H.B. 2640 Summary

• Expands Hawaii Promise Program scholarships to qualified students at any University of Hawaii campus, not limited to community colleges.

• Establishes a dedicated Hawaii promise program trust fund administered by the University of Hawaii to provide financial assistance to eligible students.

• Increases individual income tax rates for Hawaii's highest earners beginning in 2019, with new tax brackets at 9%, 10%, and 11% rates for incomes above $96,000-$400,000+ depending on filing status.

• Directs additional revenues from the income tax increase to fund the expanded Hawaii Promise Program, estimated at approximately $20,000,000 annually.

• Effective July 1, 2018, with income tax rate changes applying to taxable years beginning after December 31, 2018.