HI HB1413

Establishes the Simplified Sellers Use Tax Remittance Act, a voluntary program allowing out-of-state vendors without physical presence in Hawaii to collect and remit a 4% use tax on sales delivered into the state.

Eligible sellers participating in the program are relieved of general excise and use tax liability if they properly collect and remit the simplified sellers use tax, while purchasers are relieved of additional tax obligations.

Participating sellers may deduct and retain a 2% discount on taxes properly collected and timely remitted, with monthly reporting required by the 20th of the following month.

Sellers removed from the program for non-compliance face penalties, with rights to appeal; no county audits permitted for program participants and sales are exempt from county surcharges.

Grants amnesty for uncollected use tax from the 12-month period before a seller's program enrollment, except for sellers under audit or who have already paid taxes, lasting as long as the seller remains in compliance for at least 36 months.