HI HB1417

Creates an income tax exclusion for the first $50,000 of gross income earned by farmers to incentivize growth of small, diversified farming businesses.

Defines "farmer" as an individual earning more than seventy-five percent of gross income from farm products, including crops, livestock, poultry, bees, fish, and timber.

Defines "farm products" to include cultivation of crops for bioenergy, flowers, vegetables, fruits, forage, timber, and animal/aquatic life propagation.

Applies to taxable years beginning after December 31, 2025.

Addresses Hawaii's aging agricultural workforce and low farm profitability, with nearly eighty percent of the state's farms reporting annual sales under $25,000.