Report Title:

Renewable Energy Technologies; Tax Credit

Description:

Clarifies the renewable energy technologies tax credit by specifying that the tax credit applies to taxable years beginning after 12/31/2002, and allowing taxpayers to claim the credit in subsequent years until exhausted.

THE SENATE

S.B. NO.

2409

TWENTY-SECOND LEGISLATURE, 2004

 

STATE OF HAWAII

 


 

A BILL FOR AN ACT

 

relating to energy.

 

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

SECTION 1. Act 207, Session Laws of Hawaii 2003, is amended by amending section 4 to read as follows:

"SECTION 4. This Act shall take effect on July 1, 2003, and shall apply to taxable years beginning after December 31, 2002, and shall be repealed January 1, 2008."

SECTION 2. Section 235-12.5, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:

"(a) When the requirements of subsection (c) are met, each individual or corporate resident taxpayer that files an individual or corporate net income tax return for a taxable year may claim a tax credit under this section against the Hawaii state individual or corporate net income tax. The tax credit may be claimed for every eligible renewable energy technology system that is installed and placed in service by a taxpayer after June 30, 2003. Tax credits that exceed the taxpayer's income tax liability may be used as a credit against the taxpayer's income tax liability in subsequent years until exhausted. The tax credit may be claimed as follows:

(1) Solar thermal energy systems for:

(A) Single family residential property: thirty-five per cent of the actual cost or $1,750, whichever is less;

(B) Multi-family residential property: thirty-five per cent of the actual cost or $350 per unit, whichever is less;

(C) Commercial property: thirty-five per cent of the actual cost or $250,000, whichever is less; and

(2) Wind powered energy systems for:

(A) Single family residential property: twenty per cent of the actual cost or $1,500, whichever is less;

(B) Multi-family residential property: twenty per cent of the actual cost or $200 per unit, whichever is less; and

(C) Commercial property: twenty per cent of the actual cost or $250,000, whichever is less; and

(3) Photovoltaic energy systems for:

(A) Single family residential property: thirty-five per cent of the actual cost or $1,750, whichever is less;

(B) Multi-family residential property: thirty-five per cent of the actual cost or $350 per unit, whichever is less; and

(C) Commercial property: thirty-five per cent of the actual cost or $250,000, whichever is less;

provided that multiple owners of a single system shall be entitled to a single tax credit; and provided further that the tax credit shall be apportioned between the owners in proportion to their contribution to the cost of the system."

SECTION 3. New statutory material is underscored.

SECTION 4. This Act shall take effect retroactive to July 1, 2003, and shall be repealed on January 1, 2008.

INTRODUCED BY:

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