Bill > SB970

This bill creates a new tax credit for businesses located in counties with populations of 700,000 or more (which primarily means Honolulu County on the island of Oahu) that purchase public transportation fares or passes for their employees. The tax credit will be equal to the full amount spent by the employer on these transportation costs, and if the credit exceeds the company's tax liability in a given year, the excess can be carried forward to future tax years. To qualify, businesses must provide public transportation passes to their employees, and the transportation must be a mass transit program operated by the state or county that is open to the general public, which includes bicycle share programs. The tax credit will be available for taxable years beginning after December 31, 2024, but will expire for taxable years beginning after December 31, 2029. The director of taxation is required to submit reports to the legislature before the 2027, 2028, 2029, and 2030 legislative sessions, detailing the number and value of credits granted, their overall impact, and recommending whether the tax credit should continue. The bill is designed to encourage employers to support and subsidize employee public transportation use, potentially reducing traffic congestion and supporting local transit systems.

Budget and Finance, Transportation and Infrastructure

https://www.capitol.hawaii.gov/session/measure_indiv.aspx?billtype=SB&billnumber=970&year=2025