HI SB628

Increases Hawaii's general excise tax rate from 4% to 5% on retail sales of tangible personal property, contracting, amusements, sales representatives, service businesses, real property leasing, tourism-related services, and other business activities

Establishes a new teacher salary special fund within the Department of Education to be used exclusively for teacher salaries and compensation

Requires 50% of the additional revenue generated by the 1% general excise tax increase to be deposited into the teacher salary special fund

Requires the remaining 50% of the additional revenue to be deposited into the existing school facilities special fund for school construction and renovations

Takes effect July 1, 2025