Hawaii Changes Individual Income Tax Brackets

The Hawaii Governor signed a law that includes: 1) creating a new 13 percent income tax bracket for people making more than $1 million annually beginning for taxable years after Dec. 31, 2026; 2) repealing certain future adjustments to income tax brackets; 3) changing income tax rates for taxable years beginning after Dec. 31, 2026, and taxable years beginning after Dec. 31, 2028; 3) repealing the Technology Infrastructure Renovation Tax Credit beginning Jan. 1, 2028; and 4) repealing the High Technology Business Investment Tax Credit and Tax Credit for Research Activities beginning Jan. 1, 2029. [S.B. 3125, enacted 05/21/26]

This ...