HI SB871

Amends Hawaii's excise tax on large cigars effective July 1, 2017, by adding a new tax provision (section 14) that applies the lesser of two rates: 50 cents per large cigar or 50% of the wholesale price.

Replaces the previous large cigar tax rate of 50% of wholesale price (established in 2009) with a capped rate structure that cannot exceed 50 cents per cigar.

Maintains existing excise tax rates on cigarettes, little cigars, and other tobacco products unchanged.

Allows tax refunds or credits for large cigars that become subject to casualty loss deductions under Hawaii tax law.