REPORT TITLE:
Tax Information Management


DESCRIPTION:
Creates a special fund to pay for the integrated tax information
management systems, and for the operation, maintenance,
monitoring, and improvements to the automated tax system.
Sunsets this special fund on July 1, 2004.  (SD1)

 
a                                                               
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                        1171
THE SENATE                              S.B. NO.           S.D. 1
TWENTIETH LEGISLATURE, 1999                                
STATE OF HAWAII                                            
                                                             
________________________________________________________________
________________________________________________________________


                   A  BILL  FOR  AN  ACT

RELATING TO THE INTEGRATED TAX INFORMATION MANAGEMENT SYSTEMS
   ACQUISITION BY THE DEPARTMENT OF TAXATION.



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

 1      SECTION 1.  Chapter 231, Hawaii Revised Statutes, is amended
 
 2 by adding a new section to be appropriately designated and to
 
 3 read as follows:
 
 4      "231-    Integrated tax information management systems
 
 5 special fund.  (a)  There is established in the state treasury
 
 6 the integrated tax information management systems special fund
 
 7 into which shall be deposited general excise tax revenues as
 
 8 provided by section 237-31 and any state appropriations to the
 
 9 fund.  The director of finance, at the request of the director of
 
10 taxation, shall deposit taxes collected under section 237-31, not
 
11 exceeding $17,750,828 in fiscal year 1999-2000, $7,480,428 in
 
12 fiscal year 2000-2001, and $5,000,000 in fiscal years 2001-2002,
 
13 2002-2003, and 2003-2004, to the credit of the integrated tax
 
14 information management systems special fund so that there may be
 
15 maintained at all times a fund not exceeding $5,000,000.
 
16      (b)  Moneys in the fund shall be expended by the department
 
17 to pay for the integrated tax information management systems
 
18 performance-based contracts authorized by Act 273, Session Laws
 
19 of Hawaii 1996, and for the operation, monitoring, maintenance,
 

 
a                                                               
Page 2                                                     1171
                                     S.B. NO.           S.D. 1
                                                        
                                                        

 
 1 and improvement of the automated tax systems related thereto.
 
 2      (c)  The department shall submit an annual report to the
 
 3 legislature no later than twenty days prior to the convening of
 
 4 each regular session, providing an accounting of the receipts of,
 
 5 and expenditures from, the fund.
 
 6      (d)  This section shall be repealed on July 1, 2004."
 
 7      SECTION 2.  Section 237-31, Hawaii Revised Statutes, is
 
 8 amended to read as follows:
 
 9      "237-31  Remittances.  All remittances of taxes imposed by
 
10 this chapter shall be made by money, bank draft, check, cashier's
 
11 check, money order, or certificate of deposit to the office of
 
12 the department of taxation to which the return was transmitted.
 
13 The department shall issue its receipts therefor to the taxpayer
 
14 and shall pay the moneys into the state treasury as a state
 
15 realization, to be kept and accounted for as provided by law;
 
16 provided that [the]:
 
17      (1)  The sum from all general excise tax revenues realized
 
18           by the State that represents the difference between
 
19           $90,000,000 and the proceeds from the sale of any
 
20           general obligation bonds authorized for that fiscal
 
21           year for the purposes of the state educational
 
22           facilities improvement special fund shall be deposited
 
23           in the state treasury in each fiscal year to the credit
 

 
a                                                               
Page 3                                                     1171
                                     S.B. NO.           S.D. 1
                                                        
                                                        

 
 1           of the state educational facilities improvement special
 
 2           fund; [provided further that a]
 
 3      (2)  A sum, not to exceed $5,000,000, from all general
 
 4           excise tax revenues realized by the State shall be
 
 5           deposited in the state treasury in each fiscal year to
 
 6           the credit of the compound interest bond reserve
 
 7           fund[.];
 
 8      (3)  A sum, not to exceed $17,740,828 in fiscal year 1999-
 
 9           2000, $7,480,428 in fiscal year 2000-2001, and
 
10           $5,000,000 for fiscal years 2001-2002, 2002-2003, and
 
11           2003-2004, from all general excise tax revenues
 
12           realized by the State shall be deposited in the state
 
13           treasury to the credit of the integrated tax
 
14           information management systems special fund.
 
15           This paragraph shall be repealed on July 1, 2004."
 
16      SECTION 3.  There is appropriated out of the integrated tax
 
17 information management systems special fund the sum of
 
18 $17,750,828, or so much there of as may be necessary, for fiscal
 
19 year 1999-2000, and the sum of $7,480,428, or so much there of as
 
20 may be necessary, for fiscal year 2000-2001, to carry out the
 
21 purposes of this Act.  The sums appropriated shall be expended by
 
22 department of taxation.
 
23      SECTION 4.  Statutory material to be repealed is bracketed.
 

 
a                                                               
Page 4                                                     1171
                                     S.B. NO.           S.D. 1
                                                        
                                                        

 
 1 New statutory material is underscored.
 
 2      SECTION 5.  This Act shall take effect upon its approval.
 

 
a