HB 2672 Summary

• Amends Section 235-55.7 of Hawaii Revised Statutes to change the definition of "adjusted gross income" to match the federal Internal Revenue Code definition instead of the state definition.

• Eliminates the previous $30,000 income cap for claiming the low-income household renters' tax credit and establishes tiered credit amounts based on adjusted gross income and filing status.

• Creates three filing status categories with different income thresholds: single/married filing separately (up to $35,000), head of household (up to $50,000), and joint return/surviving spouse (up to $70,000).

• Maintains existing requirements that taxpayers must have paid more than $1,000 in rent during the taxable year and allows taxpayers age 65 and over to claim double the credit.

• Effective July 1, 2050, and applies to taxable years beginning after December 31, 2018.