HB 2218 Summary

• Amends Section 235-2.3(a) of Hawaii Revised Statutes to update the reference date for the Internal Revenue Code from December 31, 2014 to clarify that prior law applies to basis determination and income calculations for taxable years predating January 1, 1978.

• Repeals Section 235-2 of Hawaii Revised Statutes, which contained outdated references to the Internal Revenue Code of 1954 and enumerated specific federal public laws and amendments applicable to various taxable years from 1958 through 1975.

• Repeals Section 235-2.1 of Hawaii Revised Statutes, which addressed further amendments to the Internal Revenue Code of 1954 for taxable years beginning on or after January 1, 1976.

• Repeals Section 235-2.2 of Hawaii Revised Statutes, which contained extensive references to federal public laws and amendments applicable to taxable years beginning on or after January 1, 1977 and 1978.

• Takes effect on July 1, 2016.