§241-1  Definitions.  As used in thischapter unless a different meaning appears from the context:

"Bank" means and includes anynational banking association and any bank chartered or licensed pursuant tochapter 412.

"Building and loanassociation" means any corporation that has been authorized to operate asa savings bank or savings and loan association pursuant to chapter 412, and anyfederal savings and loan association.

"Building and loan association" meansany corporation or mutual association which has been authorized to operate as asavings bank or savings and loan association pursuant to chapter 412, and anyfederal savings and loan association.

"Chapter 235" means the provisionsthereof as amended and applicable to the tax imposed by the chapter in respectof income derived or received on and after the franchise tax date prescribed bythis chapter, for example, for the computation of the franchise tax imposed bythis chapter as of January 1, 1958, references to chapter 235 signify theprovisions thereof as amended and applicable to income derived or received onor after January 1, 1958, in the case of a taxpayer whose taxable year underchapter 235 commences January 1, 1958.

"Development company" means a companyapproved by the federal Small Business Administration to operate under theprovisions of Title V of the federal Small Business Investment Act of 1958,Public Law 699, as amended.

"Financial corporation" means (1) anycorporation, domestic or foreign, other than a bank or building and loanassociation, which is a financial corporation within the meaning of section5219 of the Revised Statutes of the United States, as amended (12 U.S.C. 548),or other similar law, doing business in the State and not subject to the taxesimposed by chapter 235, but shall not include an insurance company which paysthe tax on premiums imposed by chapter 431, and (2) an interbank broker doingbusiness in the State and not subject to the taxes imposed by chapter 235.

"Financial holding company" means anycorporation registered under the Federal Bank Holding Company Act of 1956, asamended, or registered as a savings and loan holding company under the HomeOwners' Loan Act of 1933, as amended.

"Financial services loan company"means any company which has been authorized to engage in the business of afinancial services loan company pursuant to chapter 412.

"Income year" means that year, eitherthe calendar year or fiscal year, the income of which is the measure of the taxfor the franchise tax year involved.

"Interbank broker" means a person,who for a fee, brokerage, or other compensation, either directly or indirectly,provides brokerage services as an intermediary or agent in transactions betweenfinancial institutions where one financial institution (1) supplies funds toanother financial institution by making a loan, placing funds in a depositaccount, or otherwise extending credit to the other institution, (2) buys,sells, trades, or swaps currency, commercial paper, banker's acceptances,negotiable certificates of deposit, treasury bills, notes, or bonds withanother financial institution, or (3) enters into interest rate swaps, forwardrate agreements, or interest rate futures contracts with another financialinstitution.  A "financial institution", as used in this paragraph,means a bank, a savings bank, a building and loan association, a trust company,a financial services loan company, an insurance company, a pension and profitsharing trust, an investment company as defined in the federal Investment CompanyAct of 1940, an Edge or Agreement Corporation, an international bankingfacility, and similar United States or foreign institutions.

"Mortgage loan company" means anycompany licensed under chapter 454.

"Small business investment company"means a company approved by the federal Small Business Administration tooperate under the provisions of the federal Small Business Investment Act of1958 (72 U.S. Statutes at Large 689 et seq.; 15 U.S.C. 661 et seq.), asamended, and issued a license as provided thereunder.

"Subsidiary" means any corporationdoing business in Hawaii engaged in activities set forth in Title 12 of theCode of Federal Regulations, sections 225.22 and 225.25 (1990) (Regulation Y)and sections 584.2-1 and 584.2-2 (1990) (Office of Thrift Supervision) andwhose voting stock is more than eighty per cent owned, directly or indirectly,by a financial holding company, bank, building and loan association, financialservices loan company, financial corporation, or trust company.

"Trust company" means a corporationor joint stock company authorized to conduct business as a trust company underarticle 8 of chapter 412. [L Sp 1957, c 1, pt of §10(a); am L 1959, c 277, §17;am L 1965, c 224, §5; Supp, §127-1; HRS §241-1; am L 1976, c 203, §3(1); am L1982, c 92, §3(1); am L 1987, c 168, §2; am L 1989, c 266, §3; am L 1990, c109, §2; am L 1992, c 106, §10; am L 1993, c 350, §§11, 35; am L 2006, c 228,§2]

 

Cross References

 

  Legislative intent re meaning of "financialcorporation".  L Sp 1957, c 1, §24(c).