STAND. COM. REP. NO. 662

Honolulu, Hawaii

, 2019

RE: H.B. No. 523

H.D. 1

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirtieth State Legislature

Regular Session of 2019

State of Hawaii

Sir:

Your Committee on Health, to which was referred H.B. No. 523 entitled:

"A BILL FOR AN ACT RELATING TO THE GENERAL EXCISE TAX,"

begs leave to report as follows:

The purpose of this measure is to provide an exemption from the general excise tax to amounts received from the sale of mobility enhancement and durable medical equipment, and to expand the definition of "prosthetic device" to include devices that are worn on the body.

The O‘ahu County Committee on Legislative Priorities of the Democratic Party of Hawai‘I supported this measure. The Department of Taxation, Tax Foundation of Hawaii, and Disability and Communication Access Board commented on this measure.

Your Committee has amended this measure by changing its effective date to July 1, 2050, to facilitate further discussion.

As affirmed by the record of votes of the members of your Committee on Health that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 523, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 523, H.D. 1, and be referred to your Committee on Finance.

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

____________________________

JOHN M. MIZUNO, Chair