HB3356

Report Title:

High Tech Business Investment Tax Credit; Superferry

Description:

Specifically excludes "large capacity ferry vessel company" from the high technology businesses that are eligible for the High Technology Business Investment Tax Credit.

HOUSE OF REPRESENTATIVES	H.B. NO.	3356
TWENTY-FOURTH LEGISLATURE, 2008
STATE OF HAWAII

A BILL FOR AN ACT

SECTION 1. Section 235-110.9, Hawaii Revised Statutes, is amended by amending subsection (g) to read as follows:

"(g) As used in this section:

"Investment tax credit allocation ratio" means, with respect to a taxpayer that has made an investment in a qualified high technology business, the ratio of:

(1) The amount of the credit under this section that is, or is to be, received by or allocated to the taxpayer over the life of the investment, as a result of the investment; to

(2) The amount of the investment in the qualified high technology business.

"Qualified high technology business" means a business, employing or owning capital or property, or maintaining an office, in this State; provided that:

(1) More than fifty per cent of its total business activities are qualified research; and provided further that the business conducts more than seventy-five per cent of its qualified research in this State; or

(2) More than seventy-five per cent of its gross income is derived from qualified research; and provided further that this income is received from:

(A) Products sold from, manufactured in, or produced in this State; or

(B) Services performed in this State.

"Qualified high technology business" does not include a large capacity ferry vessel company as defined in section 2 of Act 2, Second Special Session Laws of Hawaii 2007.

"Qualified research" means the same as defined in section 235-7.3."

SECTION 2. New statutory material is underscored.

SECTION 3. This Act shall take effect on July 1, 2008.

INTRODUCED BY:	_____________________________