THE SENATE

S.B. NO.

2514

TWENTY-NINTH LEGISLATURE, 2018

 

STATE OF HAWAII

 

 

 

 

 

 

A BILL FOR AN ACT

 

 

relating to taxation.

 

 

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

 


SECTION 1. Chapter 231, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

"231- Persons without a physical presence in the State. Notwithstanding any other provision of law, any person selling tangible personal property, products transferred electronically, or services for delivery into the State or any of its counties, who does not have a physical presence in the State, shall be subject to title 14, shall remit the general excise tax, and shall follow all applicable procedures and requirements of law as if the person had a physical presence in the State; provided that the person meets either of the following criteria in the previous calendar year or the current calendar year:

(1) The person's gross revenue from the sale of tangible personal property, products transferred electronically, or services delivered into the State or any of its counties exceeds five thousand dollars; or

(2) The person sold tangible personal property, products transferred electronically, or services for delivery into the State or any of its counties in two hundred or more separate transactions."

SECTION 2. New statutory material is underscored.

SECTION 3. This Act, upon its approval, shall apply to taxable years beginning after December 31, 2017.

 

INTRODUCED BY:

_____________________________

 

 


 


 

Report Title:

Tax Administration; General Excise Tax; Use Tax; Online Sales; Interstate Sales; Collection

 

Description:

Subjects any person selling tangible personal property, products transferred electronically, or services for delivery into the State or any of its counties to title 14, HRS, and the general excise tax law; provided that the person had either $5,000 in gross revenue or 200 or more separate transactions in either the previous or current calendar year.

 

 

 

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