HI SB614

Exempts unemployment insurance benefits and pandemic unemployment assistance received from March 1, 2020, through December 31, 2020, from Hawaii state income tax.

Allows the Department of Taxation to credit any state income tax that was withheld from unemployment compensation or pandemic unemployment assistance during the specified period against taxpayers' overall state income tax liability.

Addresses financial hardship caused by the COVID-19 pandemic, noting Hawaii's unemployment rate surged from 2.4% in March 2020 to 22.3% in April 2020, with over 350,000 individuals filing unemployment claims.

Notes that six states exempt unemployment benefits from income tax and nine states have no income tax, while Hawaii currently treats all unemployment benefits as fully taxable income.

Takes effect July 1, 2050.