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THE SENATE |
S.C.R. NO. |
234 |
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TWENTY-FIFTH LEGISLATURE, 2010 |
S.D. 1 |
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STATE OF HAWAII |
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SENATE CONCURRENT
RESOLUTION
REQUESTING THE STATE ATTORNEY GENERAL TO INVESTIGATE WHETHER TRANSIENT ACCOMMODATIONS AND GENERAL EXCISE TAXES ON THE INTERNET SALE OF TRANSIENT ACCOMMODATIONS ARE BEING ASSESSED, COLLECTED, AND REMITTED TO THE STATE AND TO TAKE APPROPRIATE LEGAL ACTION, AS NECESSARY.
WHEREAS, internet travel services, such as Expedia, Orbitz, Priceline, Travelocity, and numerous others have become increasingly popular by offering competitive rates and ease of purchase for travelers worldwide; and
WHEREAS, these services may include package rates for travel, lodging, and other amenities, which travelers arrange and pay for online, not at their destination; and
WHEREAS, these sales, if conducted in the State or by travel agents, would include the imposition of the Transient Accommodations Tax (TAT) and the General Excise Tax (GET); and
WHEREAS, TAT and GET revenues support not only the activities of Hawaii's visitor industry, but provide critical financial support to the four counties as well; and
WHEREAS, as Hawaii struggles to respond to and rebound from the current economic downturn, TAT and GET revenues are a vital part of that response; and
WHEREAS, it is unclear whether internet travel service providers are collecting and remitting to the State, Hawaii's TAT and GET; and
WHEREAS, as the chief legal officer of the State, the Attorney General is charged with the responsibility to uphold and enforce the laws of the State; now, therefore,
BE IT RESOLVED by the Senate of the Twenty-fifth Legislature of the State of Hawaii, Regular Session of 2010, the House of Representatives concurring, that the Attorney General is requested to investigate whether the TAT and GET on the internet sale of transient accommodations in Hawaii are being assessed, collected, and remitted to the State; and
BE IT FURTHER RESOLVED that if the Attorney General determines that legal action is warranted, then the Attorney General is requested to take immediate legal action to ensure the proper enforcement of the State's taxation laws; and
BE IT FURTHER RESOLVED that the Attorney General is requested to submit a report to the Legislature no later than twenty days prior to the convening of the Regular Session of 2011, on:
(1) The amount of TAT and GET assessed, collected, and remitted for those internet sales in the previous two fiscal years;
(2) An estimate of the losses to the State for amounts not assessed, collected, and remitted in the most recent and current fiscal year; and
(3) A description of the Attorney General's legal actions to remedy nonpayment of TAT and GET on those internet sales; and
BE IT FURTHER RESOLVED that a certified copy of this Concurrent Resolution be transmitted to the Attorney General.
TAT: Internet Sales; Non-Collection; Semi Investigation/Legal Action