STAND. COM. REP. NO.  595

Honolulu, Hawaii

                , 2015

RE:   H.B. No. 1091

      H.D. 1

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Eighth State Legislature

Regular Session of 2015

State of Hawaii

Sir:

     Your Committee on Finance, to which was referred H.B. No. 1091 entitled:

"A BILL FOR AN ACT RELATING TO TAXATION,"

begs leave to report as follows:

The purpose of this measure is to amend state income tax calculations by:

(1)  Increasing the standard deduction and allowable personal exemption amounts for all filing statuses; and

(2)  Increasing the number of exemptions that may be claimed by taxpayers who are 65 years of age or older and meet certain income requirements.

The Hawaii Primary Care Association and three individuals supported this measure.  The Department of Taxation and Tax Foundation of Hawaii commented on this measure.

     Your Committee has amended this measure by:

(1)  Changing its effective date to July 1, 2030, to facilitate further discussion; and

(2)  Making technical, nonsubstantive amendments for clarity, consistency, and style.

     As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1091, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1091, H.D. 1, and be placed on the calendar for Third Reading.

Respectfully submitted on behalf of the members of the Committee on Finance,

____________________________

SYLVIA LUKE, Chair