HI HB27

Exempts gross proceeds from sales of groceries eligible for Supplemental Nutrition Assistance Program (SNAP) and Special Supplemental Nutrition Program for Women, Infants, and Children (WIC) from Hawaii's general excise tax, regardless of how the purchase is made or the purchaser's program eligibility.

Defines "groceries" as any food or food product for home consumption, with the department authorized to further define the term through rules and tax releases in consultation with the federal Food and Nutrition Service.

Exempts gross proceeds from sales of nonprescription drugs from the general excise tax, defined as packaged, bottled, or nonbulk chemicals, drugs, or medicines that can be lawfully sold without a practitioner's order.

Defines "drug" to include articles recognized in official pharmacopeias, items intended to diagnose or treat disease, items affecting body structure or function, and components of such articles, excluding devices, cosmetics, and liquor.

Takes effect on January 1, 2022.