HB 364 Summary

• Authorizes each Hawaii county to establish a surcharge on transient accommodations tax through ordinance adoption on or before December 31, 2022, following a public hearing.

• County surcharge on transient accommodations tax may be levied beginning January 1, 2024, and shall not exceed a rate specified in section 237D (specific percentage not filled in bill text).

• Director of taxation shall administer collection and distribution of the surcharge, deducting a percentage of gross proceeds to reimburse the State for assessment, collection, and administration costs, with remainder paid quarterly to the respective county.

• Surcharge applies to gross rental proceeds and fair market rental value of transient accommodations taxable under chapter 237D, with exemptions for accommodations exempt from state transient accommodations tax.

• All county surcharge ordinances and this Act automatically sunset on December 31, 2036; Act repeals on January 1, 2023 if no county adopts an ordinance by December 31, 2022.