STAND.
COM. REP. NO. 76
Honolulu, Hawaii
, 2025
RE: H.B. No. 577
H.D. 1
Honorable Nadine K. Nakamura
Speaker, House of Representatives
Thirty-Third State Legislature
Regular Session of 2025
State of Hawaii
Madame:
Your Committee on Transportation, to which was referred H.B. No. 577 entitled:
"A BILL FOR AN ACT RELATING TO TAXATION,"
begs leave to report as follows:
The purpose of this measure is to establish a five-year tax credit for businesses in a county having a population of seven hundred thousand or more that pay for the public transportation costs of their employees.
Your Committee finds
that this measure would help businesses subsidize certain transportation costs
of their employees and encourage the use of public transportation.
Your Committee has amended this measure by:
(1) Deleting language that would have limited the tax credit to an employer having a place of business in, and public transportation operated in, a county with a population of seven hundred thousand or more;
(2) Specifying that no tax credit carried forward shall be used as a credit for a taxable year beginning after December 31, 2030;
(3) Specifying that no other tax credit or deduction for the same expenses shall be claimed under the state income tax law;
(4) Deleting language that would have required the Director of Taxation to include in their report to the Legislature the impact of the tax credit and whether this tax credit should be continued;
(5) Specifying that this measure, upon its approval, applies to taxable years beginning after December 31, 2025;
(6) Changing the effective date to July 1, 3000, to encourage further discussion; and
(7) Making technical, nonsubstantive amendments for the purposes of clarity, consistency, and style.
As affirmed by the record of votes of the members of your Committee on Transportation that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 577, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 577, H.D. 1, and be referred to your Committee on Economic Development & Technology.
Respectfully submitted on behalf of the members of the Committee on Transportation,
|
|
|
____________________________ DARIUS KILA, Chair |
|
|
|
|