§237-14  Segregation of gross income, etc.,
on records and in returns.  The imposition of taxes and the application of
tax rates do not depend upon the business in which the taxpayer is primarily
engaged.  One business may be subject to two or more tax rates.  If a business
is within the purview of two or more of the paragraphs of section 237-13 or
other provisions of this chapter all of them apply, each provision being
applicable to the appropriate item of gross income, gross proceeds of sales, or
value of products.  However, any person engaging or continuing in a business
having gross income, gross proceeds of sales, and value of products, or any of
these as the case may be, taxable at different rates, shall be subject to
taxation upon the aggregate amount of the gross income, gross proceeds of
sales, and value of products of the business at the highest rate applicable to
any part of the aggregate, unless the person shall segregate the parts taxable
at different rates upon the person's records and in the person's returns, and
shall sustain the burden of proving that the segregation was correctly made. [L
1957, c 34, §11(h); Supp, §117-14.1; HRS §237-14; gen ch 1985]



 



Case Notes



 



  Taxpayer may be subject to both the service business and
retailing classifications to extent each is applicable to particular items of
gross income.  53 H. 450, 497 P.2d 37.