HI HB510

Changes the state earned income tax credit from nonrefundable to refundable, allowing taxpayers to receive refunds or payments if the credit exceeds their tax liability or if they have no tax liability.

Requires refunds of excess credits to be paid to taxpayers, with a minimum threshold that no refunds under $1 shall be made.

Extends the availability of the earned income tax credit through December 31, 2028 (an additional 6 years beyond the previous December 31, 2022 expiration date).

Maintains the credit amount at 20 percent of the federal earned income tax credit claimed on the individual's federal tax return.

Applies to taxable years beginning after December 31, 2021.