HI HB2464

Amends Hawaii Revised Statutes Section 235-110.93(a) to clarify the calculation of the important agricultural land qualified agricultural cost tax credit.

First year credit: 25% of qualified agricultural costs (capped at $625,000) incurred after July 1, 2008.

Second year credit: 15% of qualified agricultural costs (capped at $250,000) incurred after July 1, 2008.

Third year credit: 10% of qualified agricultural costs (capped at $125,000) incurred after July 1, 2008.

Taxpayers may incur qualified agricultural costs in anticipation of claiming the credit in future years and may claim the credit in consecutive or non-consecutive years until exhausted; effective for taxable years beginning after July 1, 2008.