STAND. COM. REP. NO.  421

Honolulu, Hawaii

                , 2017

RE:   H.B. No. 547

      H.D. 2

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Ninth State Legislature

Regular Session of 2017

State of Hawaii

Sir:

     Your Committee on Veterans, Military, & International Affairs, & Culture and the Arts, to which was referred H.B. No. 547, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO TAXATION,"

begs leave to report as follows:

The purpose of this measure is to establish an income tax credit for host families of foreign exchange students, fellows, and interns.

The International Hospitality Center and numerous concerned individuals supported this measure.  The Department of Taxation and Tax Foundation of Hawaii submitted comments.

     Your Committee has amended this measure by:

     (1)  Clarifying that the amount of the income tax credit must not exceed $400 per month per taxpayer, on the condition that the taxpayer has served as a host family for the foreign exchange student, fellow, or intern for a minimum of thirty days; 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 Veterans, Military, & International Affairs, & Culture and the Arts that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 547, H.D. 1, as amended herein, and recommends that it be referred to your Committee on Finance in the form attached hereto as H.B. No. 547, H.D. 2.

Respectfully submitted on behalf of the members of the Committee on Veterans, Military, & International Affairs, & Culture and the Arts,

____________________________

KEN ITO, Chair