HI HB1091

Repeals redundant language in Hawaii's use tax law (Section 238-3) that references Act 74 of 1979, which originally exempted certain interstate commerce activities from taxation.

Act 74 was enacted to prevent taxation of stevedoring and similar interstate commerce activities by common carriers, but these activities are now expressly exempted under other tax law provisions.

Removes the bracketed language stating that exemptions for persons or common carriers engaged in interstate or foreign commerce allowed before April 1, 1978 shall continue undiminished.

Clarifies that the use tax exemption applies only to activities that cannot legally be taxed under the U.S. Constitution or federal law, and only to the extent the State lacks power to impose the tax.

Takes effect upon approval.