HRS § 237-30.7 — Withholding of tax by persons claiming the motion picture, digital media, and film production income tax credit


HRS
[§237-30.7] Withholding of tax by
persons claiming the motion picture, digital media, and film production income
tax credit. (a) Every person making payment to a loan-out company and
claiming a tax credit pursuant to section 235-17 shall deduct and withhold an
amount equal to the highest rate of tax under this chapter plus any applicable
county surcharge for all payments made to the loan-out company for services
performed in the State. The amounts withheld shall be remitted pursuant to
subsection (b). The amounts withheld under this section shall be deemed to be
a general excise tax withholding for the benefit of the loan-out company
performing the service.
(b) Every person subject to subsection (a)
shall make a return of the amount withheld and file the return with the
department of taxation no later than the twentieth day of the calendar month
immediately following the month in which the payment was made to the loan-out
company. The taxes withheld shall be remitted with the return. The department
of taxation shall prescribe the forms and procedures to administer this
section.
(c) All taxes withheld pursuant to this
section shall be held in trust by the person withholding for the State. If any
person required to withhold and remit taxes under this section fails to
withhold or remit the taxes, the person shall be liable for the failure as
provided in section 235-64.