S.B. 2007 Summary

• Imposes a state carbon emissions tax of $6.25 per ton of carbon dioxide equivalent emissions on aviation fuel, equivalent to $0.0522 per gallon, with annual rate increases based on U.S. Energy Information Administration data.

• Directs aviation fuel tax revenue into the airport revenue fund to support operations, maintenance, improvements, and upgrades of Hawaii's statewide airport system.

• Creates an income tax credit for qualified lower-income resident taxpayers ranging from $50 to $500 annually based on gross income brackets to mitigate the tax's impact on lower earners.

• Requires aviation fuel distributors to file monthly tax returns with the department of taxation and maintain records of fuel sales for five years.

• Effective date of January 1, 2050.