Read the full stored bill text
HB655
HOUSE OF REPRESENTATIVES
H.B. NO.
655
THIRTY-THIRD LEGISLATURE, 2025
STATE OF HAWAII
A BILL FOR AN ACT
RELATING
TO MOTOR VEHICLES
.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
����
SECTION
1.
�
The legislature finds that, for some
residents, the moneys owed for motor vehicle taxes and fees that have been
unpaid for several years may exceed the value of the motor vehicle, making it
difficult to renew the motor vehicle's registration or transfer its title.
�
These affected residents often decide to instead
abandon their motor vehicles, creating environmental waste and further
straining Hawaii's limited waste disposal capacity.
����
The
legislature believes that under certain circumstances, simply forgiving a
portion of the unpaid taxes, fees, and accompanying penalties would be more
financially and environmentally beneficial for the State and counties than
having these motor vehicles abandoned.
����
Accordingly,
the purpose of this Act is to limit the required payment of certain unpaid
motor vehicle taxes and fees and accompanying financial penalties to those
incurred during the most recent five consecutive years of delinquency.
����
SECTION
2
.
�
Section 249-5.5, Hawaii Revised Statutes, is
amended by amending subsection (a) to read as follows:
����
"(a)
�
All vehicles taxable under sections 249-1,
249-2, 249-4 and 249-6 to 249-13, which are stored so that they are not used
for transportation, or for the other purposes covered by section 249-2, shall
be exempt from the tax for the period of storage; provided that the owner of
each vehicle shall first present to the director of finance a signed statement
of the fact of the storage, together with other relevant facts as may be
required by the director of finance and shall surrender the last issued certificate
of registration, license plates, and emblem for the vehicle.
�
If the affidavit, certificate of
registration, license plates, and emblem are presented to the director of
finance after the expiration of the vehicle's registration period, then the
unpaid tax for each month the license plates could have been validated with an
emblem plus the fee for the currently issued license plates and emblem shall be
paid in full upon presenting the affidavit[
.
]
; provided that the moneys
owed shall not exceed the current license plate and emblem fees plus any unpaid
taxes due during the most recent five consecutive years that the license plate
could have been validated with an emblem, regardless of the overall duration of
delinquency.
"
����
SECTION
3
.
�
Section 249-10, Hawaii Revised Statutes, is
amended by amending subsection (a) to read as follows:
����
"(a)
�
Any tax imposed by sections 249-1 to 249-13
for any year and not paid when due, shall become delinquent and a penalty shall
be added to, and become part of, the delinquent tax[
.
]
; provided that
the delinquent tax due shall not exceed the current tax due plus any unpaid taxes
due and penalties incurred during the most recent five consecutive years of
delinquency, regardless of the overall duration of delinquency.
�
The amount of the delinquency penalty shall
be established by the county's legislative body.
�
If the date that the tax is due is a
Saturday, Sunday, or legal holiday, the tax shall become delinquent at the end
of the next day that is not a Saturday, Sunday, or legal holiday.
�
The director of finance may require the
payment of any delinquent tax and penalty as a condition precedent to the
registration, renewal, or transfer of ownership of [
such
]
the
vehicle.
�
Any vehicle not having the
number plates required by sections 249-1 to 249-13, or any vehicle upon which
taxes are delinquent as provided in this section, may be seized, wherever
found, by the director of finance or by any police officer, and held for a
period of ten days, during which time the vehicle shall be subject to
redemption by its owner by payment of the taxes due, together with the
delinquent penalties and the cost of storage and other charges incident to the
seizure of the vehicle.
�
The director of
finance, chief of police, or any police officer shall be deemed to have seized
and taken possession of any vehicle, after having securely sealed it where
located and posted a notice upon the vehicle, setting forth the fact that it
has been seized for taxes and warning all other persons from molesting it under
any
penalty provided by section 249-11."
����
SECTION
4
.
�
Section 249-34, Hawaii Revised Statutes, is
amended to read as follows:
����
"
�249-34
�
Delinquent penalties; seizure and sale for tax and fee.
�
Any tax or fee imposed under sections 249-31
and 249-33 for any year and not paid when due shall be subject to the penalties
provided in section 249-10[
.
]
; provided that any moneys due shall not
exceed the current tax or fee, or both, due plus any unpaid taxes or fees, or
both, due and penalties incurred during the most recent five consecutive years
of delinquency, regardless of the overall duration of delinquency.
"
����
SECTION
5.
�
This Act does not affect rights and
duties that matured, penalties that were incurred, and proceedings that were
begun before its effective date.
����
SECTION
6.
�
Statutory material to be repealed is
bracketed and stricken.
�
New statutory
material is underscored.
����
SECTION 7.
�
This Act shall take effect upon its approval.
INTRODUCED BY:
_____________________________
Report Title:
Motor
Vehicles; Registration; Taxes; Penalties; Delinquency
Description:
Limits
the required payment of certain unpaid motor vehicle taxes and fees and
accompanying financial penalties to those incurred during the most recent 5
consecutive years of delinquency.
The summary description
of legislation appearing on this page is for informational purposes only and is
not legislation or evidence of legislative intent.