THE SENATE

S.B. NO.

921

THIRTY-FIRST LEGISLATURE, 2021

S.D. 1

STATE OF HAWAII

 

 

 

 

 

 

A BILL FOR AN ACT

 

 

RELATING TO TAXATION.

 

 

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

 


     SECTION 1.  Section 235-17, Hawaii Revised Statutes, is amended by amending subsections (i) and (j) to read as follows:

     "(i)  The department of business, economic development, and tourism shall:

     (1)  Maintain records of the names of the taxpayers and qualified productions thereof claiming the tax credits under subsection (a);

     (2)  Obtain and total the aggregate amounts of all qualified production costs per qualified production and per qualified production per taxable year;

     (3)  Provide a letter to the director of taxation specifying the amount of the tax credit per qualified production for each taxable year that a tax credit is claimed and the cumulative amount of the tax credit for all years claimed; [and]

     (4)  File a public disclosure identifying the name of the taxpayer who received the tax credit and the total amount of tax credit received upon certification by the department of business, economic development, and tourism that a taxpayer has received any amount of tax credit under this section; and

    [(4)] (5)  Submit a report to the legislature no later than twenty days prior to the convening of each regular session detailing the non-aggregated qualified production costs that form the basis of the tax credit claims and expenditures, itemized by taxpayer, in a redacted format to preserve the confidentiality of the taxpayers claiming the credit.

     Upon each determination required under this subsection, the department of business, economic development, and tourism shall issue a letter to the taxpayer, regarding the qualified production, specifying the qualified production costs and the tax credit amount qualified for in each taxable year a tax credit is claimed.  The taxpayer for each qualified production shall file the letter with the taxpayer's tax return for the qualified production to the department of taxation.  Notwithstanding the authority of the department of business, economic development, and tourism under this section, the director of taxation may audit and adjust the tax credit amount to conform to the information filed by the taxpayer.

     (j)  Total tax credits claimed per qualified production shall not exceed [$15,000,000.] $12,000,000."

     SECTION 2.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 3.  This Act shall take effect upon its approval; and shall apply to taxable years beginning after December 31, 2020.


 


 

Report Title:

Motion Picture, Digital Media, and Film Production Income Tax Credit; Department of Business, Economic Development and Tourism; Public Disclosure

 

Description:

Amends the motion picture, digital media, and film production income tax credit by reducing the total tax credits claimed per qualified production to $12,000,000.  Requires the Department of Business, Economic Development, and Tourism to make a public disclosure identifying the names of the taxpayers who are receiving the tax credits and the total amount of tax credit received.  (SD1)

 

 

 

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