TAX NEWS - May 2009

Hawaii Tax: Transient Accommodations Tax Increases July 1, 2009 and Again on July 1, 2010

HONOLULU – The State Department of Taxation (DOTAX) is advising Transient Accommodations Taxpayers that the Legislature passed Act 61 increasing the Transient Accommodations Tax (TAT) from 7.25% to 8.25% on July 1, 2009 and to 9.25% on July 1, 2010.

Monthly and Calendar Year Quarterly or Semi-annual TAT filers may continue to use the forms in their TAT booklets by simply multiplying by .0825, instead of .0725, in the "Rate" column. Fiscal Year Quarterly and Semi-annual filers must use the revised TA-1 form (Periodic Transient Accommodations Tax Return) that will be available on the DOTAX website in the summer of 2009. The website address is www.hawaii.gov/tax.

All Calendar Year and Fiscal Year filers must use the revised TA-2 (Transient Accommodations Tax Annual Return and Reconciliation) that will be available on the DOTAX website in the summer of 2009.

TAT tax return and payment dates remain the same.

TAT taxpayers who requested to continue receiving a TAT booklet in the mail will not receive a new booklet until 2010.

Taxpayers who have questions may call the DOTAX Call Center at 587-4242 or toll free at 1-800-222-3229.

For more information contact:

Sandi Yahiro
Deputy Director of Taxation

Phone: (808) 587-1540