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HB2010
HOUSE OF REPRESENTATIVES
H.B. NO.
2010
THIRTY-THIRD LEGISLATURE, 2026
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 recent
federal tax cuts enacted primarily for the benefit of the nation's
highest-income individuals have been financed, in part, through reductions and
restructuring in federal medicaid funding.
�
These federal policy choices have shifted
significant costs and responsibilities onto states, requiring them to absorb
funding gaps in order to preserve access to essential health care services for
vulnerable populations.
�
As a result,
states such as Hawaii face increased fiscal pressure to maintain medicaid
coverage, support health care providers, and prevent the erosion of critical
health services for residents who rely on them.
����
The
legislature further finds that federal cuts and changes to medicaid have also resulted
in the potential loss of $400,000,000 in federal medicaid spending in the State
that will strain hospitals and community health centers and result in the
potential loss of health care coverage for as many as forty-one thousand Hawaii
residents.
����
The
legislature further finds that a modest surcharge on taxable income exceeding
$1,000,000 would provide dedicated revenue to address these needs while
ensuring that Hawaii's highest-income taxpayers contribute their fair share to
the State's priorities.
����
Similar
taxes have been successfully implemented in other states, including
Massachusetts, which enacted a four per cent surtax on taxable income over
$1,000,000 in 2023.
�
Early data from
Massachusetts shows that the tax has generated substantial revenue without
causing significant taxpayer migration or economic harm.
����
Accordingly,
the purpose of this Act is to establish a two per cent surcharge on taxable
income exceeding $1,000,000 to provide funding, if approved by the legislature,
for the State's medicaid program.
����
SECTION
2
.
�
Section 235-51, Hawaii Revised Statutes, is
amended to read as follows:
����
"
�235-51
�
Tax imposed on individuals; rates.
�
(a)
�
There is hereby imposed on the taxable income
of every:
����
(1)
�
Taxpayer who files a joint return under
section 235-93; and
����
(2)
�
Surviving spouse,
a tax determined in accordance with the following table:
����
In the case of any
taxable year beginning after December 31, 2017:
���������
If
the taxable income is:
����
The tax shall
be:
���������
Not
over $4,800
�������������
1.40% of taxable
income
���������
Over
$4,800 but
�������������
$67.00 plus 3.20%
of
�����������
not
over $9,600
�������������
excess over
$4,800
���������
Over
$9,600 but
�������������
$221.00 plus 5.50%
of
�����������
not
over $19,200
������������
excess over
$9,600
���������
Over
$19,200 but
������������
$749.00 plus 6.40%
of
�����������
not
over $28,800
������������
excess over
$19,200
���������
Over
$28,800 but
������������
$1,363.00 plus
6.80% of
�����������
not
over $38,400
������������
excess over
$28,800
���������
Over
$38,400 but
������������
$2,016.00 plus
7.20% of
�����������
not
over $48,000
������������
excess over
$38,400
���������
Over
$48,000 but
������������
$2,707.00 plus
7.60% of
�����������
not
over $72,000
������������
excess over
$48,000
���������
Over
$72,000 but
������������
$4,531.00 plus
7.90% of
�����������
not
over $96,000
������������
excess over
$72,000
���������
Over
$96,000 but
������������
$6,427.00 plus
8.25% of
�����������
not
over $300,000
������������
excess over
$96,000
���������
Over
$300,000 but
������������
$23,257.00 plus
9.00% of
�����������
not
over $350,000
������������
excess over
$300,000
���������
Over $350,000 but
������������
$27,757.00 plus 10.00% of
�����������
not
over $400,000
������������
excess over
$350,000
���������
Over $400,000
���������������
$32,757.00 plus 11.00% of
����������������������������������������
excess
over $400,000.
����
In the case of any
taxable year beginning after December 31, 2024:
���������
If
the taxable income is:
����
The tax shall
be:
���������
Not
over $19,200
������������
1.40% of taxable
income
���������
Over
$19,200 but
������������
$269.00 plus 3.20%
of
�����������
not
over $28,800
������������
excess over
$19,200
���������
Over
$28,800 but
������������
$576.00 plus 5.50%
of
�����������
not
over $38,400
������������
excess over
$28,800
���������
Over
$38,400 but
������������
$1,104.00 plus
6.40% of
�����������
not
over $48,000
������������
excess over
$38,400
���������
Over
$48,000 but
������������
$1,718.00 plus
6.80% of
�����������
not
over $72,000
������������
excess over
$48,000
���������
Over
$72,000 but
������������
$3,350.00 plus
7.20% of
�����������
not
over $96,000
������������
excess over
$72,000
���������
Over
$96,000 but
������������
$5,078.00 plus
7.60% of
�����������
not
over $250,000
������������
excess over
$96,000
���������
Over
$250,000 but
������������
$16,782.00 plus
7.90% of
�����������
not
over $350,000
������������
excess over
$250,000
���������
Over
$350,000 but
������������
$24,682.00 plus
8.25% of
�����������
not
over $450,000
������������
excess over
$350,000
���������
Over
$450,000 but
������������
$32,932.00 plus
9.00% of
�����������
not
over $550,000
������������
excess over
$450,000
���������
Over $550,000 but
������������
$41,932.00 plus 10.00% of
�����������
not
over $650,000
������������
excess over
$550,000
���������
Over $650,000
���������������
$51,932.00 plus 11.00% of
����������������������������������������
excess
over $650,000.
����
In the case of any
taxable year beginning after December 31, 2026:
���������
If
the taxable income is:
����
The tax shall
be:
���������
Not
over $28,800
������������
1.40% of taxable
income
���������
Over
$28,800 but
������������
$403.00 plus 3.20%
of
�����������
not
over $38,400
������������
excess over
$28,800
���������
Over
$38,400 but
������������
$710.00 plus 5.50%
of
�����������
not
over $48,000
������������
excess over
$38,400
���������
Over
$48,000 but
������������
$1,238.00 plus
6.40% of
�����������
not
over $72,000
������������
excess over
$48,000
���������
Over
$72,000 but
������������
$2,774.00 plus
6.80% of
�����������
not
over $96,000
������������
excess over
$72,000
���������
Over
$96,000 but
������������
$4,406.00 plus
7.20% of
�����������
not
over $250,000
������������
excess over
$96,000
���������
Over
$250,000 but
������������
$15,494.00 plus
7.60% of
�����������
not
over $350,000
������������
excess over
$250,000
���������
Over
$350,000 but
������������
$23,094.00 plus
7.90% of
�����������
not
over $450,000
������������
excess over
$350,000
���������
Over
$450,000 but
������������
$30,994.00 plus
8.25% of
�����������
not
over $550,000
������������
excess over
$450,000
���������
Over
$550,000 but
������������
$39,244.00 plus
9.00% of
�����������
not
over $650,000
������������
excess over
$550,000
���������
Over $650,000 but
������������
$48,244.00 plus 10.00% of
�����������
not
over $800,000
������������
excess over
$650,000
���������
Over $800,000
���������������
$63,244.00 plus 11.00% of
����������������������������������������
excess
over $800,000.
����
In the case of any
taxable year beginning after December 31, 2028:
���������
If
the taxable income is:
����
The tax shall
be:
���������
Not
over $38,400
������������
1.40% of taxable
income
���������
Over
$38,400 but
������������
$538.00 plus 3.20%
of
�����������
not
over $48,000
������������
excess over
$38,400
���������
Over
$48,000 but
������������
$845.00 plus 5.50%
of
�����������
not
over $72,000
������������
excess over
$48,000
���������
Over
$72,000 but
������������
$2,165.00 plus
6.40% of
�����������
not
over $96,000
������������
excess over
$72,000
���������
Over
$96,000 but
������������
$3,701.00 plus
6.80% of
�����������
not
over $250,000
������������
excess over
$96,000
���������
Over
$250,000 but
������������
$14,173.00 plus
7.20% of
�����������
not
over $350,000
������������
excess over
$250,000
���������
Over
$350,000 but
������������
$21,373.00 plus
7.60% of
�����������
not
over $450,000
������������
excess over
$350,000
���������
Over
$450,000 but
������������
$28,973.00 plus
7.90% of
�����������
not
over $550,000
������������
excess over
$450,000
���������
Over
$550,000 but
������������
$36,873.00 plus
8.25% of
�����������
not
over $650,000
������������
excess over
$550,000
���������
Over
$650,000 but
������������
$45,123.00 plus
9.00% of
�����������
not
over $800,000
������������
excess over
$650,000
���������
Over $800,000 but
������������
$58,623.00 plus 10.00% of
�����������
not
over $950,000
������������
excess over
$800,000
���������
Over $950,000
���������������
$73,623.00 plus 11.00% of
����������������������������������������
excess
over $950,000.
����
(b)
�
There is hereby imposed on the taxable income
of every head of a household a tax determined in accordance with the following
table:
����
In the case of any
taxable year beginning after December 31, 2017:
���������
If
the taxable income is:
����
The tax shall
be:
���������
Not
over $3,600
�������������
1.40% of taxable
income
���������
Over
$3,600 but
�������������
$50.00 plus 3.20%
of
�����������
not
over $7,200
�������������
excess over
$3,600
���������
Over
$7,200 but
�������������
$166.00 plus 5.50%
of
�����������
not
over $14,400
������������
excess over
$7,200
���������
Over
$14,400 but
������������
$562.00 plus 6.40%
of
�����������
not
over $21,600
������������
excess over
$14,400
���������
Over
$21,600 but
������������
$1,022.00 plus
6.80% of
�����������
not
over $28,800
������������
excess over
$21,600
���������
Over
$28,800 but
������������
$1,512.00 plus
7.20% of
�����������
not
over $36,000
������������
excess over
$28,800
���������
Over
$36,000 but
������������
$2,030.00 plus
7.60% of
�����������
not
over $54,000
������������
excess over
$36,000
���������
Over
$54,000 but
������������
$3,398.00 plus
7.90% of
�����������
not
over $72,000
������������
excess over
$54,000
���������
Over
$72,000 but
������������
$4,820.00 plus
8.25% of
�����������
not
over $225,000
������������
excess over
$72,000
���������
Over
$225,000 but
������������
$17,443.00 plus
9.00% of
�����������
not
over $262,500
������������
excess over
$225,000
���������
Over $262,500 but
������������
$20,818.00 plus 10.00% of
�����������
not
over $300,000
������������
excess over
$262,500
���������
Over $300,000
���������������
$24,568.00 plus 11.00% of
����������������������������������������
excess
over $300,000.
����
In the case of any
taxable year beginning after December 31, 2024:
���������
If
the taxable income is:
����
The tax shall
be:
���������
Not
over $14,400
������������
1.40% of taxable
income
���������
Over
$14,400 but
������������
$202.00 plus 3.20%
of
�����������
not
over $21,600
������������
excess over
$14,400
���������
Over
$21,600 but
������������
$432.00 plus 5.50%
of
�����������
not
over $28,800
������������
excess over
$21,600
���������
Over
$28,800 but
������������
$828.00 plus 6.40%
of
�����������
not
over $36,000
������������
excess over
$28,800
���������
Over
$36,000 but
������������
$1,289.00 plus
6.80% of
�����������
not
over $54,000
������������
excess over
$36,000
���������
Over
$54,000 but
������������
$2,513.00 plus
7.20% of
�����������
not
over $72,000
������������
excess over
$54,000
���������
Over
$72,000 but
������������
$3,809.00 plus
7.60% of
�����������
not
over $187,500
������������
excess over
$72,000
���������
Over
$187,500 but
������������
$12,587.00 plus
7.90% of
�����������
not
over $262,500
������������
excess over
$187,500
���������
Over
$262,500 but
������������
$18,512.00 plus
8.25% of
�����������
not
over $337,500
������������
excess over
$262,500
���������
Over
$337,500 but
������������
$24,699.00 plus
9.00% of
�����������
not
over $412,500
������������
excess over
$337,500
���������
Over $412,500 but
������������
$31,449.00 plus 10.00% of
�����������
not
over $487,500
������������
excess over
$412,500
���������
Over $487,500
���������������
$38,949.00 plus 11.00% of
����������������������������������������
excess
over $487,500.
����
In the case of any
taxable year beginning after December 31, 2026:
���������
If
the taxable income is:
����
The tax shall
be:
���������
Not
over $21,600
������������
1.40% of taxable
income
���������
Over
$21,600 but
������������
$302.00 plus 3.20%
of
�����������
not
over $28,800
������������
excess over
$21,600
���������
Over
$28,800 but
������������
$533.00 plus 5.50%
of
�����������
not
over $36,000
������������
excess over
$28,800
���������
Over
$36,000 but
������������
$929.00 plus 6.40%
of
�����������
not
over $54,000
������������
excess over
$36,000
���������
Over
$54,000 but
������������
$2,081.00 plus
6.80% of
�����������
not
over $72,000
������������
excess over
$54,000
���������
Over
$72,000 but
������������
$3,305.00 plus
7.20% of
�����������
not
over $187,500
������������
excess over
$72,000
���������
Over
$187,500 but
������������
$11,621.00 plus
7.60% of
�����������
not
over $262,500
������������
excess over
$187,500
���������
Over
$262,500 but
������������
$17,321.00 plus
7.90% of
�����������
not
over $337,500
������������
excess over
$262,500
���������
Over
$337,500 but
������������
$23,246.00 plus
8.25% of
�����������
not
over $412,500
������������
excess over
$337,500
���������
Over
$412,500 but
������������
$29,433.00 plus
9.00% of
�����������
not
over $487,500
������������
excess over
$412,500
���������
Over $487,500 but
������������
$36,183.00 plus 10.00% of
�����������
not
over $600,000
������������
excess over
$487,500
���������
Over $600,000
���������������
$47,433.00 plus 11.00% of
����������������������������������������
excess
over $600,000.
����
In the case of any
taxable year beginning after December 31, 2028:
���������
If
the taxable income is:
����
The tax shall
be:
���������
Not
over $28,800
������������
1.40% of taxable
income
���������
Over
$28,800 but
������������
$403.00 plus 3.20%
of
�����������
not
over $36,000
������������
excess over
$28,800
���������
Over
$36,000 but
������������
$634.00 plus 5.50%
of
�����������
not
over $54,000
������������
excess over
$36,000
���������
Over
$54,000 but
������������
$1,624.00 plus
6.40% of
�����������
not
over $72,000
������������
excess over
$54,000
���������
Over
$72,000 but
������������
$2,776.00 plus
6.80% of
�����������
not
over $187,500
������������
excess over
$72,000
���������
Over
$187,500 but
������������
$10,630.00 plus
7.20% of
�����������
not
over $262,500
������������
excess over
$187,500
���������
Over
$262,500 but
������������
$16,030.00 plus
7.60% of
�����������
not
over $337,500
������������
excess over
$262,500
���������
Over
$337,500 but
������������
$21,730.00 plus
7.90% of
�����������
not
over $412,500
������������
excess over
$337,500
���������
Over
$412,500 but
������������
$27,655.00 plus
8.25% of
�����������
not
over $487,500
������������
excess over
$412,500
���������
Over
$487,500 but
������������
$33,842.00 plus
9.00% of
�����������
not
over $600,000
������������
excess over
$487,500
���������
Over $600,000 but
������������
$43,967.00 plus 10.00% of
�����������
not
over $712,500
������������
excess over
$600,000
���������
Over $712,500
���������������
$55,217.00 plus 11.00% of
����������������������������������������
excess
over $712,500.
����
(c)
�
There is hereby imposed on the taxable income
of (1) every unmarried individual (other than a surviving spouse, or the head
of a household) and (2) on the taxable income of every married individual who
does not make a single return jointly with the individual's spouse under
section 235-93 a tax determined in accordance with the following table:
����
In the case of any
taxable year beginning after December 31, 2017:
���������
If
the taxable income is:
����
The tax shall
be:
���������
Not
over $2,400
�������������
1.40% of taxable
income
���������
Over
$2,400 but
�������������
$34.00 plus 3.20%
of
�����������
not
over $4,800
�������������
excess over
$2,400
���������
Over
$4,800 but
�������������
$110.00 plus 5.50%
of
�����������
not
over $9,600
�������������
excess over
$4,800
���������
Over
$9,600 but
�������������
$374.00 plus 6.40%
of
�����������
not
over $14,400
������������
excess over
$9,600
���������
Over
$14,400 but
������������
$682.00 plus 6.80%
of
�����������
not
over $19,200
������������
excess over
$14,400
���������
Over
$19,200 but
������������
$1,008.00 plus
7.20% of
�����������
not
over $24,000
������������
excess over
$19,200
���������
Over
$24,000 but
������������
$1,354.00 plus
7.60% of
�����������
not
over $36,000
������������
excess over
$24,000
���������
Over
$36,000 but
������������
$2,266.00 plus
7.90% of
�����������
not
over $48,000
������������
excess over
$36,000
���������
Over $48,000 but
������������
$3,214.00 plus 8.25% of
�����������
not
over $150,000
������������
excess over
$48,000
���������
Over
$150,000 but
������������
$11,629.00 plus
9.00% of
�����������
not
over $175,000
������������
excess over
$150,000
���������
Over $175,000 but
������������
$13,879.00 plus 10.00% of
�����������
not
over $200,000
������������
excess over
$175,000
���������
Over $200,000
���������������
$16,379.00 plus 11.00% of
����������������������������������������
excess
over $200,000.
����
In the case of any
taxable year beginning after December 31, 2024:
���������
If
the taxable income is:
����
The tax shall
be:
���������
Not
over $9,600
�������������
1.40% of taxable
income
���������
Over
$9,600 but
�������������
$134.00 plus 3.20%
of
�����������
not
over $14,400
������������
excess over
$9,600
���������
Over
$14,400 but
������������
$288.00 plus 5.50%
of
�����������
not
over $19,200
������������
excess over
$14,400
���������
Over
$19,200 but
������������
$552.00 plus 6.40%
of
�����������
not
over $24,000
������������
excess over
$19,200
���������
Over
$24,000 but
������������
$859.00 plus 6.80%
of
�����������
not
over $36,000
������������
excess over
$24,000
���������
Over
$36,000 but
������������
$1,675.00 plus
7.20% of
�����������
not
over $48,000
������������
excess over
$36,000
���������
Over
$48,000 but
������������
$2,539.00 plus
7.60% of
�����������
not
over $125,000
������������
excess over
$48,000
���������
Over
$125,000 but
������������
$8,391.00 plus
7.90% of
�����������
not
over $175,000
������������
excess over
$125,000
���������
Over
$175,000 but
������������
$12,341.00 plus
8.25% of
�����������
not
over $225,000
������������
excess over
$175,000
���������
Over
$225,000 but
������������
$16,466.00 plus
9.00% of
�����������
not
over $275,000
������������
excess over
$225,000
���������
Over $275,000 but
������������
$20,966.00 plus 10.00% of
�����������
not
over $325,000
������������
excess over
$275,000
���������
Over $325,000
���������������
$25,966.00 plus 11.00% of
����������������������������������������
excess
over $325,000.
����
In the case of any
taxable year beginning after December 31, 2026:
���������
If
the taxable income is:
����
The tax shall
be:
���������
Not
over $14,400
������������
1.40% of taxable
income
���������
Over
$14,400 but
������������
$202.00 plus 3.20%
of
�����������
not
over $19,200
������������
excess over
$14,400
���������
Over
$19,200 but
������������
$355.00 plus 5.50%
of
�����������
not
over $24,000
������������
excess over
$19,200
���������
Over
$24,000 but
������������
$619.00 plus 6.40%
of
�����������
not
over $36,000
������������
excess over
$24,000
���������
Over
$36,000 but
������������
$1,387.00 plus
6.80% of
�����������
not
over $48,000
������������
excess over
$36,000
���������
Over
$48,000 but
������������
$2,203.00 plus
7.20% of
�����������
not
over $125,000
������������
excess over
$48,000
���������
Over
$125,000 but
������������
$7,747.00 plus
7.60% of
�����������
not
over $175,000
������������
excess over
$125,000
���������
Over
$175,000 but
������������
$11,547.00 plus
7.90% of
�����������
not
over $225,000
������������
excess over
$175,000
���������
Over
$225,000 but
������������
$15,497.00 plus
8.25% of
�����������
not
over $275,000
������������
excess over
$225,000
���������
Over
$275,000 but
������������
$19,622.00 plus
9.00% of
�����������
not
over $325,000
������������
excess over
$275,000
���������
Over $325,000 but
������������
$24,122.00 plus 10.00% of
�����������
not
over $400,000
������������
excess over
$325,000
���������
Over $400,000
���������������
$31,622.00 plus 11.00% of
����������������������������������������
excess
over $400,000.
����
In the case of any
taxable year beginning after December 31, 2028:
���������
If
the taxable income is:
����
The tax shall
be:
���������
Not
over $19,200
������������
1.40% of taxable
income
���������
Over
$19,200 but
������������
$269.00 plus 3.20%
of
�����������
not
over $24,000
������������
excess over
$19,200
���������
Over
$24,000 but
������������
$422.00 plus 5.50%
of
�����������
not
over $36,000
������������
excess over
$24,000
���������
Over
$36,000 but
������������
$1,082.00 plus
6.40% of
�����������
not
over $48,000
������������
excess over
$36,000
���������
Over
$48,000 but
������������
$1,850.00 plus
6.80% of
�����������
not
over $125,000
������������
excess over
$48,000
���������
Over
$125,000 but
������������
$7,086.00 plus
7.20% of
�����������
not
over $175,000
������������
excess over
$125,000
���������
Over
$175,000 but
������������
$10,686.00 plus
7.60% of
�����������
not
over $225,000
������������
excess over
$175,000
���������
Over
$225,000 but
������������
$14,486.00 plus
7.90% of
�����������
not
over $275,000
������������
excess over
$225,000
���������
Over
$275,000 but
������������
$18,436.00 plus
8.25% of
�����������
not
over $325,000
������������
excess over
$275,000
���������
Over
$325,000 but
������������
$22,561.00 plus
9.00% of
�����������
not
over $400,000
������������
excess over
$325,000
���������
Over $400,000 but
������������
$29,311.00 plus 10.00% of
�����������
not
over $475,000
������������
excess over
$400,000
���������
Over $475,000
���������������
$36,811.00 plus 11.00% of
����������������������������������������
excess
over $475,000.
����
(d)
�
The tax imposed by section 235-2.45 on
estates and trusts shall be determined in accordance with the following table:
����
In the case of any taxable year beginning
after December 31, 2001:
���������
If the taxable income is:
����
The tax shall be:
���������
Not over $2,000
�������������
1.40% of taxable income
���������
Over $2,000 but
�������������
$28.00 plus 3.20% of
�����������
not over $4,000
�������������
excess over $2,000
���������
Over $4,000 but
�������������
$92.00 plus 5.50% of
�����������
not over $8,000
�������������
excess over $4,000
���������
Over $8,000 but
�������������
$312.00 plus 6.40% of
�����������
not over $12,000
������������
excess over $8,000
���������
Over $12,000 but
������������
$568.00 plus 6.80% of
�����������
not over $16,000
������������
excess over $12,000
���������
Over $16,000 but
������������
$840.00 plus 7.20% of
�����������
not over $20,000
������������
excess over $16,000
���������
Over $20,000 but
������������
$1,128.00 plus 7.60% of
�����������
not over $30,000
������������
excess over $20,000
���������
Over $30,000 but
������������
$1,888.00 plus 7.90% of
�����������
not over $40,000
������������
excess over $30,000
���������
Over $40,000
����������������
$2,678.00 plus 8.25% of
����������������������������������������
excess
over $40,000.
����
(e)
�
Any taxpayer, other than a corporation,
acting as a business entity in more than one state who is required by this
chapter to file a return may elect to report and pay a tax of .5 per cent of
the taxpayer's annual gross sales if the:
����
(1)
�
Taxpayer's only activities in this State
consist of sales;
����
(2)
�
Taxpayer does not own or rent real estate or
tangible personal property; and
����
(3)
�
Taxpayer's annual gross sales in or into this
State during the tax year is not in excess of $100,000.
����
(f)
�
If a taxpayer has a net capital gain for any
taxable year to which this subsection applies, then the tax imposed by this
section shall not exceed the sum of:
����
(1)
�
The tax computed at the rates and in the same
manner as if this subsection had not been enacted on the greater of:
���������
(A)
�
The taxable income reduced by the amount of
net capital gain, or
���������
(B)
�
The amount of taxable income taxed at a rate
below 7.25 per cent, plus
����
(2)
�
A tax of 7.25 per cent of the amount of
taxable income in excess of the amount determined under paragraph (1).
����
This
subsection shall apply to individuals, estates, and trusts for taxable years
beginning after December 31, 1986.
����
(g)
�
In addition to the taxes imposed under
subsections (a), (b), and (c), there is hereby imposed on the taxable income of
every taxpayer filing a return under this chapter, a surcharge of two per cent
of the taxable income in excess of $1,000,000.
����
The
surcharge imposed by this subsection shall apply to the taxable income of every
taxpayer, regardless of filing status.
����
The
surcharge calculated under this subsection shall be a separate liability and
shall be added to the tax liability calculated under subsections (a), (b), and
(c).
����
Revenues
collected under this subsection for a taxable year shall be deposited into a
subaccount and earmarked for the state medicaid program.
�
If the legislature in the regular session
immediately following the taxable year so approves, by concurrent resolution,
the revenues shall be released and expended for the purposes of funding the
state medicaid program.
�
If the
legislature fails to approve such use, the revenues shall be deposited into the
general fund.
"
����
SECTION
3.
�
New statutory material is
underscored.
����
SECTION 4.
�
This Act shall take effect upon its approval
and shall apply to taxable years beginning after December 31, 2025.
INTRODUCED BY:
_____________________________
Report Title:
Income
Tax Surcharge; State Medicaid Program; Legislative Approval
Description:
Establishes
a surcharge on taxable income exceeding $1,000,000 to provide funding, if
approved by the Legislature, for the State Medicaid Program.
The summary description
of legislation appearing on this page is for informational purposes only and is
not legislation or evidence of legislative intent.