HI HB543

Establishes a nonrefundable income tax credit for taxpayers who purchase and install a whole house water filter system in Hawaii.

Credit equals a percentage of qualified expenses (percentage amount not specified in bill text) for purchase and installation of qualifying water filter systems.

Total tax credits allowed statewide cannot exceed $5,000,000 per taxable year; taxpayers denied credit due to cap may claim it in the following year.

Excess credits over a taxpayer's annual income tax liability may be carried forward to subsequent years until exhausted; claims must be filed within 12 months after the close of the taxable year.

Effective July 1, 3000, and applies to taxable years beginning after December 31, 2022.