REPORT TITLE:
Taxation

DESCRIPTION:
Replaces the state vehicle weight tax with an ad valorem tax.


 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                            1745        
HOUSE OF REPRESENTATIVES                H.B. NO.           
TWENTIETH LEGISLATURE, 1999                                
STATE OF HAWAII                                            
                                                             
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                   A  BILL  FOR  AN  ACT

RELATING TO TAXATION.



BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 1      SECTION 1.  Chapter 249, Hawaii Revised Statutes, is amended
 
 2 by adding a new section to be appropriately designated and to
 
 3 read as follows:
 
 4      "249-      State vehicle ad valorem tax, exemptions.  All
 
 5 vehicles and motor vehicles in the State as defined in section
 
 6 249-1, in addition to all other fees and taxes levied by this
 
 7 chapter, shall be subject to an annual state ad valorem tax.  The
 
 8 tax shall be imposed, levied, assessed, collected, and otherwised
 
 9 administered by the state director of finance based on the market
 
10 value of all vehicles located in the state."
 
11      SECTION 2.  Section 249-1, Hawaii Revised Statutes, is
 
12 amended by adding a new definition to be appropriately inserted
 
13 and to read as follows:
 
14      ""Ad valorem" of a vehicle means the actual market value of
 
15 the vehicle."
 
16      SECTION 3.  Section 249-1, Hawaii Revised Statutes, is
 
17 amended by deleting the definition "net weight".
 

 
 
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 1      [""Net weight" of a vehicle means the actual weight of the
 
 2 vehicle, as determined on a standard scale, including all
 
 3 equipment and accessories ordinarily attached to and used on the
 
 4 vehicle and, in the case of a motor vehicle, the maximum fuel,
 
 5 oil, and water possible of being carried for its operation;
 
 6 provided that "net weight" of a new standard equipped vehicle,
 
 7 other than a motor vehicle, means the shipping weight thereof as
 
 8 established by its manufacturer, and "net weight" of a new
 
 9 standard equipped passenger vehicle means the shipping weight
 
10 thereof as established by its manufacturer, plus one hundred
 
11 pounds, and "net weight" of a new standard equipped motorcycle,
 
12 motor scooter, or moped, means the shipping weight thereof as
 
13 established by its manufacturer, plus thirty pounds, and "net
 
14 weight" of a new standard equipped truck means the shipping
 
15 weight thereof as established by its manufacturer, plus two
 
16 hundred pounds.  On initial registration of a standard equipped
 
17 vehicle, other than a motor vehicle, for which the director of
 
18 finance has the manufacturer's established weight, the director
 
19 of finance, in lieu of requiring the vehicle to be weighed and in
 
20 order to determine the "net weight" thereof, may use such
 
21 established weight and may require the owner to furnish
 
22 verification of the factory serial number of the vehicle.  On
 
23 initial registration of standard equipped passenger vehicles,
 

 
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 1 motorcycles, motor scooters, mopeds, and trucks for which the
 
 2 director of finance has the manufacturer's established weights,
 
 3 the director of finance, in lieu of requiring such motor vehicles
 
 4 to be weighed and in order to determine the "net weight" thereof,
 
 5 may use such established weights, adding one hundred pounds in
 
 6 the case of standard equipped passenger vehicles, thirty pounds
 
 7 in the case of standard equipped motorcycles, motor scooters, and
 
 8 mopeds, and two hundred pounds in the case of standard equipped
 
 9 trucks, and may require the owners to furnish verification of
 
10 factory serial and engine numbers of such motor vehicles.  As to
 
11 a vehicle for which the manufacturer's weight is not available or
 
12 whose make and model cannot be determined with reasonable
 
13 certainty or which has been so altered as to increase or diminish
 
14 the weight thereof, "net weight" means the actual weight of such
 
15 vehicle, as determined on a standard scale, including all
 
16 equipment and accessories ordinarily attached to and used on the
 
17 vehicle and, in the case of a motor vehicle, the maximum fuel,
 
18 oil, and water possible of being carried for its operation.  In
 
19 all cases information shall be presented to and in the manner
 
20 prescribed by the director of finance."]
 
21      SECTION 4.  Section 249-33, Hawaii Revised Statutes, is
 
22 repealed.
 

 
 
 
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 1      ["249-33  State vehicle weight tax, exemptions.(a)  All
 
 2 vehicles and motor vehicles in the State as defined in section
 
 3 249-1, including antique motor vehicles, except as otherwise
 
 4 provided in sections 249-3 to 249-6, in addition to all other
 
 5 fees and taxes levied by this chapter, shall be subject to an
 
 6 annual state vehicle weight tax.  The tax shall be levied by the
 
 7 county director of finance at the rate of .75 cents a pound
 
 8 according to the net weight of each vehicle as the "net weight"
 
 9 is defined in section 249-1 up to and including four thousand
 
10 pounds net weight; vehicles over four thousand pounds and up to
 
11 and including seven thousand pounds net weight shall be taxed at
 
12 the rate of 1.00 cent a pound; vehicles over seven thousand
 
13 pounds and up to and including ten thousand pounds net weight
 
14 shall be taxed at the rate of 1.25 cents a pound; vehicles over
 
15 ten thousand pounds net weight shall be taxed at a flat rate of
 
16 $150.
 
17      (b)  The tax shall become due and payable on January 1 and
 
18 shall be paid before April 1 in each year together with all other
 
19 taxes and fees levied by this chapter; provided that should any
 
20 county elect to renew motor vehicle registrations on a staggered
 
21 basis as authorized by section 286-51, the state vehicle weight
 
22 tax shall likewise be staggered so that the state vehicle weight
 
23 tax is collected together with the county fee.  The state vehicle
 

 
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 1 weight tax shall be deemed delinquent if not paid with the county
 
 2 registration fee.  The tax shall be paid by the owner of each
 
 3 vehicle to the director of finance of the county in which the
 
 4 vehicle is registered and shall be collected by the director of
 
 5 finance of such county together with all other fees and taxes
 
 6 levied by this chapter from the owner of each vehicle and motor
 
 7 vehicle registered in the county.
 
 8      By the fifteenth day of the month following the month in
 
 9 which taxes under this section are collected, the director of
 
10 finance of each county shall transmit the taxes collected to the
 
11 state director of finance for deposit into the state highway
 
12 fund.
 
13      (c)  The exemptions provided by sections 249-3 to 249-6
 
14 shall apply to this section.  The provisions for refunds, and
 
15 taxes for fraction of years for vehicles removed from or brought
 
16 into the State and for junked vehicles, contained in sections
 
17 249-3 and 249-5 shall apply to the tax levied by this section.
 
18      (d)  If it is shown to the satisfaction of the department of
 
19 transportation of the State, based upon proper records and from
 
20 such other evidence as the department of transportation may
 
21 require, that any vehicle with a net vehicle weight of six
 
22 thousand pounds or over is used for agricultural purposes the
 
23 owner thereof may obtain a refund of all taxes thereon imposed by
 

 
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 1 this section.  The department of transportation shall prescribe
 
 2 rules to administer such refunds.
 
 3      (e)  The counties shall be reimbursed the incremental costs
 
 4 incurred in the collection and administration of taxes and fees
 
 5 imposed under section 249-31 and this section; the amount of
 
 6 reimbursement shall be determined by the director of
 
 7 transportation."]
 
 8      SECTION 5.  Statutory material to be repealed is bracketed.
 
 9 New statutory material is underscored.
 
10      SECTION 6.  This Act shall take effect upon its approval.
 
11 
 
12                           INTRODUCED BY:_________________________