TAX NEWS - February 2009

Hawaii Tax: State Department of Taxation Encourages E-Filing

Free On-Line Service Can Speed Up Tax Refunds

Hawaii State Department of Taxation is urging taxpayers to file their state income tax returns electronically. E-filing provides taxpayers a fast, convenient, efficient and secure way to file their taxes at no additional cost, and can speed up tax refunds.

E-filers can expect their refunds within one week if deposited directly into a bank
account, or up to two weeks if a paper check is requested, instead of the four to eight weeks when filing a paper tax return.

Resident taxpayers who make less than $100,000 per year, whose income only includes wages, interest, ordinary dividends and unemployment compensation, and who do not itemize their deductions can file the N-13, Individual Income Tax Return.

To file the N-13 electronically for free, go to www.hawaii.gov/tax and click on "EServices." Next, click on "Register for E-file." After completing the on-line registration process taxpayers may begin to complete the N-13. Some documents taxpayers will need to complete the N-13 include: W-2 and interest and dividend income statements.

For taxpayers who do not wish to file their tax returns electronically, both a web-fillable and hand-written version of the income tax returns, along with instructions, are available at the department's website at www.hawaii.gov/tax, under "Forms."