Amends the environmental response, energy, and food security tax to address carbon emissions. Incrementally increases the tax rate over time. Establishes a refundable tax credit to mitigate the effect of a carbon emissions tax on lower-income taxpayers. Establishes and appropriates moneys into the carbon emissions tax and dividend special fund. Reenacts the agricultural development and food security special fund. Requires reports to the Legislature.
Reestablishes the Agricultural Development and Food Security Special Fund. Renames the Environmental Response, Energy, and Food Security Tax, also known as the barrel tax, as the Environmental Response, Energy, Carbon Emissions, and Food Security Tax; gradually increases barrel tax rates; and allocates portions of barrel tax revenues to the Agricultural Development and Food Security Special Fund, Carbon Emissions Tax and Dividend Special Fund, Airport Revenue Fund, and Boating Special Fund. Establishes a refundable Carbon Cashback Tax Credit and appropriates funds to the Department of Taxation to administer the tax credit. Establishes the Carbon Emissions Tax and Dividend Special Fund to be used in the administration of the barrel tax and Carbon Cashback Tax Credit and for public awareness of the Carbon Cashback Tax Credit. Requires the Department of Taxation to submit reports to the Legislature. Effective 7/1/3000. (HD1)
HB 2028 establishes a nonrefundable tax credit for employers who provide a paid Labor Day holiday to construction workers. This policy directly affects construction employers (who may claim the credit) and construction workers (who receive a paid holiday). The key provision requires employers to grant a paid holiday on Labor Day to qualify for the tax credit, which is effective July 1, 3000. The bill passed committee in February 2026 with amendments but does not change existing Labor Day holiday requirements for other workers.
For taxable years beginning after 12/31/2025, establishes a 5-year aquaculture investment tax credit for taxpayers that incur qualifying investment costs relating to qualified aquaculture businesses. Takes effect 7/1/2050. (SD1)
Establishes a family caregiver tax credit for nonpaid family caregivers. Requires the Department of Taxation to submit annual reports to the Legislature. Appropriates funds. Applies to taxable years beginning after 12/31/2026. Effective 1/1/2050. (SD1)
Establishes a refundable Family Caregiver Tax Credit for nonpaid family caregivers. Requires the department of taxation to report to the legislature before the convening of each regular session.
Makes broadcast and streaming platform productions and commercial advertisement productions with Internet-only distribution eligible to receive the Motion Picture, Digital Media, and Film Production Income Tax Credit. Repeals 1/1/2033. Effective 7/1/3000. (HD1)
HB 889 creates a refundable tax credit for Hawaii taxpayers who pay the transient accommodations tax, which applies to hotels and vacation rentals. The credit directly benefits visitors staying in these accommodations by allowing them to receive a cash refund if the tax paid exceeds the credit amount. The bill's key provision is the refundable nature of the credit, meaning taxpayers get money back rather than just offsetting their tax liability. This policy change simplifies tax recovery for travelers without altering the underlying tax rate. The bill is currently pending in the 2026 legislative session.
Establishes a telework tax credit for small business employers who allow telework for at least 30% of their employees. Applies to taxable years beginning after 12/31/24.
Establishes a nonrefundable income tax credit to incentivize significant investment in agricultural production and support the expansion of agricultural crops that take longer to become productive. Applies to taxable years beginning after 12/31/2026. Sunsets 1/1/2031. Effective 7/1/3000. (HD1)
