HI HB618

Establishes a renewable fuels production tax credit allowing taxpayers to claim $0.20 per 76,000 BTUs of qualifying renewable fuels produced and sold in Hawaii, with a maximum annual credit of $3,000,000 per taxpayer and a six-year credit period.

Requires minimum annual production of 15 billion BTUs of renewable fuels using less than one barrel of oil per ton of fuel (including feedstock harvesting, transport, and processing) to qualify for the credit.

Credit is refundable if it exceeds the taxpayer's net income tax liability and must be claimed within 12 months following the close of the taxable year, with verification and certification by the Department of Business, Economic Development, and Tourism.

Repeals the existing ethanol facility tax credit (Section 235-110.3) and requires annual reporting to the governor and legislature on renewable fuels production facilities, total BTUs produced by fuel type, and projected future production.

Applies to taxable years beginning after December 31, 2016, but expires for taxable years beginning after December 31, 2022.