-FOURTH LEGISLATURE, 2007

 

STATE OF HAWAII

 

 

 

 

 

A BILL FOR AN ACT

 

 

relating to taxation.

 

 

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

 

     SECTION 1.  The legislature finds that Hawaii is plagued with the problem of a lack of sufficient affordable rental units within the State.  Unfortunately, Hawaii's affordable residential rental market is currently diminishing, while rental prices continue to increase and soar.  Rising prices have pushed a number of low-income renters out of their homes and into the streets or onto the beaches.  The legislature further finds that, while the State must continue to endeavor to increase the number of affordable housing units available throughout the islands, additional assistance should be provided to aid low-income renters in remaining or obtaining rental units.

     The purpose of this Act is to increase the amount of the tax credit provided to low-income renters to help make existing rentals more affordable.

     SECTION 2.  Section 235-55.7, Hawaii Revised Statutes, is amended by amending subsection (c) to read as follows:

     "(c)  Each taxpayer with an adjusted gross income of less than $30,000 who has paid more than $1,000 in during the taxable year for which the credit is claimed may claim a tax credit of [$50] $           multiplied by the number of qualified exemptions to which the taxpayer is entitled; provided [each] that:

     (1)  Each taxpayer sixty-five years of age or over may claim double the tax credit; and [provided that a]

     (2)  A resident individual who has no income or no income taxable under this chapter may also claim the tax credit as set forth in this section."

     SECTION 3.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 4.  This Act, upon its approval, shall apply to taxable years beginning after December 31, 2006.

 

INTRODUCED BY:

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