HOUSE OF REPRESENTATIVES	H.B. NO.	74
THIRTY-SECOND LEGISLATURE, 2023		H.D. 1
STATE OF HAWAII		S.D. 2

A BILL FOR AN ACT

RELATING TO THE GENERAL EXCISE TAX.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

SECTION 1. Section 237-24.9, Hawaii Revised Statutes, is amended by amending subsection (b) to read as follows:

"(b) As used in this section:

"Aircraft" means any [craft]:

(1) Craft or artificial contrivance of whatever description engaged in intrastate, interstate, or international scheduled commercial use as defined in chapter 263, that operates with two or more jet engines[.]; or

(2) Helicopter.

"Aircraft service and maintenance" means all scheduled and unscheduled tasks performed within an aircraft service and maintenance facility for the inspection, modification, maintenance, and repair of aircraft and related components including engines, hydraulic and electrical systems, and all other components [which] that are an integral part of an aircraft.

"Aircraft service and maintenance facility" means a facility for aircraft service and maintenance that [is not]:

(1) Services and maintains jet aircraft and is no less than thirty thousand square feet in area, [and] which may include ancillary space [which] that is integral to the facility, such as parts and inventory warehouse space, tool rooms, and related administrative and employee space[.]; or

(2) Services and maintains helicopters outside any Hawaii airport and in which no less than seventy-five per cent of the helicopters serviced and maintained annually are equipped with quiet technology.

"Construction of an aircraft service and maintenance facility" means all design, engineering, labor, and material costs associated with the construction of facilities the [[]principal[]] purpose of which is the provision of facilities for aircraft service and maintenance.

"Maintenance" means the upkeep of aircraft engines, hydraulic and electrical systems, and all other components which are an integral part of an aircraft, but does not include refueling, janitorial services or cleaning, restocking of aircraft and passenger supplies, or loading or unloading of cargo and passenger baggage.

"Quiet technology" means the use of design, technologies, and structure modifications to rotorcraft to reduce or redirect the sound generated by the engine exhaust, tail, or the main rotor, utilizing either a shrouded tail rotor or removing the tail rotor."

SECTION 2. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 3. This Act shall take effect on July 1, 3000, and shall be repealed on December 31, 2028; provided that section 237-24.9(b), Hawaii Revised Statutes, shall be reenacted in the form in which it read on the day prior to the effective date of this Act.

Report Title:

General Excise Tax; Helicopters; Service and Maintenance Facility; Quiet Technology; Exemption; Sunset

Description:

Establishes a temporary general excise tax exemption for amounts received from the servicing and maintenance of helicopters in an aircraft service and maintenance facility outside any Hawaii airport or from the construction of a facility that services and maintains helicopters where at least 75% of the helicopters serviced and maintained annually in the facility are equipped with quiet technology. Effective 7/1/3000. Sunsets 12/31/2028. (SD2)

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.