Bill > HB1456

This bill establishes a new tax credit for individual and corporate taxpayers who install and place in service projects that support environmental sustainability in Hawaii. The tax credit can be claimed for a percentage of the actual cost of each qualified project, which includes systems supporting agriculture, agroforestry, aquaculture, circular manufacturing, or renewable energy. To qualify, taxpayers must comply with state environmental and building regulations and provide evidence of quantifiable environmental benefits. Taxpayers must submit documentation such as project costs, project plans, and compliance certifications. If the tax credit exceeds the taxpayer's income tax liability, the excess can be used in subsequent years. While the specific percentage of the tax credit and the total annual credit amount are not specified in the bill (indicated by blank dollar amounts), the legislation sets clear guidelines for claiming the credit, including filing requirements and restrictions on using multiple tax credits for the same project. The bill will apply to taxable years beginning after December 31, 2024, providing a forward-looking incentive for environmentally sustainable projects in the state.

Agriculture and Natural Resources

https://www.capitol.hawaii.gov/session/measure_indiv.aspx?billtype=HB&billnumber=1456&year=2026