HI SB125

Expands eligible business activities for Hawaii's State Enterprise Zone Program to include retail sales of locally manufactured goods sold directly to consumers, processing of value-added agricultural products, professional health care services, advanced manufacturing, and cybersecurity technology development

Extends state business tax credit eligibility from 7 years to 9 years for qualified businesses, with credits starting at 80% in year one and decreasing to 20% for years seven through nine

Extends general excise tax exemption period from 7 years to 9 years for qualified businesses, and from 10 years to 12 years for businesses engaged in manufacturing tangible personal property or producing/processing agricultural products

Modifies employment increase requirements for existing businesses seeking enterprise zone designation, requiring at least 15% employee growth by the end of years four through nine (previously through year seven)

Takes effect July 1, 3000 (placeholder date), with tax credit extensions applying to taxable years beginning after December 31, 2025, and general excise exemption extensions effective January 1, 2027