Bill > SB1444

This bill amends Hawaii's General Excise Tax law to add a new tax exemption specifically for adult residential care homes licensed under sections 321-15.6 and 321-15.62 when they provide residential care services through a contract with the Department of Health. The exemption means that these licensed care facilities will not have to pay general excise taxes on the income they receive from these specific contracted mental health residential care services. This change is part of the state's efforts to support mental health care services by reducing the financial burden on licensed care facilities that work directly with the Adult Mental Health Division. The bill will take effect on January 1, 2026, giving care providers and state agencies time to prepare for the new tax exemption. By reducing the tax liability for these specialized residential care providers, the legislation aims to potentially make mental health care services more financially viable and accessible.

Budget and Finance, Health and Social Services

https://www.capitol.hawaii.gov/session/measure_indiv.aspx?billtype=SB&billnumber=1444&year=2025