STAND. COM. REP. NO. 716

 

Honolulu, Hawaii

                  

 

RE:    S.B. No. 1920

       S.D. 2

 

 

 

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fourth State Legislature

Regular Session of 2007

State of Hawaii

 

Madam:

 

     Your Committee on Ways and Means, to which was referred S.B. No. 1920, S.D. 1, entitled:

 

"A BILL FOR AN ACT RELATING TO TAXATION,"

 

begs leave to report as follows:

 

     The purpose of this measure is to:

 

     (1)  Recodify and rename existing motion picture, digital media, and film production tax provisions;

 

     (2)  Increase the motion picture, digital media, and film production tax credits from fifteen and twenty per cent to twenty and twenty-five per cent, and increase reporting requirements; and

 

     (3)  Repeal the Hawaii Television and Film Development Board, delete references to the Board from the Hawaii Television and Film Development Special Fund and elsewhere, and require the Department of Business, Economic Development, and Tourism to assume the responsibilities of the Board.

 

     The Department of Business, Economic Development, and Tourism and one individual provided written testimony in support of this measure.  The Department of Taxation, PacifiCap Group, Tax Foundation of Hawaii, and one individual submitted written comments.

 

     Your Committee finds that this measure would consolidate related tax provisions, and the proposal has generated a number of comments regarding the outcomes of the proposed legislation.  Your Committee further finds that the measure would benefit from additional legislative discussion.

 

     Your Committee has amended this measure by making technical amendments for purposes of clarity, consistency, and style.

 

     As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1920, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 1920, S.D. 2.

 

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

 

 

 

____________________________

ROSALYN H. BAKER, Chair