STAND. COM. REP. NO. 2608

Honolulu, Hawaii

RE:    S.B. No. 2947

       S.D. 2

Honorable Shan S. Tsutsui

President of the Senate

Twenty-Sixth State Legislature

Regular Session of 2012

State of Hawaii

Sir:

     Your Committee on Ways and Means, to which was referred S.B. No. 2947, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO TAXATION,"

begs leave to report as follows:

     The purpose and intent of this measure is to require state agencies that certify or otherwise administer a tax credit related to economic development to submit an annual report containing certain required information to the Department of Taxation.  This measure also requires the Department of Taxation to post the reports on its website.

     Written comments in support of this measure were submitted by the Hawaii Strategic Development Corporation and High Technology Development Corporation.

     Your Committee finds that this measure enhances the concept of an open government, because providing public access to the reports will promote a greater understanding of the types of tax credits and exemptions that exist to encourage economic development in this State.

     Your Committee has amended this measure by making technical, nonsubstantive amendments for the purposes of clarity and style.

     As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2947, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 2947, S.D. 2.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

____________________________

DAVID Y. IGE, Chair