HRS § 237-24.3 — Additional amounts not taxable


§237-24.3 Additional amounts not taxable.
In addition to the amounts not taxable under section 237-24, this chapter shall
not apply to:
(1) Amounts received from the loading,
transportation, and unloading of agricultural commodities shipped for a
producer or produce dealer on one island of this State to a person, firm, or
organization on another island of this State. The terms "agricultural
commodity", "producer", and "produce dealer" shall be
defined in the same manner as they are defined in section 147-1; provided that
agricultural commodities need not have been produced in the State;
(2) Amounts received by the manager, submanager, or
board of directors of:
(A) An association of a condominium property
regime established in accordance with chapter 514B or any predecessor thereto;
or
(B) A nonprofit homeowners or community
association incorporated in accordance with chapter 414D or any predecessor
thereto and existing pursuant to covenants running with the land,
in reimbursement of sums paid for common
expenses;
(3) Amounts received or accrued from:
(A) The loading or unloading of cargo from
ships, barges, vessels, or aircraft, including stevedoring services as defined
in section 382-1, whether or not the ships, barges, vessels, or aircraft travel
between the State and other states or countries or between the islands of the
State;
(B) Tugboat services including pilotage fees
performed within the State, and the towage of ships, barges, or vessels in and
out of state harbors, or from one pier to another;
(C) The transportation of pilots or
governmental officials to ships, barges, or vessels offshore; rigging gear;
checking freight and similar services; standby charges; and use of moorings and
running mooring lines; and
(D) Wharfage and demurrage imposed under
chapter 266 that is paid to the department of transportation;
(4) Amounts received by an employee benefit plan by
way of contributions, dividends, interest, and other income; and amounts
received by a nonprofit organization or office, as payments for costs and
expenses incurred for the administration of an employee benefit plan; provided
that this exemption shall not apply to any gross rental income or gross rental
proceeds received after June 30, 1994, as income from investments in real
property in this State; and provided further that gross rental income or gross
rental proceeds from investments in real property received by an employee
benefit plan after June 30, 1994, under written contracts executed prior to
July 1, 1994, shall not be taxed until the contracts are renegotiated, renewed,
or extended, or until after December 31, 1998, whichever is earlier. For the
purposes of this paragraph, "employee benefit plan" means any plan as
defined in title 29 United States Code section 1002(3), as amended;
(5) Amounts received for purchases made with United
States Department of Agriculture food coupons under the federal food stamp
program, and amounts received for purchases made with United States Department
of Agriculture food vouchers under the Special Supplemental Foods Program for
Women, Infants and Children;
(6) Amounts received by a hospital, infirmary,
medical clinic, health care facility, pharmacy, or a practitioner licensed to
administer the drug to an individual for selling prescription drugs or
prosthetic devices to an individual; provided that this paragraph shall not
apply to any amounts received for services provided in selling prescription
drugs or prosthetic devices. As used in this paragraph:
"Prescription drugs" are those
drugs defined under section 328-1 and dispensed by filling or refilling a
written or oral prescription by a practitioner licensed under law to administer
the drug and sold by a licensed pharmacist under section 328-16 or
practitioners licensed to administer drugs; provided that "prescription
drugs" shall not include cannabis or manufactured cannabis products
authorized pursuant to chapters 329 and 329D; and
"Prosthetic device" means any
artificial device or appliance, instrument, apparatus, or contrivance,
including their components, parts, accessories, and replacements thereof, used
to replace a missing or surgically removed part of the human body, which is
prescribed by a licensed practitioner of medicine, osteopathy, or podiatry and
that is sold by the practitioner or that is dispensed and sold by a dealer of
prosthetic devices; provided that "prosthetic device" shall not mean
any auditory, ophthalmic, dental, or ocular device or appliance, instrument,
apparatus, or contrivance;
(7) Taxes on transient accommodations imposed by
chapter 237D and passed on and collected by operators holding certificates of
registration under that chapter;
(8) Amounts received as dues by an unincorporated
merchants association from its membership for advertising media, promotional,
and advertising costs for the promotion of the association for the benefit of
its members as a whole and not for the benefit of an individual member or group
of members less than the entire membership;
(9) Amounts received by a labor organization for real
property leased to:
(A) A labor organization; or
(B) A trust fund established by a labor
organization for the benefit of its members, families, and dependents for
medical or hospital care, pensions on retirement or death of employees,
apprenticeship and training, and other membership service programs.
As used in this paragraph, "labor
organization" means a labor organization exempt from federal income tax
under section 501(c)(5) of the Internal Revenue Code, as amended;
(10) Amounts received from foreign diplomats and
consular officials who are holding cards issued or authorized by the United
States Department of State granting them an exemption from state taxes;
(11) Amounts received as rent for the rental or
leasing of aircraft or aircraft engines used by the lessees or renters for
interstate air transportation of passengers and goods. For purposes of this
paragraph, payments made pursuant to a lease shall be considered rent
regardless of whether the lease is an operating lease or a financing lease.
The definition of "interstate air transportation" is the same as in
49 U.S.C. section 40102; and
(12) Amounts received by a hospital, infirmary,
medical clinic, health care facility, or pharmacy, or a medical or dental
practitioner, for healthcare-related goods or services purchased under the
medicare, medicaid, or TRICARE programs. For the purposes of this paragraph,
the healthcare-related services need not be performed by a medical or dental
practitioner but may be performed by a physician's assistant, nurse, or other
employee under the medical or dental practitioner's direction. As used in this
paragraph:
"Medicaid" means the program
established under Title XIX of the Social Security Act of 1935, as amended;
"Medical or dental practitioner"
means a physician or osteopathic physician licensed pursuant to chapter 453; a
dentist licensed under chapter 448; an advanced practice registered nurse
licensed pursuant to chapter 457; or a pharmacist licensed pursuant to chapter
461;
"Medicare" means the program
established under Title XVIII of the Social Security Act of 1935, as amended;
and
"TRICARE" means the program of the
Department of Defense military health system managed by the Defense Health
Agency, or any successor program.