PART III. 
INDIVIDUAL INCOME TAX



 



§235-51  Tax imposed on individuals; rates. 
(a)  [Repeal and reenactment on December 31, 2015.  L 2009, c 60, §6(3).] 
There is hereby imposed on the taxable income of (1) every taxpayer who files a
joint return under section 235-93; and (2) every surviving spouse a tax
determined in accordance with the following table:



In the case of any taxable year beginning after
December 31, 2001:



If the taxable income is: The tax shall
be:



Not over $4,000 1.40% of
taxable income



Over $4,000 but $56.00 plus
3.20% of



not over $8,000 excess over
$4,000



Over $8,000 but $184.00 plus
5.50% of



not over $16,000 excess over
$8,000



Over $16,000 but $624.00 plus
6.40% of



not over $24,000 excess over
$16,000



Over $24,000 but $1,136.00
plus 6.80% of



not over $32,000 excess over
$24,000



Over $32,000 but $1,680.00
plus 7.20% of



not over $40,000 excess over
$32,000



Over $40,000 but $2,256.00
plus 7.60% of



not over $60,000 excess over
$40,000



Over $60,000 but $3,776.00
plus 7.90% of



not over $80,000 excess over
$60,000



Over $80,000 $5,356.00
plus 8.25% of



excess over
$80,000.



In the case of any taxable year beginning after
December 31, 2006:



If the taxable income is: The tax shall
be:



Not over $4,800 1.40% of taxable
income



Over $4,800 but $67.00 plus
3.20% of



not over $9,600 excess over
$4,800



Over $9,600 but $221.00 plus
5.50% of



not over $19,200 excess over
$9,600



Over $19,200 but $749.00 plus
6.40% of



not over $28,800 excess over
$19,200



Over $28,800 but $1,363.00
plus 6.80% of



not over $38,400 excess over
$28,800



Over $38,400 but $2,016.00
plus 7.20% of



not over $48,000 excess over
$38,400



Over $48,000 but $2,707.00
plus 7.60% of



not
over $72,000 excess over $48,000



Over $72,000 but $4,531.00
plus 7.90% of



not over $96,000 excess over
$72,000 Over $96,000 $6,427.00 plus 8.25% of



excess over
$96,000.



In the case of any taxable year beginning after
December 31, 2008:



If the taxable income is: The tax shall
be:



Not over $4,800 1.40% of
taxable income



Over $4,800 but $67.00 plus
3.20% of



not
over $9,600 excess over $4,800



Over $9,600 but $221.00 plus
5.50% of



not
over $19,200 excess over $9,600



Over $19,200 but $749.00 plus
6.40% of



not over $28,800 excess over
$19,200



Over $28,800 but $1,363.00
plus 6.80% of



not over $38,400 excess over
$28,800



Over $38,400 but $2,016.00
plus 7.20% of



not over $48,000 excess over
$38,400



Over $48,000 but $2,707.00
plus 7.60% of



not
over $72,000 excess over $48,000



Over $72,000 but $4,531.00
plus 7.90% of



not over $96,000 excess over
$72,000 Over $96,000 but $6,427.00 plus 8.25% of



not over $300,000 excess over
$96,000 Over $300,000 but $23,257.00 plus 9.00% of



not over $350,000 excess over
$300,000



Over $350,000
but $27,757.00 plus 10.00% of



not over
$400,000 excess over $350,000



Over $400,000 $32,757.00
plus 11.00% of



excess over
$400,000.



(b)  [Repeal and reenactment on December 31,
2015.  L 2009, c 60, §6(3).]  There is hereby imposed on the taxable income
of every head of a household a tax determined in accordance with the following
table:



In the case of any taxable year beginning after
December 31, 2001:



If the taxable income is: The tax shall
be:



Not over $3,000 1.40% of
taxable income



Over $3,000 but $42.00 plus
3.20% of



not over $6,000 excess over
$3,000



Over $6,000 but $138.00 plus
5.50% of



not over $12,000 excess over
$6,000



Over $12,000 but $468.00 plus
6.40% of



not over $18,000 excess over
$12,000



Over $18,000 $852.00 plus
6.80% of



but not over $24,000 excess over
$18,000



Over $24,000 but $1,260.00
plus 7.20% of



not over $30,000 excess over
$24,000



Over $30,000 but $1,692.00
plus 7.60% of



not over $45,000 excess over
$30,000



Over $45,000 but $2,832.00
plus 7.90% of



not over $60,000 excess over
$45,000



Over $60,000 $4,017.00
plus 8.25% of



excess over
$60,000.



In the case of any taxable year beginning after
December 31, 2006:



If the taxable income is: The tax shall
be:



Not over $3,600 1.40% of
taxable income



Over $3,600 but $50.00 plus
3.20% of



not over $7,200 excess over
$3,600



Over $7,200 but $166.00 plus
5.50% of



not over $14,400 excess over
$7,200



Over $14,400 but $562.00 plus
6.40% of



not over $21,600 excess over
$14,400



Over $21,600 but $1,022.00
plus 6.80% of



not over $28,800 excess over
$21,600



Over $28,800 but $1,512.00
plus 7.20% of



not
over $36,000 excess over $28,800



Over $36,000 but $2,030.00
plus 7.60% of



not
over $54,000 excess over $36,000



Over $54,000 but $3,398.00
plus 7.90% of



not over $72,000 excess over
$54,000



Over $72,000 $4,820.00
plus 8.25% of



excess over
$72,000.



In the case of any taxable year beginning after
December 31, 2008:



If the taxable income is: The tax shall
be:



Not over $3,600 1.40% of
taxable income



Over $3,600 but $50.00 plus
3.20% of



not over $7,200 excess over
$3,600



Over $7,200 but $166.00 plus
5.50% of



not over $14,400 excess over
$7,200



Over $14,400 but $562.00 plus
6.40% of



not over $21,600 excess over
$14,400



Over $21,600 but $1,022.00
plus 6.80% of



not over $28,800 excess over
$21,600



Over $28,800 but $1,512.00
plus 7.20% of



not
over $36,000 excess over $28,800



Over $36,000 but $2,030.00
plus 7.60% of



not
over $54,000 excess over $36,000



Over $54,000 but $3,398.00
plus 7.90% of



not over $72,000 excess over
$54,000



Over $72,000 but $4,820.00
plus 8.25% of



not over $225,000 excess over
$72,000



Over $225,000 but $17,443.00
plus 9.00% of



not over $262,500 excess over
$225,000



Over $262,500
but $20,818.00 plus 10.00% of



not over
$300,000 excess over $262,500



Over $300,000 $24,568.00
plus 11.00% of



excess over
$300,000.



(c)  [Repeal and reenactment on December 31,
2015.  L 2009, c 60, §6(3).]  There is hereby imposed on the taxable income
of (1) every unmarried individual (other than a surviving spouse, or the head
of a household) and (2) on the taxable income of every married individual who
does not make a single return jointly with the individual's spouse under
section 235-93 a tax determined in accordance with the following table:



In the case of any taxable year beginning after
December 31, 2001:



If the taxable income is: The tax shall
be:



Not over $2,000 1.40% of
taxable income



Over $2,000 but $28.00 plus
3.20% of



not over $4,000 excess over
$2,000



Over $4,000 but $92.00 plus
5.50% of



not over $8,000 excess over
$4,000



Over $8,000 but $312.00 plus
6.40% of



not over $12,000 excess over
$8,000



Over $12,000 but $568.00 plus
6.80% of



not over $16,000 excess over
$12,000



Over $16,000 but $840.00 plus
7.20% of



not over $20,000 excess over
$16,000



Over $20,000 but $1,128.00
plus 7.60% of



not over $30,000 excess over
$20,000



Over $30,000 but $1,888.00
plus 7.90% of



not over $40,000 excess over
$30,000



Over $40,000 $2,678.00 plus
8.25% of



excess over
$40,000.



In the case of any taxable year beginning after
December 31, 2006:



If the taxable income is: The tax shall
be:



Not over $2,400 1.40% of
taxable income



Over $2,400 but $34.00 plus
3.20% of



not over $4,800 excess over
$2,400



Over $4,800 but $110.00 plus
5.50% of



not over $9,600 excess over
$4,800



Over $9,600 but $374.00 plus
6.40% of



not over $14,400 excess over
$9,600



Over $14,400 but $682.00 plus
6.80% of



not over $19,200 excess over
$14,400



Over $19,200 but $1,008.00
plus 7.20% of



not over $24,000 excess over
$19,200



Over $24,000 but $1,354.00
plus 7.60% of



not over $36,000 excess over
$24,000



Over $36,000 but $2,266.00
plus 7.90% of



not over $48,000 excess over
$36,000



Over $48,000 $3,214.00
plus 8.25% of



excess over
$48,000.



In the case of any taxable year beginning after
December 31, 2008:



If the taxable income is: The tax shall
be:



Not over $2,400 1.40% of
taxable income



Over $2,400 but $34.00 plus
3.20% of



not over $4,800 excess over
$2,400



Over $4,800 but $110.00 plus
5.50% of



not over $9,600 excess over
$4,800



Over $9,600 but $374.00 plus
6.40% of



not over $14,400 excess over
$9,600



Over $14,400 but $682.00 plus
6.80% of



not over $19,200 excess over
$14,400



Over $19,200 but $1,008.00
plus 7.20% of



not over $24,000 excess over
$19,200



Over $24,000 but $1,354.00
plus 7.60% of



not over $36,000 excess over
$24,000



Over $36,000 but $2,266.00
plus 7.90% of



not over $48,000 excess over
$36,000



Over $48,000 but $3,214.00
plus 8.25% of



not over $150,000 excess over
$48,000



Over $150,000 but $11,629.00
plus 9.00% of



not over $175,000 excess over
$150,000



Over $175,000
but $13,879.00 plus 10.00% of



not over
$200,000 excess over $175,000



Over $200,000 $16,379.00
plus 11.00% of



excess
over $200,000.



(d)  The tax imposed by section 235-2.45 on
estates and trusts shall be determined in accordance with the following table:



In the case of any taxable year beginning after
December 31, 2001:



If the taxable income is: The tax shall
be:



Not over $2,000 1.40% of
taxable income



Over $2,000 but $28.00 plus
3.20% of



not over $4,000 excess over
$2,000



Over $4,000 but $92.00 plus
5.50% of



not over $8,000 excess over
$4,000



Over $8,000 but $312.00 plus
6.40% of



not over $12,000 excess over
$8,000



Over $12,000 but $568.00 plus
6.80% of



not over $16,000 excess over
$12,000



Over $16,000 but $840.00 plus
7.20% of



not over $20,000 excess over
$16,000



Over $20,000 but $1,128.00
plus 7.60% of



not over $30,000 excess over
$20,000



Over $30,000 but $1,888.00
plus 7.90% of



not over $40,000 excess over
$30,000



Over $40,000 $2,678.00
plus 8.25% of



excess over
$40,000.



(e)  Any taxpayer, other than a corporation,
acting as a business entity in more than one state who is required by this
chapter to file a return may elect to report and pay a tax of .5 per cent of
its annual gross sales (1) where the taxpayer's only activities in this State
consist of sales; and (2) who does not own or rent real estate or tangible
personal property; and (3) whose annual gross sales in or into this State
during the tax year is not in excess of $100,000.



(f)  If a taxpayer has a net capital gain for
any taxable year to which this subsection applies, then the tax imposed by this
section shall not exceed the sum of:



(1)  The tax computed at the rates and in the same
manner as if this subsection had not been enacted on the greater of:



(A)  The taxable income reduced by the amount
of net capital gain, or



(B)  The amount of taxable income taxed at a
rate below 7.25 per cent, plus



(2)  A tax of 7.25 per cent of the amount of taxable
income in excess of the amount determined under paragraph (1).



This subsection shall apply to individuals,
estates, and trusts for taxable years beginning after December 31, 1986. [L Sp
1957, c 1, pt of §2; am L 1965, c 155, §31(b), (c); Supp, §121-8; am L 1967, c
250, §1; HRS §235-51; am L 1974, c 10, §1; am L 1978, c 173, §2(10); am L 1979,
c 62, §2(9); am L 1982, c 22, §1(2); am L 1987, c 239, §1(11); am L 1988, c
102, §3; am L 1989, c 321, §3; am L 1998, c 157, §2; am L 2001, c 199, §4; am L
2006, c 110, §3; am L 2007, c 9, §11; am L 2009, c 60, §2]



 



Note



 



  The 2009 amendment applies to taxable years beginning after
December 31, 2008.  L 2009, c 60, §6(1).  Effect of amendment on
underpayments.  L 2009, c 60, §4.



 



Law Journals and Reviews



 



  Rule of Strict Construction in Tax Cases, a Question of
Classification or Exemption, Arthur B. Reinwald, 11 HBJ 98.



 



Case Notes



 



  Intangibles, situs.  31 H. 264, aff'd 47 F.2d 869.



  Incidence of income taxes not proper for jury's consideration
in awarding damages.  49 H. 42, 410 P.2d 976.



  Statutes imposing taxes are strictly construed in favor of
taxpayer.  56 H. 321, 536 P.2d 91.