THE SENATE	S.B. NO.	3100
THIRTY-FIRST LEGISLATURE, 2022
STATE OF HAWAII

A BILL FOR AN ACT

RELATING TO CONSTITUTIONAL TAX REFUND FOR RESIDENT TAXPAYERS..

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

SECTION 1. Article VII, section 6, of the Constitution of the State of Hawaii allows for a tax refund or tax credit to the taxpayers of the State as provided by law whenever the state general fund balance at the close of each of two successive fiscal years exceeds five per cent of general fund revenues for each of the two fiscal years.

These requirements have been met. Accordingly, the purpose of this Act is to provide for a tax refund that shall be paid to the taxpayers of the State.

SECTION 2. (a) There shall be allowed to each qualifying resident taxpayer who files an individual income tax return for the 2021 taxable year, a one-time general income tax refund that shall be refunded. The refund provided under this Act shall not be used to offset any tax liability under title 14, Hawaii Revised Statutes, of the qualifying resident taxpayer.

The amount of the refund shall be $100 multiplied by the number of qualified exemptions to which the qualifying taxpayer is entitled; provided that, for the purposes of this refund, multiple exemptions shall not be allowed based on age or deficiencies in vision, hearing, or other disability.

(b) As used in this Act, "qualifying resident taxpayer" means an individual taxpayer who has been a resident of the State, as defined in section 235-1, Hawaii Revised Statutes, for at least nine months regardless of whether the qualified resident was physically in the State for nine months. "Qualifying resident taxpayer" shall not include any person who is claimed or is otherwise eligible to be claimed as a dependent by another taxpayer for federal or Hawaii state individual income tax purposes.

(c) The refund shall not be available for:

(1) Any person who has been convicted of a felony and who has been committed to prison and has been physically confined for the full taxable year;

(2) Any person who would otherwise be eligible to be claimed as a dependent but who has been committed to a youth correctional facility and has resided at the facility for the full taxable year; or

(3) Any misdemeanant who has been committed to jail and has been physically confined for the full taxable year.

(d) The refund shall only be allowed for qualifying resident taxpayers who file a state income tax return for the 2021 taxable year on or before December 31, 2022. Failure to comply with this filing requirement shall constitute a waiver of the right to claim the refund provided under this Act.

(e) This Act implements the provisions of article VII, section 6, of the Constitution of the State of Hawaii.

SECTION 3. This Act shall take effect upon its approval.

INTRODUCED BY:	_____________________________
	BY REQUEST

Report Title:

Constitutional Tax Refund for Resident Taxpayers

Description:

Creates a one-time income tax refund for resident taxpayers that shall be refunded to implement the provision of article VII, section 6, of the Constitution of the State of Hawaii.

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.