§239-8  Allocation and apportionment. (a)  The gross income included in the measure of the tax as defined insubparagraphs (B) and (C) of the definition of "gross income" insection 239-2, shall be determined by an allocation and separate accounting sofar as practicable.

(b)  If under subparagraph (B) of thedefinition of "gross income" in section 239-2, an apportionment ofgross income is necessary, there shall be apportioned to the State and includedin the measure of the tax that proportion of the total gross income, sorequiring apportionment, which the direct cost of the transportation,conveyance, or transmission designated in subparagraph (B) of the definition of"gross income" in section 239-2, bears to the total direct cost ofthe transportation, conveyance, or transmission the gross income from whichrequires apportionment.

(c)  If under subparagraph (C) of thedefinition of "gross income" in section 239-2, an apportionment ofgross income is necessary, there shall be apportioned to the State and includedin the measure of the tax that proportion of the total gross income, sorequiring apportionment, which the total direct cost of the transportation,conveyance, or transmission within the State bears to the total direct cost ofthe transportation, conveyance, or transmission the gross income from whichrequires apportionment. [L 1963, c 147, §2(i); Supp, §126-7.1; HRS §239-8; am L1997, c 178, §8]