§237-24  Amounts not taxable.  This
chapter shall not apply to the following amounts:



(1)  Amounts received under life insurance policies
and contracts paid by reason of the death of the insured;



(2)  Amounts received (other than amounts paid by
reason of death of the insured) under life insurance, endowment, or annuity
contracts, either during the term or at maturity or upon surrender of the
contract;



(3)  Amounts received under any accident insurance or
health insurance policy or contract or under workers' compensation acts or
employers' liability acts, as compensation for personal injuries, death, or
sickness, including also the amount of any damages or other compensation
received, whether as a result of action or by private agreement between the
parties on account of the personal injuries, death, or sickness;



(4)  The value of all property of every kind and sort
acquired by gift, bequest, or devise, and the value of all property acquired by
descent or inheritance;



(5)  Amounts received by any person as compensatory
damages for any tort injury to the person, or to the person's character
reputation, or received as compensatory damages for any tort injury to or
destruction of property, whether as the result of action or by private
agreement between the parties (provided that amounts received as punitive
damages for tort injury or breach of contract injury shall be included in gross
income);



(6)  Amounts received as salaries or wages for
services rendered by an employee to an employer;



(7)  Amounts received as alimony and other similar
payments and settlements;



(8)  Amounts collected by distributors as fuel taxes
on "liquid fuel" imposed by chapter 243, and the amounts collected by
such distributors as a fuel tax imposed by any Act of the Congress of the
United States;



(9)  Taxes on liquor imposed by chapter 244D on
dealers holding permits under that chapter;



(10)  The amounts of taxes on cigarettes and tobacco
products imposed by chapter 245 on wholesalers or dealers holding licenses
under that chapter and selling the products at wholesale;



(11)  Federal excise taxes imposed on articles sold at
retail and collected from the purchasers thereof and paid to the federal
government by the retailer;



(12)  The amounts of federal taxes under chapter 37 of
the Internal Revenue Code, or similar federal taxes, imposed on sugar
manufactured in the State, paid by the manufacturer to the federal government;



(13)  An amount up to, but not in excess of, $2,000 a
year of gross income received by any blind, deaf, or totally disabled person
engaging, or continuing, in any business, trade, activity, occupation, or
calling within the State; a corporation all of whose outstanding shares are
owned by an individual or individuals who are blind, deaf, or totally disabled;
a general, limited, or limited liability partnership, all of whose partners are
blind, deaf, or totally disabled; or a limited liability company, all of whose
members are blind, deaf, or totally disabled;



(14)  [Repeal and reenactment on December 31, 2013.
L 2009, c 70, §4.]  Amounts received by a producer of sugarcane from the
manufacturer to whom the producer sells the sugarcane, where:



(A)  The producer is an independent cane
farmer, so classed by the Secretary of Agriculture under the Sugar Act of 1948
(61 Stat. 922, Chapter 519) as the Act may be amended or supplemented;



(B)  The value or gross proceeds of the sale of
the sugar, and other products manufactured from the sugarcane, are included in
the measure of the tax levied on the manufacturer under section 237-13(1) or
(2);



(C)  The producer's gross proceeds of sales are
dependent upon the actual value of the products manufactured therefrom or the
average value of all similar products manufactured by the manufacturer; and



(D)  The producer's gross proceeds of sales are
reduced by reason of the tax on the value or sale of the manufactured products;



(15)  [Repeal and reenactment on December 31, 2013.
L 2009, c 70, §4.] Money paid by the State or eleemosynary child-placing
organizations to foster parents for their care of children in foster homes;



(16)  [Repeal and reenactment on December 31, 2013.
L 2009, c 70, §4.] Amounts received by a cooperative housing corporation
from its shareholders in reimbursement of funds paid by the corporation for
lease rental, real property taxes, and other expenses of operating and
maintaining the cooperative land and improvements; provided that the
cooperative corporation is a corporation:



(A)  Having one and only one class of stock
outstanding;



(B)  Each of the stockholders of which is
entitled solely by reason of the stockholder's ownership of stock in the
corporation, to occupy for dwelling purposes a house, or an apartment in a
building owned or leased by the corporation; and



(C)  No stockholder of which is entitled
(either conditionally or unconditionally) to receive any distribution not out
of earnings and profits of the corporation except in a complete or partial
liquidation of the corporation; and



(17)  [Repealed on December 31, 2013. L 2009, c 70,
§4.]  Amounts received by a managed care support contractor of the TRICARE
program that is established under Title 10 United States Code chapter 55, as
amended, for the actual cost or advancement to third party health care
providers pursuant to a contract with the United States. [L 1935, c 141, §4(2);
am L 1939, c 47, §1; am L 1943, c 81, §2; RL 1945, §5460; am L 1945, c 253, §4;
am L 1947, c 213, §1; am L 1949, c 343, §11; am L 1953, c 229, §1; am L 1955, c
246, §5; RL 1955, §117-21; am L 1957, c 34, §11(k); am L 1959, c 277, §4(a); am
L Sp 1959 2d, c 1, §16; am L 1964, c 5, §2; am L 1965, c 201, §§3, 25; am L
1966, c 28, §4; am L 1967, c 297, §§3, 4; HRS §237-24; am L 1968, c 26, §2; am
L 1971, c 204, §7; am L 1973, c 91, §3; am L 1975, c 41, §1; am L 1979, c 74,
§1 and c 105, §24; am L 1985, c 16, §7 and c 88, §1; gen ch 1985; am L 1986, c
86, §1, c 306, §2, and c 340, §9; am L 1987, c 7, §1, c 15, §1, c 39, §5, and c
292, §1; am L 1988, c 65, §2; am L 1989, c 8, §1; am L 1992, c 107, §1; am L
1993, c 43, §1 and c 220, pt of §2; am L 1994, c 141, §2; am L 2002, c 110, §3;
am L 2009, c 70, §2]



 



Note



 



  Former paragraphs (17) to (25) now part of §237-24.3.



 



Attorney General Opinions



 



  Subsection (p) exempts certain reimbursement funds of
cooperative housing corporations from the general excise tax. Att. Gen. Op.
68-2.



  Pars. (18), (21):  Effect of resolution of House relating to
enforcement of provisions.  Att. Gen. Op. 68-6.



 



Case Notes



 



  Paragraph (6).  Fees paid to director of corporation are not
exempt as salary or wages paid to employee.  53 H. 435, 496 P.2d 1.