SB2575 - Anti-Speculation Capital Gains Tax

• Imposes additional capital gains tax on real property sales based on holding period: 60% of capital gains tax if held less than 6 months, 30% if held 6-12 months, and 15% if held 12-24 months.

• Exempts affordable rental housing sales (10+ year affordability requirement for residents earning under 140% of median Hawaii income), principal residences sold due to employment change or health reasons, and involuntarily converted properties.

• Excludes properties qualifying for county homeowner exemptions and real property sold by military personnel due to relocation orders from the tax.

• Directs 75% of tax revenues to the Rental Housing Trust Fund and 25% to the general fund.

• Takes effect July 1, 2050.