HB2522 • 2026

RELATING TO TAXATION.

Taxes

Active

The official status still shows this bill as active or still awaiting another formal step.

Sponsor: PIERICK, SHIMIZU
Last action: 2026-02-02
Official status: Referred to FIN, referral sheet 6
Effective date: Not listed

Plain English Breakdown

Using official source text because the generated explanation was unavailable or could not be confirmed against the official bill text.

RELATING TO TAXATION.

What This Bill Does

RELATING TO TAXATION.
Taxation; Income Tax; Repeal; DoTax Eliminates the Hawaii state income tax starting with the 2028 taxable year.
Requires the Department of Taxation to submit a report to address the expected tax revenue shortfall and to propose conforming amendments to the Hawaii Revised Statutes.

Limits and Unknowns

This entry is temporarily using official source text because the generated explanation could not be confirmed against the official bill text during the last sync.

Bill History

2026-02-02 H
Referred to FIN, referral sheet 6
2026-01-28 H
Introduced and Pass First Reading.

Official Summary Text

RELATING TO TAXATION.
Taxation; Income Tax; Repeal; DoTax
Eliminates the Hawaii state income tax starting with the 2028 taxable year. Requires the Department of Taxation to submit a report to address the expected tax revenue shortfall and to propose conforming amendments to the Hawaii Revised Statutes.

Current Bill Text

Read the full stored bill text

HB2522

HOUSE OF REPRESENTATIVES

H.B. NO.

2522

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 purpose of this Act is to
eliminate state income taxes.

����
SECTION
2.
�
Chapter 235, Hawaii Revised Statutes,
is repealed.

����
SECTION
3.
�
No later than twenty days prior to
the regular session of 2027, the department of taxation shall submit a report
to the legislature on:

����
(1)
�
The estimated annual tax revenue shortfall
following the repeal of chapter 235, Hawaii Revised Statutes;

����
(2)
�
Recommendations to address the expected
revenue shortfall; and

����
(3)
�
Proposed legislation to address the expected
revenue shortfalls and for the necessary conforming amendments to the Hawaii
Revised Statutes due to the repeal of chapter 235, Hawaii Revised Statutes.

����
SECTION 4.
�
This Act shall take effect upon its approval;
provided that section 2 shall apply to taxable years beginning after December
31, 2027.

INTRODUCED BY:

_____________________________

Report Title:

Taxation;
Income Tax; Repeal; DoTax

Description:

Eliminates
the Hawaii state income tax starting with the 2028 taxable year.
�
Requires the Department of Taxation to submit
a report to address the expected tax revenue shortfall and to propose
conforming amendments to the Hawaii Revised Statutes.

The summary description
of legislation appearing on this page is for informational purposes only and is
not legislation or evidence of legislative intent.