Income Tax Rate in Hawaii 2020: Everything You Need to Know

Hawaii is regarded as one of the most costly states in the union despite being one of the most picturesque. You must submit a Hawaii state tax return if you live in Hawaii or receive income there. We will address some of the most prevalent inquiries about Hawaii state taxes in this article. What will Hawaii’s income tax rate be in 2020?

The state income tax in Hawaii has a range of 1.4% to 11%. Your income, filing status, and deductions will all affect the rate you pay. You can anticipate paying a reduced rate if you are married and filing jointly as opposed to filing as an individual. Hawaii also provides low-income taxpayers with a tax credit, which can substantially lower your tax obligation. Do I have to include my federal return with my Hawaii return? You are not required to include your federal tax return with your state tax filing for Hawaii. The data from your federal return that pertains to your adjusted gross income, taxable income, and federal tax liabilities must be included. How much money must you earn in Hawaii in order to submit taxes?

The federal filing requirements and the filing requirements for Hawaii state taxes are identical. If your gross income is $4,000 or more and you are a single filer under 65, you are required to file a Hawaii state tax return. If your gross income is $8,000 or more, you must file a Hawaii state tax return if you are married filing jointly and both of your spouses are under 65.

You must mail your paper return to the Hawaii Department of Taxation if you are filing one. Address: P.O. Box 1530, Honolulu, Hawaii 96806-1530

Use Hawaii’s free e-filing service or one of the authorized tax preparation software packages if you’re filing electronically.

Hawaii doesn’t automatically accept the extension from the federal government. However, if a federal extension is granted, you can submit Form N-101A to obtain a Hawaii extension. Your Hawaii state tax return will have an additional six months to be submitted as a result.

In conclusion, submitting your Hawaii state tax return can be a little challenging, but learning the fundamentals will help the procedure go lot more smoothly. Keep in mind to verify the most recent tax rates, documentation requirements, and mailing address for your return. And don’t forget to ask for an extension if you need additional time to file.