HI HB468

Establishes a job creation income tax credit for businesses that hire new full-time employees between May 1, 2013 and April 30, 2014, with eligible employees being Hawaii residents receiving or eligible for unemployment insurance benefits.

Credit amount equals the unemployment insurance taxes paid to the State during the taxable year for each eligible employee hired into a new permanent full-time position above the business's base employment level.

Businesses must employ the eligible employee continuously for at least nine months before claiming the credit, and must maintain their base employment level throughout the suspension period or forfeit eligibility.

Businesses may continue earning additional credits on unemployment insurance taxes for eligible employees up to two years of employment, provided continuous employment and maintenance of baseline employee count is sustained.

Act takes effect July 1, 2013, applies to taxable years beginning after December 31, 2012, and automatically repeals on December 31, 2016, though unused credits remain valid until exhausted.