STAND. COM. REP. NO. 1246-20
RE: S.B. No. 2920
Honorable Scott K. Saiki
Speaker, House of Representatives
Thirtieth State Legislature
Regular Session of 2020
State of Hawaii
Your Committee on Finance, to which was referred S.B. No. 2920, S.D. 1, entitled:
"A BILL FOR AN ACT RELATING TO CONFORMITY TO THE INTERNAL REVENUE CODE,"
begs leave to report as follows:
The purpose of this measure is to conform Hawaii income and estate and generation-skipping transfer tax laws to the Internal Revenue Code, as amended as of December 31, 2019.
Your Committee finds that this annual conformity measure is submitted by the Department of Taxation in compliance with section 235-2.5, Hawaii Revised Statutes, which requires the Department to annually submit a measure to maintain state income tax conformity with the federal Internal Revenue Code. This measure is also intended to comply with section 236E-4, Hawaii Revised Statutes, which requires the Department to annually submit a measure to maintain state estate and generation-skipping transfer tax conformity with the federal Internal Revenue Code. This measure updates state tax laws to conform with and adopt changes made to the federal Internal Revenue Code during the past year that are appropriate for Hawaii law.
Your Committee has amended this measure by:
(1) Incorporating amendments provided by the Department of Taxation, which conforms state law to parts of federal Public Law 116-136, the Coronavirus Aid, Relief, and Economic Security Act, which took effect on March 27, 2020; and
(2) Making technical, nonsubstantive amendments for the purposes of clarity, consistency, and style.
As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2920, S.D. 1, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 2920, S.D. 1, H.D. 1, and be placed on the calendar for Third Reading.
Respectfully submitted on behalf of the members of the Committee on Finance,
SYLVIA LUKE, Chair