Many taxpayers have questions about the complexities of filing their taxes as tax season draws near. Whether a federal return must be linked to a Hawaii return is one frequently asked question. No, a federal return is not required to be attached to a Hawaii return, to which the answer is no.
Hawaii follows its own rules when it comes to submitting tax returns because the state has its own set of tax laws and regulations. Taxpayers are not obligated to attach their federal return to their Hawaii return, although they are welcome to use it as a guide. It is crucial to remember, though, that some data from the federal return, like adjusted gross income and deductions, may need to be included in the Hawaii report.
Next, a lot of taxpayers are interested in learning whether Hawaii General Excise Tax (GET) is deductible. Sadly, GET is not tax deductible on either federal or state returns. GET is a tax on businesses that is levied in Hawaii; it is not regarded as an income tax. As a result, neither a personal nor a business deduction can be made for it.
Let’s now discuss the Hawaii Tax Form G-49. The transitory lodgings Tax (TAT), which is a tax levied on the renting of transitory lodgings, is reported and paid using this form. Hotels, motels, vacation homes, and other similar lodging facilities are examples of transient accommodations. The owner of the temporary lodging facility is responsible for collecting the TAT, which is then paid to the state either monthly or quarterly.
Moving on to a different subject, a frequent question is how much tax General Electric paid in the previous year. General Electric reported a $1.5 billion overall tax expense in its 2019 annual report. Both domestic and foreign taxes are included in this.
Let’s talk about Hawaii’s sales tax for 2021 now. Unlike the majority of states, Hawaii does not impose a standard sales tax. Instead, it levies a General Excise Tax (GET) on companies operating there. The GET is now charged at 4%, however some companies may be charged more.
Therefore, taxpayers are not required to include their federal return with their Hawaii return. The Transient Accommodations Tax is reported and paid using Hawaii Tax Form G-49, and the Hawaii General Excise Tax is not deductible on federal or state tax returns. In Hawaii, there is a general excise tax rather than a standard sales tax, and General Electric paid $1.5 billion in taxes last year.