HI HB1267

Establishes a one-year pilot program requiring the Department of Taxation to grant participating landlords a general excise tax exemption on gross income from rental units rented to long-term tenants with pets.

Requires the Department of Taxation to conduct a statewide survey of prospective landlords and tenants to evaluate interest in the pilot program within four months before implementation.

Participating landlords must register with the Department of Taxation and provide documentation verifying eligibility, with rental lease agreements required to be for a minimum of six months.

Directs the Department of Taxation to submit a preliminary report on survey results to the legislature no later than twenty days before the 2026 regular session, and a final report on program efficacy and net cost savings before the 2027 regular session.

Defines "pet" as a "pet animal" under section 711-1100, Hawaii Revised Statutes, and authorizes the tax director to adopt rules and prepare forms necessary to implement the program.