HI SB775

Establishes a mechanism to adjust Hawaii's transient accommodations tax rate annually based on visitor arrivals, effective January 1, 2022 through December 31, 2030.

Sets baseline tax rate at 6 percent when visitor arrivals are 6 million or less; rate increases or decreases by 1 percent for each additional 1 million visitors, with a floor of 6 percent.

Requires Hawaii Tourism Authority and Department of Business, Economic Development, and Tourism to determine annual visitor arrivals and publish the data in the State of Hawaii Data Book by June 30 of the following year, beginning June 30, 2021.

Maintains the existing 10.25 percent tax rate structure for the January 1, 2018 to December 31, 2030 period, with excess revenues above the 9.25 percent rate deposited into the mass transit special fund.

Tax rate adjustments apply at the time of hotel booking; bill becomes effective July 1, 2050.