HRS § 235-110.6 — Fuel tax credit for commercial fishers


§235-110.6 Fuel tax credit for commercial
fishers. (a) Each principal operator of a commercial fishing vessel who
files an individual or corporate net income tax return for a taxable year may
claim an income tax credit under this section against the Hawaii state
individual or corporate net income tax.
(b) The tax credit shall be an amount equal to
the fuel taxes imposed under section 243-4(a) and paid by the principal
operator during the taxable year.
(c) The tax credit claimed under this section
by the principal operator shall be deductible from the principal operator's
individual or corporate income tax liability, if any, for the tax year in which
the credit is properly claimed; provided that a husband and wife filing
separate returns for a taxable year for which a joint return could have been
made by them shall claim only the tax credit to which they would have been
entitled had a joint return been filed. If the tax credit claimed by the
principal operator under this section exceeds the amount of the income tax
payments due from the principal operator, the excess of credit over payments
due shall be refunded to the principal operator from the state highway fund; provided
that the tax credit properly claimed by a principal operator who has no income
tax liability shall be paid to the principal operator from the state highway
fund; and provided further no refunds or payments on account of the tax credit
allowed by this section shall be made for amounts less than $1.
(d) The director of taxation shall prepare
such forms as may be necessary to claim a credit under this section, may
require proof of the claim for the tax credit, and may adopt rules pursuant to
chapter 91.
(e) All of the provisions relating to
assessments and refunds under this chapter and under section 231-23(c)(1) shall
apply to the tax credit under this section.
(f) Claims for the tax credit under this
section, including any amended claims thereof, shall be filed on or before the
end of the twelfth month following the taxable year for which the credit may be
claimed.
(g) As used in this section:
(1) "Commercial fishing vessel" means any
water vessel which is used to catch or process fish or transport fish loaded on
the high seas.
(2) "Principal operator" means any
individual or corporate resident taxpayer who derives at least fifty-one per
cent of the taxpayer's gross annual income from commercial fishing operations.