Budget & Taxes (Income Tax)

passed · Hawaii · Senate Dec 8, 2025

SB 1070: RELATING TO HEALTHCARE PRECEPTORS.

Expands the definitions of "preceptor" and "volunteer-based supervised clinical training rotation" to improve accessibility for providers to receive income tax credits for acting as preceptors, including removing "primary care" from the criteria to qualify as a preceptor. Adds dieticians, physician assistants, and social workers to the list of preceptors and eligible students. Expands eligibility for the tax credit to include accredited residency programs that require preceptor support. Adds the Director of Health and residency programs with eligible students to the Preceptor Credit Assurance Committee. Applies to taxable years beginning after 12/31/2025. (SD1)

Topics ✓ Budget & TaxesSupports Budget & TaxesExpands tax credit eligibility for healthcare preceptors, providing tax relief to providers and increasing access to training programs.95% confidence ✓ HealthcareSupports HealthcareExpands tax credits for healthcare preceptors including new professions, removing primary care restrictions to increase provider training accessibility.95% confidence

Sub-Topics Income Tax Tax Credits Primary Care

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in committee · Hawaii · House Dec 8, 2025

HB 928: RELATING TO INCOME TAX.

Increases the income tax rate on the highest income earners in the State by establishing a new tax bracket for taxable years beginning after 12/31/2029.

Topics ✓ Budget & TaxesSupports Budget & TaxesIncreases tax rate on highest earners, generating additional state revenue for budget purposes per bill's explicit tax bracket change.95% confidence

Sub-Topics Income Tax

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in committee · Hawaii · House Dec 8, 2025

HB 364: RELATING TO ANIMAL CONTROL.

Establishes the Spay and Neuter Special Fund to reduce pet overpopulation, including the free-roaming cat population, and authorizes an income tax designation to provide revenues into the special fund. Requires that female cats over the age of three months and male cats over the age of five months be surgically sterilized, with certain exceptions. Authorizes county animal control authorities to establish and enforce a permit program to allow the responsible breeding of cats. Establishes minimum requirements for breeding permits and penalties. Appropriates funds. Effective 7/1/3000. Applies to taxable years after 12/31/2025. (HD1)

Topics ✓ Budget & TaxesSupports Budget & TaxesAuthorizes income tax designation to fund Spay and Neuter Special Fund, directly linking tax mechanism to budget allocation for animal control program.90% confidence

Sub-Topics Income Tax

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passed · Hawaii · Senate Dec 8, 2025

SB 250: RELATING TO TAXATION.

Creates an income tax credit for qualified transportation costs incurred by certain taxpayers who ship agricultural products and inputs between counties. Applies to taxable years beginning after 12/31/2025. Effective 7/1/2050. (SD1)

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates income tax credit for agricultural transportation costs, reducing tax liability for qualifying businesses under Department of Taxation.95% confidence

Sub-Topics Income Tax Tax Credits

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in committee · Hawaii · House Dec 8, 2025

HB 567: RELATING TO TAXATION.

HB 567 would allow tipped employees, such as restaurant servers and bartenders, to deduct their tips from their taxable income when filing state taxes. This means these workers could lower their state tax bill by subtracting the tips they earn from their total income before calculating taxes. The bill directly affects service industry workers who rely on tips as part of their income. It provides a specific tax deduction mechanism to reduce their overall tax burden.

Topics ✓ Budget & TaxesSupports Budget & TaxesAllows tipped workers to deduct tips from taxable income, providing direct tax relief for lower-income service industry employees.90% confidence ✓ Labor & EmploymentSupports Labor & EmploymentAllows tipped workers to deduct tips from taxable income, reducing tax burden and increasing take-home pay for service industry employees.90% confidence

Sub-Topics Income Tax

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passed · Hawaii · Senate Feb 20, 2026

SB 2887: RELATING TO AGRICULTURE.

For taxable years beginning after 1/1/2027, establishes a nonrefundable income tax credit for certain agricultural investment costs incurred for agricultural activities conducted on Hawaiian home lands. Effective 7/1/2050. (SD1)

Topics ✓ Budget & TaxesSupports Budget & TaxesExpands tax credit eligibility for agricultural costs including Hawaiian home lands and orchard planting, providing tax relief to qualifying entities under Budget & Taxes framework.95% confidence

Sub-Topics Income Tax Tax Credits

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in committee · Hawaii · House Feb 2, 2026

HB 2522: RELATING TO TAXATION.

Eliminates the Hawaii state income tax starting with the 2028 taxable year. Requires the Department of Taxation to submit a report to address the expected tax revenue shortfall and to propose conforming amendments to the Hawaii Revised Statutes.

Topics ✗ Budget & TaxesOpposes Budget & TaxesEliminates Hawaii's state income tax, reducing tax revenue and weakening fiscal management without addressing revenue gaps.95% confidence

Sub-Topics Business Taxes Income Tax Revenue

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passed · Hawaii · Senate Dec 8, 2025

SB 123: RELATING TO TAXATION.

SB 123 eliminates a tax deduction for home mortgage interest on second homes under Hawaii's income tax law. This change directly affects Hawaii residents who currently claim this deduction for properties not used as their primary residence. The bill requires the state to submit annual reports to the Legislature detailing the deduction's impact. These provisions represent a specific policy change to Hawaii's tax code, removing a financial benefit for second-home owners.

Topics ✓ Budget & TaxesSupports Budget & TaxesEliminates tax deduction for second homes, closing a loophole per tax code change to promote fiscal responsibility.95% confidence

Sub-Topics Income Tax

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in committee · Hawaii · House Dec 8, 2025

HB 182: 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 to lower-income earners per bill's explicit language.95% confidence ✓ Labor & EmploymentSupports Labor & EmploymentPermanently increases state EITC to 50% of federal credit, directly expanding financial support for low-income workers and advancing income security.95% confidence

Sub-Topics Income Tax Tax Credits

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in committee · Hawaii · House Dec 8, 2025

HB 574: RELATING TO TAXATION.

HB 574 would create a $3,000 income tax credit for retired Hawaii National Guard service members, directly reducing their state tax liability. The bill provides this credit as a specific policy change to support veterans who served in the state's National Guard. It does not alter tax rates or create new obligations but offers a concrete financial benefit to eligible retired members. The legislation is currently pending in the 2026 session after being carried over from 2025.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides $3,000 income tax credit for retired National Guard members, directly reducing tax liability - aligns with tax relief support indicator.95% confidence ✓ VeteransSupports VeteransCreates $3,000 tax credit for retired Hawaii National Guard veterans, directly expanding financial benefits for eligible veterans.95% confidence

Sub-Topics Income Tax Tax Credits National Guard & Reserve

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