S.B. 3019 Summary

• Establishes a tax of 1 cent per teaspoon of sugar on sugar-sweetened beverages, syrups, and powders sold by distributors to retailers in Hawaii for consumer sale.

• Defines "sugar-sweetened beverage" as any beverage with less than 0.5% alcohol containing added caloric sweeteners, with specific exemptions for diet drinks, 100% fruit/vegetable juice, milk, coffee, tea, infant formula, and plain water.

• Requires distributors and retailers to file monthly returns with the Department of Taxation showing sales volumes and tax owed, with payment due by the 20th of each month.

• Directs revenue from the tax to be distributed to the community health centers special fund and trauma system special fund, with remaining excess revenues deposited into the general fund.

• Applies to taxable years beginning after December 31, 2011, and includes exemptions for sales to the U.S. government, American Indian tribes, and for out-of-state resale.