STAND. COM. REP. NO.2158
RE: S.B. No. 2371
Honorable Robert Bunda
President of the Senate
Twenty-First State Legislature
Regular Session of 2002
State of Hawaii
Your Committee on Economic Development and Technology, to which was referred S.B. No. 2371 entitled:
"A BILL FOR AN ACT RELATING TO A GENERAL EXCISE TAX HOLIDAY TO STIMULATE HAWAII'S ECONOMY,"
begs leave to report as follows:
The purpose of this measure is to provide a general excise tax holiday for purchases of clothing or footwear priced less than $100 upon the enactment of federal legislation reimbursing the State for the tax exemption.
Your Committee received testimony in favor of this measure from Retail Merchants of Hawaii and comments on this measure from Tax Foundation of Hawaii. Your Committee received testimony opposing this measure from the Department of Taxation.
Your Committee finds that the downturn in our economy since September 11th created difficulties for our businesses as well as for our residents. A tax holiday will provide a measure of relief for Hawaii's families and will help the retail industry continue its large contribution to Hawaii's economy.
As affirmed by the record of votes of the members of your Committee on Economic Development and Technology that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2371 and recommends that it pass Second Reading and be referred to the Committee on Ways and Means.
Respectfully submitted on behalf of the members of the Committee on Economic Development and Technology,
ROD TAM, Chair