HI HB1193

Establishes a $1,500,000 per-year cap on tax credits for research activities for each taxpayer and their related entities under sections 267(b), 414(b), 414(c), and 1563(a) of the Internal Revenue Code.

Requires qualified high technology businesses to register in Hawaii and submit detailed information to the Department of Business, Economic Development, and Tourism (DBEDT) by the last day of the third month following each taxable year, including qualified expenditures, tax credits claimed, industry sector, revenue data, employment data, intellectual property filings, and spinout companies.

Increases the annual aggregate cap on certified research activity tax credits from $5,000,000 to $15,000,000 per calendar year and requires DBEDT to certify credits on a first-come, first-served basis based on the date complete applications are received, with pro rata certification for same-day applications.

Extends the sunset date for the tax credit for research activities from December 31, 2024 to December 31, 2029.

Consolidates survey and certification requirements into a single submission process and removes the previous separate annual survey requirement, with DBEDT authorized to request additional information to measure tax credit effectiveness.