HB283 • 2026

RELATING TO INCOME TAX.

Taxes

Active

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

Sponsor: MURAOKA, ALCOS, GARCIA, MATSUMOTO, PIERICK, REYES ODA, SHIMIZU, WARD
Last action: 2025-12-08
Official status: Carried over to 2026 Regular Session.
Effective date: Not listed

Plain English Breakdown

The official source does not provide information on how removing state individual income tax will affect Hawaii's budget or economy, leaving this as an open question.

Bill to End State Income Tax

This bill aims to remove the requirement for individuals in Hawaii to pay state income tax.

What This Bill Does

Removes the requirement for individuals to pay state income tax.

Who It Names or Affects

All people who currently pay individual income tax in Hawaii.

Terms To Know

Income Tax: A type of tax based on the money a person earns from work or investments.
Taxable Year: The period, usually one year, during which income is calculated for tax purposes.

Limits and Unknowns

This bill only affects individuals and does not change corporate taxes or other types of taxes in Hawaii.
It's not clear how removing the state individual income tax will affect other parts of Hawaii’s budget or economy.

Bill History

2025-12-08 D
Carried over to 2026 Regular Session.
2025-01-21 H
Referred to FIN, referral sheet 1
2025-01-17 H
Introduced and Pass First Reading.
2025-01-16 H
Pending introduction.

Official Summary Text

RELATING TO INCOME TAX.
Taxation; Income Tax; Minority Caucus Package
Eliminates the state individual income tax.

Current Bill Text

Read the full stored bill text

HB283

HOUSE OF REPRESENTATIVES

H.B. NO.

283

THIRTY-THIRD LEGISLATURE, 2025

STATE OF HAWAII

A BILL FOR AN ACT

relating
to income tax
.

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

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SECTION 1.
�
The legislature finds that, according to the
nonpartisan, nonprofit Tax Foundation, economies grow as the income tax burden
is reduced.
�
Further, there are nine
states in the nation which do not impose a state income tax.
�
The purpose of this Act is to eliminate the
income tax burden on Hawaii's workers to allow for economic prosperity.

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Statutes, is repealed.

����
SECTION 3.
�
This Act, upon its approval, shall apply to
taxable years beginning after December 31, 2025.

INTRODUCED BY:

_____________________________

Report Title:

Taxation;
Income Tax; Minority Caucus Package

Description:

Eliminates
the state individual income tax.

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