The Wayfair switch in time and online taxes
In late June, the U.S. Supreme Court decided the Wayfair v. South Dakota case. It was a huge turning point in constitutional law involving the ability of states to tax “online sellers” such as Amazon, Newegg and Wayfair.
Who can we beat up with property tax?
The ongoing furor in Honolulu over the extent to which the rail project is adequately funded, or lack thereof, and the possibility of new state-mandated property taxes to fund education, lead us to look at how we can or should make property tax classifications.
If you don’t rock the boat, how do you change its direction?
A little over 20 years ago, on May 6, 1998, then-Maui Mayor Linda Lingle was speaking to a group of business leaders from the Chamber of Commerce of Hawaii. Before the meeting, she was told that she could speak on anything she wanted to, but was specifically told not to criticize any specific person in government.
It’s tough being an employer, especially here in Hawaii
If I am a business, or even a nonprofit, in Hawaii, and I want to hire paid staff, there are all kinds of things to consider.
Taxing online sellers is a victory for local stores
The Supreme Court of the United States today decided Wayfair, Inc. v. South Dakota, and held that “physical presence” is not necessary before states can validly apply their taxing powers to businesses that have neither persons nor property in a state but nevertheless conduct substantial business in that State.
Can’t you just change the agenda?
Recently, State Auditor Les Kondo shocked the public and some Honolulu Authority for Rapid Transportation (HART) board members when he charged, at a HART board meeting, that HART employees had been required to record all interviews with State Auditor personnel and then submit the recordings to management to be transcribed.
Balanced budget, a constitutional mandate?
If you are a serious student of Hawaii constitutional law, here is a question for you. Where in our state constitution does it say we have to have a balanced budget? The answer appears later in this article.
The California stupidity fund, Part 2
About three months ago, I wrote about the $10,000 limitation on deductions for state and local tax that is part of the Tax Cuts and Jobs Act of 2017.
We can’t see it or touch it, but we can tax it!
This week we look at HB 2416, a bill that applies Hawaii Use Tax to intangible property.
Finding the magic bullet: city’s share of rail administrative costs
In a recent hearing in the Honolulu City Council’s Budget Committee, council leaders say that they might have found a “magic bullet” — one that they say will get the city’s share of rail funding done painlessly.
Reactionary reaction to resort fees
One of the bills that has come out of the recently concluded legislative session is SB 2699, which proposes to make “resort fees” subject to our Transient Accommodations Tax (TAT).
Letting the genie out of the bottle … for our keiki?
This November, voters throughout the state will be given the opportunity to vote on a constitutional amendment, brought forward by Senate Bill 2922, supposedly to fund primary school education.
The tax office said so, so it must be true!
HB 2432, one of the bills actively being considered this session, proposes to hike the “transient occupancy tax,” or TOT, by an as-yet-unspecified amount. This part of the bill is noteworthy for the factual support behind it.
Mighty Morphin Power Bills!
In last week’s article, I said we should look forward to lots of surprises as lawmakers press forward with our legislative session with techniques such as “Gut and Replace” to give our legislative bills content that doesn’t at all resemble what they previously looked like. Here are some that we have seen so far:
The feds gave you a break? Now we, the state, can turn the screws!
It’s not often that state lawmakers express their justification for imposing taxes in terms other than “We need the money to fund essential services and programs.” But how about this? The following language is from an actual bill.
Can government avoid its responsibilities with LLCs?
Do you recognize any of these names: Hiʻilei Aloha LLC, Hiʻipaka LLC, and Hoʻokele Pono LLC?
Financial planning for a $200M per year deficit?
The current State Financial Plan shows the state is over spending by $208 million this fiscal year, $263.2 million in FY2020, $209.7 million in FY2021, and $105.4 million in FY2022.
The California stupidity fund
One of the changes made in the Tax Cuts and Jobs Act of 2017, which applies to our federal tax returns for this year, is a limitation on deductions for state and local taxes. Simply put, you can only deduct up to $10,000 in state and local taxes.
An opportunity for opportunity zones
Whatever you may think of President Trump and the Republican-dominated Congress, they have thrown an opportunity our way, and you need to take action very soon — by March 21, 2018, to be exact — to take advantage of it.
Groundhog Day in the Hawaii Senate
You may remember “Groundhog Day,” the 1993 film starring Bill Murray. In it, Murray played a Pittsburgh TV weatherman who, during an assignment covering the annual Groundhog Day event in Punxsutawney, Pennsylvania, found himself caught in a time loop, repeating the same day again and again.