Report Title:

Organ Donation; Tax Deduction

 

Description:

Provides a tax deduction for individuals who donate organs.  (SD1)

 

THE SENATE

S.B. NO.

967

TWENTY-FOURTH LEGISLATURE, 2007

S.D. 1

STATE OF HAWAII

 

 

 

 

 

A BILL FOR AN ACT

 

 

relating to health.

 

 

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

 

     SECTION 1.  Chapter 235, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

     "§235-    Organ donation; tax deduction.  (a)  There shall be allowed as a deduction from adjusted gross income the amount, not to exceed $10,000, for amounts paid or accrued thereon, during the taxable year the organ donation occurred, or as otherwise provided by rules adopted under subsection (e), by an individual taxpayer for expenditures incurred related to donating organs.

     (b)  To qualify for the deduction, the organ donor must be living, a full-time resident of the State, and have donated one or more of the donor's organs to another human being for organ transplantation.

     (c)  The deduction claimed under this section shall be claimed for the taxable year in which the organ donation occurs, or as otherwise provided by rules adopted under subsection (e).

     (d)  An individual may claim the deduction under this section once, except as provided in subsection (e) and the deduction may be claimed for only the following unreimbursed expenses incurred by the claimant and related to the claimant's organ donation:

     (1)  Travel expenses;

     (2)  Lodging expenses; and

     (3)  Lost wages; or if self-employed, lost income.

     (e)  The department of taxation shall adopt rules in accordance with chapter 91 to address lost wages, transportation expenses, and lodging expenses that occurred in the taxable year of the organ donation; and in the taxable year following the organ donation if those expenses are a direct result of the organ donation.

     (f)  The director of taxation shall prepare forms that may be necessary to claim a tax deduction under this section, may require proof of the claim for the tax deduction, and may adopt rules pursuant to chapter 91.

     (g)  For the purposes of this section, "organ" means all or part of a liver, pancreas, kidney, intestine, lung, or bone marrow."

     SECTION 2.  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.