STAND. COM. REP. NO. 2188

Honolulu, Hawaii

RE:    S.B. No. 2895

       S.D. 1

Honorable Donna Mercado Kim

President of the Senate

Twenty-Seventh State Legislature

Regular Session of 2014

State of Hawaii

Madam:

     Your Committee on Ways and Means, to which was referred S.B. No. 2895 entitled:

"A BILL FOR AN ACT RELATING TO TAXPAYER EDUCATION,"

begs leave to report as follows:

     The purpose and intent of this measure is to authorize the Department of Taxation to use funds from the tax administrative special fund for taxpayer education programs.

     The Department of Taxation provided testimony in support of this measure.  The Tax Foundation of Hawaii provided comments on this measure.

     Your Committee finds that taxpayer education is an essential element of the effort to increase voluntary taxpayer compliance with the State's tax laws.  Greater and more accurate voluntary compliance will significantly assist the Department of Taxation in its mission to enforce the State's tax laws.

     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. 2895, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 2895, S.D. 1, and be placed on the calendar for Third Reading.

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

____________________________

DAVID Y. IGE, Chair