Bill Text: HI SB2376 | 2022 | Regular Session | Amended
Bill Title: Relating To Tobacco Taxes.
Spectrum: Partisan Bill (Democrat 3-0)
Status: (Passed) 2022-04-27 - Act 015, 04/27/2022 (Gov. Msg. No. 1115). [SB2376 Detail]
Download: Hawaii-2022-SB2376-Amended.html
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THE SENATE |
S.B. NO. |
2376 |
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THIRTY-FIRST LEGISLATURE, 2022 |
S.D. 1 |
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STATE OF HAWAII |
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A BILL FOR AN ACT
RELATING TO TOBACCO TAXES.
BE IT
ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. Section 245-26, Hawaii Revised Statutes, is amended as follows:
1. By amending its title to read:
"§245-26 Price; payment[; deferred payment purchases]."
2. By amending subsection (b) to read:
"(b) Payment for stamps shall be made at the time
of purchase[; provided that a licensee may defer payments pursuant to
section 245-27.] in cash, by certified check, or by bank transfer."
SECTION 2. Section 245-27, Hawaii Revised Statutes, is repealed.
["[§245-27] Maximum amount of deferred-payment purchases; bond. (a) A
licensee may apply to the department to set the maximum amount of
deferred-payment purchases of stamps that may remain unpaid by the licensee
during the time specified under section 245-28.
Upon receipt of the application and any bond required pursuant to
subsection (b), the department shall set the amount for deferred-payment
purchases.
(b) The department may require that a licensee
who submits an application for deferred-payment purchases of stamps post a bond
in an amount of up to one hundred per cent of the maximum amount of allowed
deferred-payment purchases as a condition of department approval of the
application."]
SECTION 3. Section 245-28, Hawaii Revised Statutes, is repealed.
["§245-28 Time for payment of deferred-payment purchases; manner of payment. Amounts owing for stamps purchased on the
deferred-payment basis in any calendar month shall be due and payable on or
before the twentieth day of the following calendar month. Payment shall be made by a remittance payable
to the department."]
SECTION 4. Section 245-29, Hawaii Revised Statutes, is repealed.
["[§245-29] Suspension or reduction of privilege to purchase on deferred-payment basis. The department may suspend, without prior
notice, the privilege to purchase stamps on the deferred-payment basis or may reduce
the amount of deferred-payment purchases allowed the licensee if:
(1) The licensee
fails to promptly pay for stamps when payment is due;
(2) The bond or
bonds required of the licensee are canceled or become void, impaired, or
unenforceable for any reason; or
(3) In the opinion
of the department, collection of any amounts unpaid or due from the licensee
under this chapter is jeopardized."]
SECTION 5. Section 245-30, Hawaii Revised Statutes, is repealed.
["[§245-30] Penalty for failure to make timely payment. A licensee who fails to pay any amount owing
for the purchase of stamps within the time required shall pay a penalty of:
(1) Ten per cent of
the amount due in addition to the amount due; and
(2) Interest at the
rate specified in section 231-39 from the date on which the amount became due
and payable until the date of payment."]
SECTION 6. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 7. This Act shall take effect on January 1, 2023.
Report Title:
Tobacco Taxes; State Tax Administration
Description:
Repeals and eliminates the deferred payment purchase option for cigarette tax stamps. Requires licensees to pay for stamps at the time of purchase using cash, certified check, or bank transfer. Effective 1/1/2023. (SD1)
The summary description
of legislation appearing on this page is for informational purposes only and is
not legislation or evidence of legislative intent.
