Budget & Taxes (Tax Credits)

in committee · Hawaii · House Dec 8, 2025

HB 1251: RELATING TO TAXATION.

HB 1251 would create a refundable income tax credit for property owners whose real estate insurance premiums increased. It directly helps these property owners by refunding the exact amount of their higher insurance costs through their tax returns. The credit applies to properties affected by rising insurance premiums, though the bill does not specify exact property types or thresholds. This policy change aims to offset financial burdens caused by insurance cost increases without requiring new tax payments.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides tax relief via refundable credit for property owners facing higher insurance costs, offsetting financial burden without increasing taxes.95% confidence

Sub-Topics Income Tax Property Tax Tax Credits

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passed · Hawaii · House Mar 12, 2026

HB 2214: RELATING TO TAX CREDITS.

HB 2214 creates a refundable income tax credit specifically for diaper purchases. It directly affects low-income parents or caregivers who buy diapers for children, providing financial relief for this essential expense. The credit is refundable, meaning recipients receive the full credit amount as cash even if they owe no income tax. This policy change adds a new, targeted tax benefit to the state's income tax code, replacing potential tax savings with direct cash assistance for eligible households.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates refundable tax credit for low-income diaper expenses, providing direct financial relief and targeting essential household costs for vulnerable families.95% confidence

Sub-Topics Business Taxes Sales Tax Tax Credits

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in committee · Hawaii · House Dec 8, 2025

HB 326: RELATING TO THE HOUSEHOLD AND DEPENDENT CARE SERVICES TAX CREDIT.

Increases a taxpayer's applicable percentage of employment-related expenses that may be claimed for the household and dependent care services tax credit for five years. Repeals 6/30/2030.

Topics ✓ Budget & TaxesSupports Budget & TaxesIncreases tax credit percentage for household care expenses, providing direct tax relief to eligible taxpayers.90% confidence ✓ Labor & EmploymentSupports Labor & EmploymentIncreases tax credit for dependent care, reducing financial barriers for workers to maintain employment through expanded employment-related expense benefits.85% confidence

Sub-Topics Income Tax Tax Credits

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passed both · Hawaii · House May 1, 2026

HB 2546: RELATING TO TAX CREDIT FOR RESEARCH ACTIVITIES.

Amends the tax credit for research activities by: allowing qualifying taxpayers to claim the credit for all qualified research expenses without regard to the amount of expenses for previous years; amending from March 31 to March 1 the deadline for qualified high technology businesses to submit to the Department of Business, Economic development, and Tourism written, certified statements identifying qualified expenditures and the tax amount of tax credits claimed in the previous taxable year; for any taxable year the annual aggregate cap is reached, requiring the credit to be divided between all qualified high technology businesses in proportion to the amount of qualified research expenses claimed; and requiring DBEDT to establish an annual application period and notify each qualified high technology business applicant of the credit amount certified. Applies to costs incurred beginning after 12/31/2025. Repeals the credit on 1/1/2029. Effective 7/1/3050. (SD2)

Topics ✓ Budget & TaxesSupports Budget & TaxesIncreases tax credit cap for research activities, providing tax relief to businesses and promoting innovation through expanded fiscal incentives.95% confidence

Sub-Topics Business Taxes Tax Credits

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passed · Hawaii · House Dec 8, 2025

HB 949: RELATING TO THE LOW-INCOME HOUSING TAX CREDIT.

Clarifies that a partner or member that is a partnership or limited liability company that has been allocated a low-income housing tax credit may either further allocate the credit or transfer, sell, or assign all or a portion of the credit to any person. Extends the sunset date of Act 129, SLH 2016, relating to the low-income housing tax credit, from 12/31/2027 to 12/31/2032. Effective 7/1/3000. (HD2)

Topics ✓ Budget & TaxesSupports Budget & TaxesExtends low-income housing tax credit sunset, ensuring continued tax incentives for affordable housing funding and program stability.92% confidence ✓ HousingSupports HousingExtends LIHTC program duration, enabling continued tax incentives for affordable housing development, aligning with supportive indicators.90% confidence

Sub-Topics Tax Credits Affordable Housing Housing Finance

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passed · Hawaii · Senate Dec 8, 2025

SB 138: RELATING TO TAXATION.

Establishes a nonrefundable income tax credit for taxpayers that incur costs related to the design, materials, installation, and construction of hurricane-resistant safe rooms. Effective 7/1/2077. (SD1)

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates income tax credit reducing taxpayer liability, providing direct tax relief per fiscal policy indicators.95% confidence

Sub-Topics Income Tax Tax Credits

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in committee · Hawaii · Senate Dec 8, 2025

SB 704: RELATING TO THE EARNED INCOME TAX CREDIT.

Permanently increases the state earned income tax credit to fifty per cent of the federal earned income tax credit. Applies to taxable years beginning after 12/31/2024.

Topics ✓ Budget & TaxesSupports Budget & TaxesPermanently increases state EITC to 50% of federal credit, providing tax relief for low-income earners per bill's explicit language.95% confidence

Sub-Topics Income Tax Tax Credits

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passed · Hawaii · Senate Dec 8, 2025

SB 1562: RELATING TO AGRICULTURE.

Establishes the Combined Housing Operational Agriculture Mobilization Program to assist bona fide farmers to live and farm on agricultural lands. For taxable years beginning 1/1/2026, establishes a tax credit for land donated to the Program. Appropriates funds. Effective 7/1/2050. (SD1)

Topics ✓ Budget & TaxesSupports Budget & TaxesEstablishes tax credit for land donations to agricultural program and appropriates funds, providing tax relief and funding for farming housing initiative.90% confidence

Sub-Topics Tax Credits

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passed · Hawaii · House Mar 12, 2026

HB 2444: RELATING TO TAXATION.

HB 2444 increases the state tax credit available to low-income household renters, raising the amount from $50 to $100 for each tax exemption claimed by the taxpayer. This change directly affects renters who qualify as low-income and claim tax exemptions, providing them with greater financial relief through their state tax return. The key provision is the specific dollar amount increase per exemption, making the credit more substantial for eligible households. The bill does not alter eligibility criteria or introduce new administrative requirements.

Topics ✓ Budget & TaxesSupports Budget & TaxesIncreases tax credit for low-income renters, providing direct fiscal relief through higher state tax credit per exemption.95% confidence ✓ HousingSupports HousingIncreases tax credit for low-income renters from $50 to $100, directly enhancing housing affordability and financial relief for eligible households.95% confidence

Sub-Topics Business Taxes Tax Credits Tax Incentives Property Taxes Renters

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signed · Hawaii · Senate Jul 15, 2026

SB 2600: RELATING TO THE GENERAL FUND.

This bill directs a specific amount of money from the state's General Fund into the Emergency and Budget Reserve Fund. The transfer is required by Article VII, Section 6 of the Hawaii State Constitution, which mandates these deposits to help stabilize the state's finances during economic downturns. The measure does not create new spending or alter existing programs but rather moves existing funds to a reserve account. It affects the state's overall budget management by ensuring that money is set aside for future financial needs.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides tax credit to taxpayers and funds emergency/budget reserve trusts, advancing fiscal responsibility and tax relief per constitutional provisions.90% confidence

Sub-Topics State Budget Tax Credits