HI SB803

Establishes an income tax credit for qualified taxpayers (farmers, food processors, and produce merchant wholesalers) to help offset expenses incurred in complying with the federal Food Safety Modernization Act, with a maximum credit of $50,000 per taxpayer.

Limits the total amount of tax credits allowed statewide to $2,000,000 per taxable year, with taxpayers denied credits due to the cap eligible to claim them in subsequent years.

Creates the Food Safety Modernization Act special fund administered by the Department of Agriculture, into which fees assessed by the department for certifying tax credit claims shall be deposited.

Requires qualified taxpayers to submit annual written certified statements to the Board of Agriculture chairperson by March 31 detailing qualified expenses and tax credits claimed, and mandates the Department of Agriculture verify expenses and issue certificates to taxpayers.

Restricts eligibility to taxpayers whose gross income from agricultural product sales does not exceed $500,000 for the most recently reported fiscal year.