HB657 • 2026

RELATING TO DISABLED VETERANS.

Taxes

Active

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

Sponsor: HASHEM, AMATO, GARCIA, KAHALOA, LAMOSAO, LEE, M., MIYAKE, MORIKAWA, OLDS, TODD
Last action: 2025-12-08
Official status: Carried over to 2026 Regular Session.
Effective date: Not listed

Plain English Breakdown

The bill summary and text do not provide specific details about the number of affected veterans or the impact on state revenue, leaving these points as unknowns.

Exemptions for Disabled Veterans

This bill exempts disabled veterans from the state's vehicle weight tax but removes their exemption from paying annual vehicle registration fees.

What This Bill Does

Exempts disabled veterans from the State's vehicle weight tax.
Repeals the exemption that allowed disabled veterans to avoid paying the State's annual vehicle registration fee.

Who It Names or Affects

Disabled veterans who are residents of Hawaii and have served in the U.S. armed forces with a service-connected disability rating of one hundred percent.

Terms To Know

Disabled veteran: A person who has served in any branch of the United States armed forces, been honorably discharged, and is determined by the U.S. Department of Veterans Affairs to have a service-connected disability rating of one hundred percent.

Limits and Unknowns

The bill does not specify how many disabled veterans will be affected.
It is unclear what impact this change will have on state revenue or veteran services.

Amendments

These notes stay tied to the official amendment files and metadata from the legislature.

HD1

Hawaii published version HD1

Plain English: This amendment exempts disabled veterans from the State's vehicle weight tax but removes their exemption from the annual vehicle registration fee.

Disabled veterans will no longer have to pay the State's vehicle weight tax.
The exemption for disabled veterans from the annual vehicle registration fee is removed.

The amendment text does not provide details on how the changes will be implemented or enforced.

Bill History

2025-12-08 D
Carried over to 2026 Regular Session.
2025-02-12 H
Passed Second Reading as amended in HD 1 and referred to the committee(s) on FIN with none voting aye with reservations; none voting no (0) and Representative(s) Cochran, Sayama, Ward excused (3).
2025-02-12 H
Reported from PBS/TRN (Stand. Com. Rep. No. 459) as amended in HD 1, recommending passage on Second Reading and referral to FIN.
2025-02-07 H
The committee on TRN recommend that the measure be PASSED, WITH AMENDMENTS. The votes were as follows: 8 Ayes: Representative(s) Kila, Grandinetti, Evslin, Kitagawa, La Chica, Miyake, Muraoka, Pierick; Ayes with reservations: none; Noes: none; and 1 Excused: Representative(s) Cochran.
2025-02-07 H
The committee on PBS recommend that the measure be PASSED, WITH AMENDMENTS. The votes were as follows: 9 Ayes: Representative(s) Belatti, Hashem, Ichiyama, Lamosao, Morikawa, Poepoe, Shimizu, Souza; Ayes with reservations: Representative(s) Iwamoto; Noes: none; and 1 Excused: Representative(s) Woodson.
2025-02-05 H
Bill scheduled to be heard by PBS/TRN on Friday, 02-07-25 10:45AM in House conference room 411 VIA VIDEOCONFERENCE.
2025-01-27 H
Re-referred to PBS/TRN, FIN, referral sheet 4
2025-01-21 H
Referred to PBS, TRN, FIN, referral sheet 2
2025-01-21 H
Introduced and Pass First Reading.
2025-01-17 H
Pending introduction.

Official Summary Text

RELATING TO DISABLED VETERANS.
Vehicle Weight Tax; Annual Vehicle Registration Fee; Disabled Veterans; Exemption
Exempts disabled veterans from the State's vehicle weight tax and repeals the exemption for disabled veterans from the State's annual vehicle registration fee. Effective 7/1/3000. (HD1)

Current Bill Text

Read the full stored bill text

HB657

HOUSE OF REPRESENTATIVES

H.B. NO.

657

THIRTY-THIRD LEGISLATURE, 2025

STATE OF HAWAII

A BILL FOR AN ACT

relating
to disabled veterans
.

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

����
SECTION 1.
�
The legislature finds that greater
consistency is needed between the vehicle-based tax and fee exemptions offered
to active duty military members and the tax and fee exemptions offered to disabled
veterans.
�
Accordingly, the purpose of
this Act is to:

����
(1)
�
Exempt disabled veterans from the State's
vehicle weight tax; and

����
(2)
�
Repeal the exemption for disabled veterans
from the State's annual vehicle registration fee.

����
SECTION
2
.
�
Section
249-6.5, Hawaii Revised Statutes, is amended to read as follows:

����
"
[
[
]
�249-6.5[
]
]
�
Exemption for National
Guard, military reserves, and other active duty military personnel
, and for disabled
veterans
claiming Hawaii as their residence of record.
�

(a)
�
One noncommercial
motor vehicle registered to [
a
]
:

����
(1)
�
A
member of the National
Guard, military reserve, or armed service, including the Coast Guard, who is:

���
[
(1)
]

(A)
�
Assigned to a
unit in the State; and

���
[
(2)
]

(B)
�
A member in good
standing[
,
]
; or

����
(2)
�
A disabled
veteran;

shall
be exempt from the vehicle weight tax provided for in this chapter.

����
(b)
�

For purposes of this section, "disabled veteran" means a
person who:

����
(1)
�
Is a resident
of Hawaii;

����
(2)
�
Has served in,
and been honorably discharged from, any branch of the United States armed
forces; and

����
(3)
�
Has been
determined by the United States Department of Veterans Affairs or its
predecessor to have a service‑connected disability rating of one hundred
per cent.
"

����
SECTION
3
.
�
Section 249-31,
Hawaii Revised Statutes, is amended by amending subsection (a) to read as
follows:

����
"(a)
�
All vehicles and motor vehicles in the State
as defined in section 249-1, including antique motor vehicles, except as
otherwise provided in sections 249-4[
,
]
and
249-6[
, and 249
‑
31.5
], shall be subject to a $46 annual vehicle
registration
fee
; provided that alternative fuel
vehicles shall pay an annual vehicle registration surcharge of $50, which shall
be assessed and collected beginning with the first registration renewal for
every alternative fuel vehicle and shall be deposited into the state highway
fund established under section 248-8.
�

The surcharge shall be paid each year together with all other taxes and
fees levied by this chapter on a staggered basis as established by each county
as authorized by section 286-51, and the state registration for that county
shall likewise be staggered so that the state registration fee is due and
payable at the same time and shall be collected together with the county
fee.
�
The state registration fee shall be
deemed delinquent if not paid with the county registration fee.
�
The respective counties shall collect this
fee together with the vehicle registration tax collected for the county and
shall transfer the moneys collected under this section to the State.

����
For the
purposes of this subsection, "alternative fuel vehicle" means a
vehicle powered by a non-petroleum-based fuel, but excludes an electric vehicle
as defined in section 249‑36(g).
"

����
SECTION
4
.
�
Section
249-31.5, Hawaii Revised Statutes, is repealed.

����
["
�249-31.5
�

Exemptions from registration fees for certain vehicles; disabled
veterans.
�
(a)
�
A disabled veteran who:

����
(1)
�
Is a resident
of Hawaii;

����
(2)
�
Has been other than dishonorably discharged from the
United States uniformed armed forces; and

����
(3)
�
Is determined
by the United States Department of Veterans Affairs or its predecessor to have
a service‑connected one hundred per cent disability rating for
compensation or a service-connected disability rating of one hundred per cent,

shall be exempt from payment of all annual
vehicle registration fees as required by section 249-31; provided that this
exemption shall not extend to any vehicle used for commercial purposes or to
more than one vehicle owned by the disabled veteran.

����
(b)
�
The director of the office of veterans'
services, in consultation with the policy advisory board on [veterans']
services, shall submit a report to the legislature and the department of
taxation no later than twenty days prior to the convening of each regular
session providing the legislature and the department of taxation with the total
number of disabled veterans who qualify under this section for the exemption
from annual vehicle registration fees.
"]

����
SECTION 5.
�
Statutory material to be repealed is
bracketed and stricken.
�
New statutory
material is underscored.

����
SECTION 6.
�
This Act shall take effect on July 1, 2025.

INTRODUCED BY:

_____________________________

Report Title:

Vehicle
Weight Tax; Annual Vehicle Registration Fee; Disabled Veterans; Exemption

Description:

Exempts disabled veterans from the State's vehicle weight tax
and repeals the exemption for disabled veterans from the State's annual vehicle
registration fee.

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