SB 2656 Hawaii Senate · 2026 Regular Session

RELATING TO TAXATION.

Based solely on the provided context, a substantive summary of SB 2656 cannot be generated. The bill's title ("RELATING TO TAXATION") and abstract ("Short form bill") offer no specific details about its provisions, affected parties, or policy mechanisms. The recent actions (introduced, passed first reading, referred) only indicate procedural status, not the bill's content. Without additional information describing the bill's actual provisions, it is impossible to accurately summarize what it does or who it affects.

Bill status passed 3 of 5 stages cleared

Introduction

Jan 2026

Committee Review

Feb 2026

Senate Passage

Feb 2026

House Passage

Governor

Introduced Jan 23, 2026 Last action Feb 25, 2026

Maddy AI version diff · 2 comparisons

What changed between versions

SB2656_SD1 → SB2656_SD1_PROPOSED · 3 edits

MINOR

This bill proposes to disallow the dividends paid deduction for most Real Estate Investment Trusts (REITs) operating in Hawaii, meaning these entities would no longer be able to subtract dividends paid from their taxable income. The change aims to close a loophole where REITs currently pay little to no state tax on income generated within Hawaii, thereby increasing state revenue. The proposed version includes minor formatting adjustments and clarifies the bill's status as a draft.

Scope change

The scope remains focused on REITs operating in Hawaii, but the text explicitly marks the bill as 'PROPOSED' and 'SD1', indicating it is a draft version of the legislation rather than a final enacted law.

TECHNICAL

The header and title were updated to include 'PROPOSED' and 'SD1' labels, clarifying the document's status as a draft.

Minor formatting changes were made to the text, such as removing extra blank lines and adjusting line breaks for readability.

The description of the bill was slightly updated to reflect the 'PROPOSED' status in the summary text.

Floor votes

How they voted

This bill passed the Senate. No roll call record of that vote is available.

Full legislative history

Actions timeline

Total actions

Key actions

Committee

Feb 25, 2026

Committee

Re-Referred to EDT/CPN/WAM.

upper

Feb 25, 2026

Upper · Passed

Report adopted, as amended (SD 1) and recommitted to WAM.

upper

Feb 25, 2026

Upper · Passed

Reported from WAM (Stand. Com. Rep. No. 2720) as amended (SD 1), with recommendation of recommittal to WAM.

upper

Feb 25, 2026

Upper · Passed

The committee(s) on WAM recommend(s) that the measure be PASSED, WITH AMENDMENTS and be recommitted. The votes in WAM were as follows: 11 Aye(s): Senator(s) Dela Cruz, Moriwaki, DeCoite, Hashimoto, Inouye, Kanuha, Lee, C., Richards; Aye(s) with reservations: Senator(s) Elefante, Wakai, Fevella ; 0 No(es): none; and 2 Excused: Senator(s) Kidani, Kim.

upper

Feb 24, 2026

Upper · Passed

The committee(s) on WAM will hold a public decision making on 02-25-26 10:54AM; Conference Room 211 & Videoconference.

upper

Jan 28, 2026

Committee

Referred to WAM.

upper

Jan 23, 2026

Introduced

Introduced.

upper

1 primary · 0 co-sponsors