Measure would give eligible residents a 2026 tax credit and fund reserves
This vetoed measure would let eligible Hawaii residents claim a refundable 2026 tax credit and would direct unspecified amounts to two state funds.
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What it does
Eligible Hawaii residents filing 2026 returns would claim a credit multiplied by their qualified exemptions, with refunds available when the credit exceeds their tax due.
The measure would set aside unspecified general-fund amounts in fiscal year 2026–2027 for Hawaii’s emergency reserve and public-employee benefit trust fund.
Argument forEligible residents could receive refundable tax relief, while state deposits could strengthen emergency savings and help cover employee benefit obligations.
Argument againstThe measure might commit general revenues to reserves and benefits while blank amounts make its fiscal effect impossible to assess.
More detail
Eligible resident taxpayers would claim a general income tax credit based on their qualified exemptions. The credit would cover resident individuals who file a 2026 Hawaii income tax return and are not claimed, or otherwise eligible to be claimed, as dependents. Each person counted for the credit would need to have been a Hawaii resident for at least nine months. The credit would not be available to people confined for the full taxable year in prison, a youth correctional facility, or jail under the listed circumstances. Any unused credit would be refunded, including to a qualifying resident with no income tax liability. The credit would apply to taxable years beginning after December 31, 2025, and claims would be due by the end of the twelfth month after the applicable taxable year ends.
The state would set aside unspecified amounts from general revenues for two funds: the emergency and budget reserve fund and the other post-employment benefits trust fund. The appropriations would support those two Hawaii state funds during fiscal year 2026–2027. The bill says the deposits would carry out the constitutional process for handling excess general fund revenues. The dollar amounts are blank in the supplied text, so the amounts cannot be determined from these passages. The Act would take effect July 1, 2026, with the appropriations applying to fiscal year 2026–2027.
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Where do you stand?
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Tell your reps
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More on this bill
Where it stands
Introduced
Passed Senate
Passed House
To Governor
Became Law
Looking ahead
No hearings or votes scheduled.
History
2026
Jul 15Vetoed (Gov. Msg. #1360), various appropriations throughout the bill.Latest
Jul 15Act 265, on 07/15/2026 (Gov. Msg. No. 1368).Became Law
Jun 26Notice of Intent to veto dated 06/26/2026 (Gov. Msg. No. 1264)
Jun 26Notice of intent to veto (Gov. Msg. No. 1264)
May 8Received notice of passage on Final Reading in House (Hse. Com. No. 888).Minor
May 8Enrolled to Governor.To Governor
May 6Passed Final Reading as amended in CD 1 with none voting aye with reservations; none voting no (0) and none excused (0).Major
Vote recorded Passed Final Reading as amended in CD 1. Result: pass.Lower
May 6Passed Final Reading, as amended (CD 1). Ayes, 25; Aye(s) with reservations: none . 0 No(es): none. 0 Excused: none.Major
May 6Received notice of Final Reading (Sen. Com. No. 816).Minor
May 1Conference committee meeting to reconvene on 05-01-26 1:00 PM; Conference Room 309.
Vote recorded The Conference committee recommends that the measure be PASSED, WITH AMENDMENTS. Result: pass.Upper
Vote recorded The Conference Committee recommends that the measure be Passed, with Amendments. Result: pass.Lower
May 1Conference committee meeting to reconvene on 05-01-26 3:30 PM; Conference Room 309.
May 1The Conference committee recommends that the measure be PASSED, WITH AMENDMENTS. The votes of the Senate Conference Managers were as follows: 2 Aye(s): Senator(s) Moriwaki, Kanuha; Aye(s) with reservations: none ; 0 No(es): none; and 1 Excused: Senator(s) Fevella.Minor
May 1The Conference Committee recommends that the measure be Passed, with Amendments. The votes were as follows: 2 Ayes: Representative(s) Takenouchi, Kitagawa; Ayes with reservations: none; 0 Noes: none; and 1 Excused: Representative(s) Gedeon.Minor
May 1Reported from Conference Committee as amended CD 1 (Conf. Com. Rep. No. 123-26).
May 148 Hrs. Notice (as amended CD 1) 05-06-26.
May 1Reported from Conference Committee (Conf Com. Rep. No. 123-26) as amended in (CD 1).
May 1Forty-eight (48) hours notice Wednesday, 05-06-26.
Apr 30Conference committee meeting to reconvene on 05-01-26 11:00AM; Conference Room 309.
Apr 29Conference committee meeting scheduled for 04-30-26 11:00AM; CR 309.
Apr 20Received notice of Senate conferees (Sen. Com. No. 714).Minor
Apr 16Received from House (Hse. Com. No. 679).Minor
Apr 16Senate disagrees with House amendments.Minor
Apr 16Received notice of disagreement (Sen. Com. No. 710).Minor
Apr 14Passed Third Reading with Representative(s) Iwamoto voting aye with reservations; none voting no (0) and Representative(s) Quinlan excused (1). Transmitted to Senate.Passed House
Vote recorded Passed Third Reading. Result: pass.Lower
Apr 9Reported from FIN (Stand. Com. Rep. No. 1989-26) as amended in HD 1, recommending passage on Second Reading and placement on the calendar for Third Reading.
Vote recorded Passed Second Reading as amended in HD 1; placed on the calendar for Third Reading. Result: pass.Lower
Apr 9Passed Second Reading as amended in HD 1; placed on the calendar for Third Reading with none voting aye with reservations; none voting no (0) and Representative(s) Cochran excused (1).
Apr 7The committee on FIN recommend that the measure be PASSED, WITH AMENDMENTS. The votes were as follows: 16 Ayes: Representative(s) Todd, Takenouchi, Hartsfield, Hussey, Keohokapu-Lee Loy, Kitagawa, Kusch, Lee, M., Miyake, Morikawa, Perruso, Templo, Yamashita, Alcos, Gedeon, Reyes Oda; Ayes with reservations: none; 0 Noes: none; and 0 Excused: none.Minor
Vote recorded The committee on FIN recommend that the measure be PASSED, WITH AMENDMENTS. Result: pass.Lower
Apr 2Bill scheduled to be heard by FIN on Tuesday, 04-07-26 2:00PM in House conference room 308 VIA VIDEOCONFERENCE.
Mar 12Pass First ReadingMinor
Mar 12Referred to FIN, referral sheet 17Minor
Mar 10Passed Third Reading, as amended (SD 1). Ayes, 25; Aye(s) with reservations: none . Noes, 0 (none). Excused, 0 (none). Transmitted to House.Passed Senate
Vote recorded Passed Third Reading, as amended (SD 1). Result: pass.Upper
Mar 10Received from Senate (Sen. Com. No. 268) in amended form (SD 1).Minor
Mar 5Reported from WAM (Stand. Com. Rep. No. 2818) with recommendation of passage on Second Reading, as amended (SD 1) and placement on the calendar for Third Reading.
Mar 5Report adopted; Passed Second Reading, as amended (SD 1).Minor
Mar 548 Hrs. Notice 3/10/2026.
Mar 2The committee(s) on WAM recommend(s) that the measure be PASSED, WITH AMENDMENTS. The votes in WAM were as follows: 13 Aye(s): Senator(s) Dela Cruz, Moriwaki, DeCoite, Elefante, Hashimoto, Inouye, Kanuha, Kidani, Kim, Lee, C., Richards, Wakai, Fevella; Aye(s) with reservations: none ; 0 No(es): none; and 0 Excused: none.Minor
Vote recorded The committee(s) on WAM recommend(s) that the measure be PASSED, WITH AMENDMENTS. Result: pass.Upper
Feb 27The committee(s) on WAM has scheduled a public hearing on 03-02-26 10:00AM; Conference Room 211 & Videoconference.