STAND. COM. REP. NO.  900-10

 

Honolulu, Hawaii

                , 2010

 

RE:   S.B. No. 2752

      S.D. 1

      H.D. 1

 

 

 

 

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Fifth State Legislature

Regular Session of 2010

State of Hawaii

 

Sir:

 

     Your Committee on Judiciary, to which was referred S.B. No. 2752, S.D. 1, entitled:

 

"A BILL FOR AN ACT RELATING TO TAX ADMINISTRATION,"

 

begs leave to report as follows:

 

     The purpose of this bill is to provide for the recovery of reasonable costs associated with investigating tax crimes when a taxpayer is convicted of a tax offense or has a conviction deferred.

 

     The Department of Taxation testified in support of this bill. A concerned individual opposed this measure.  The Tax Foundation of Hawaii provided comments.

 

     Your Committee finds that requiring those whose guilty or nolo contendere plea is deferred to pay for the costs of investigation in all cases would be unduly harsh and may have a chilling effect on such pleas.  By exempting guilty or nolo contendere pleas that are deferred from the absolute requirement to pay the costs of criminal reimbursement, your Committee believes that such payments may, where appropriate, be required as a condition of the plea.

 

     Your Committee has amended this bill by:

 

     (1)  Removing the requirement that those whose guilty or nolo contendere plea is deferred pay for the reasonable costs of the criminal investigation;

 

     (2)  Changing the effective date to December 21, 2058, to encourage further discussion; and

 

     (3)  Making technical, nonsubstantive amendments for clarity, consistency, and style.

 

     As affirmed by the record of votes of the members of your Committee on Judiciary that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2752, S.D. 1, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 2752, S.D. 1, H.D. 1, and be referred to the Committee on Finance.

 

Respectfully submitted on behalf of the members of the Committee on Judiciary,

 

 

		____________________________ JON RIKI KARAMATSU, Chair