HI HB1180

Imposes conveyance tax on transfers of a controlling interest (50% or more ownership) in any entity that holds real property located in Hawaii, when such transfer results in a change of control or ownership of the real property.

Excludes from taxation transfers between entities with common ownership where there is no change in beneficial ownership, including transfers to wholly-owned subsidiaries of the same parent entity.

Applies conveyance tax at the lowest rate regardless of property value for specific transfers including: mergers/consolidations, transfers from dissolving partnerships to 90% corporate general partners, low-income housing certifications, and transfers to/from wholly-owned corporations or LLCs.

Defines "persons acting in concert" to include related parties who negotiate and consummate transfers as a single entity, with all acquisitions aggregated within a 12-month period to determine if a controlling interest was transferred.

Takes effect July 1, 2011.