Read the full stored bill text
HB1267
HOUSE OF REPRESENTATIVES
H.B. NO.
1267
THIRTY-THIRD LEGISLATURE, 2025
STATE OF HAWAII
A BILL FOR AN ACT
relating
to taxation
.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
����
SECTION
1.
�
The legislature finds that the State
is experiencing a growing mental health and housing crisis.
�
In the aftermath of the August 8, 2023,
wildfires on Maui, these concerns are increasingly more prevalent.
�
An estimated two thousand two hundred homes,
apartments, and structures were destroyed, leading to what has been termed a
dire mental health crisis.
�
Additionally,
many landlords on Maui will not rent to tenants with pets, leaving Lahaina fire
victims with pets struggling to find housing.
����
The
legislature additionally finds that the State's mental health and housing
concerns may be addressed through support dedicated to human-animal
companionship.
�
To this end, human-animal
companionship has been linked to a reduction of feelings of stress, anxiety,
depression, and loneliness.
�
In addition
to this, human-animal companionship has also been known to improve
cardiovascular and heart health as well as immune system functioning.
�
These combined benefits have led pet owners
to go to the doctor an estimated fifteen per cent less than non-pet owners.
����
An
increase in pet-friendly housing would also benefit the State financially as it
would reduce medicaid costs and costs incurred from surrendered and abandoned
pets, alleviate homelessness, and aid mental health.
����
The
purpose of this Act is to establish a pilot program that would grant
participating landlords a certain general excise tax exemption for each unit
they rent to a long-term tenant with a pet.
����
SECTION
2.
�
(a)
�
The department of taxation shall establish a one-year pilot program that
would grant participating landlords a certain general excise tax exemption for the
gross income derived from each unit they rent to a long-term tenant with a pet.
����
(b)
�
Prior to the implementation of the pilot
program, the department of taxation shall conduct a general survey to
prospective landlords and tenants statewide to evaluate interest in the pilot
program; provided that the survey shall not take longer than four months.
����
(c)
�
Under the pilot program,
per cent of the gross income derived from rental units that are rented by participating
landlords to long-term tenants with a pet shall be exempted from the measure of
taxes imposed by chapter 237, Hawaii Revised Statutes.
����
(d)
�
Landlords participating in the pilot program
shall register with the department of taxation and provide documentation that
the department deems necessary to verify that the landlord qualifies to
participate in the pilot program; provided that the rental lease agreement is
for a minimum of six months during the duration of the pilot program.
����
(e)
�
The director of taxation shall prepare forms
as may be necessary for taxpayers to participate in the pilot program.
�
The director may also adopt rules necessary
to effectuate the purposes of this Act.
����
(f)
�
The department of taxation shall submit:
����
(1)
�
A preliminary report of its survey results and
interest in the pilot program, including any proposed legislation, to the
legislature no later than twenty days prior to the convening of the regular
session of
2026; and
����
(2)
�
A final report of the efficacy and net cost
savings to the State, including any recommendations and proposed legislation,
to the legislature no later than twenty days prior to the convening of the
regular session of
2027.
����
(g)
�
For the purposes of this section,
"pet" means a "pet animal" as that term is defined in
section 711-1100, Hawaii Revised Statutes.
����
SECTION 3.
�
This Act shall take effect upon its approval.
INTRODUCED BY:
_____________________________
Report Title:
Pets;
Tenant; Residential Landlord; Pilot Program; General Excise Tax Exemption;
Department of Taxation
Description:
Requires the Department of Taxation to establish a pilot
program that would grant participating landlords a certain general excise tax
exemption for each unit they rent to a long-term tenant with a pet.
�
Requires the Department of Taxation to submit
reports to the Legislature.
The summary description
of legislation appearing on this page is for informational purposes only and is
not legislation or evidence of legislative intent.