STAND. COM. REP. NO.  1542

Honolulu, Hawaii

                , 2015

RE:   S.B. No. 1001

      S.D. 2

      H.D. 1

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Eighth State Legislature

Regular Session of 2015

State of Hawaii

Sir:

     Your Committee on Finance, to which was referred S.B. No. 1001, S.D. 2, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO MANUFACTURING,"

begs leave to report as follows:

The purpose of this measure is to establish a temporary nonrefundable income tax credit for taxpayers who incur certain equipment and training expenses in the manufacture of products in Hawaii that shall be applicable to taxable years beginning after December 31, 2015, and be repealed on January 1, 2023.

The High Technology Development Corporation; The Chamber of Commerce Hawaii; Hawaii Food Industry Association; Meadow Gold Dairies; KYD, Inc.; and Island Plastic Bags, Inc. supported this measure.  The Department of Taxation and Tax Foundation of Hawaii commented on this measure.

     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. 1001, S.D. 2, H.D. 1, and recommends that it pass Third Reading.

Respectfully submitted on behalf of the members of the Committee on Finance,

____________________________

SYLVIA LUKE, Chair