HI SB2923

Requires tax return preparers to electronically file returns if they reasonably expect to prepare more than ten returns of the same tax type in a calendar year, with a $50 penalty per return for non-compliance.

Allows the Department of Taxation to mandate electronic filing for partnership and S-corporation returns when gross income exceeds $250,000 for the taxable year.

Removes the authority for the department to require electronic funds transfer or filing based on federal requirements, and removes the timeliness requirement from electronic funds transfer penalties.

Eliminates the department's authority to charge $5 fees for certified copies of tax clearances, retaining only the $20 application fee.

Establishes fixed interest rates (3-4% depending on taxpayer type and overpayment amount) for refunds from the litigated claims fund, replacing the prior method tied to federal tax code.