Marker Icon 16.pngMarker Icon 13.pngMarker Icon 18.pngMarker Icon 12.pngMarker Icon 0.pngMarker Icon 8.pngMarker Icon 17.pngMarker Icon shadow.pngMarker Icon center.pngMarker Icon 21.pngMarker Icon 7.pngMarker Icon 25.pngMarker Icon 20.pngMarker Icon 1.pngMarker Icon 2.pngMarker Icon 5.pngMarker Icon 22.pngMarker Icon 23.pngMarker Icon 10.pngMarker Icon 14.pngMarker Icon 3.pngMarker Icon 4.pngMarker Icon 6.pngMarker Icon 11.pngMarker Icon 24.pngMarker Icon 19.pngMarker Icon 15.pngMarker Icon 9.png

Kauai MLS Quick Search

to
to
to
to
to

Go to Advanced Search

Tim Mira, Realtor Broker - Kauai

Tim Mira, Realtor Broker

phone: (808) 639-2263
Contact by email

Cory Mira, Realtor (S) - Kauai

Cory Mira, Realtor (S)

phone: (808) 635-7809
Contact by email

Kauai General Excise tax update for 2019

Add CommentAdd Comment

Per State of Hawaii Dept of Taxation Announcement no. 2018-14 

On December 11, 2017, Ordinance No. 1021 was enacted in Kauai County. Ordinance No. 1021 authorizes the imposition of a county surcharge (CS) on general excise tax (GET) for Kauai County beginning on January 1, 2019 and ending on December 31, 2030at the rate of 0.5%. Sincethe retail GET rate is 4%, the total rate of tax imposed on transactions subject to the Kauai CS is 4.5%................

Rate of Tax Visibly Passed on to CustomersGET is levied on the gross receipts of a business, including amounts that are passed on andcollected as GET from customers.To account for this imposition, the maximum rate that may be passed on to customers is higher than the statutory rate of 4.5%(4% GET + 0.5% Kauai CS).However, a seller is prohibited by consumer protection law from visibly collecting more than the amount actually owed.

The maximum rate that may be visibly passed on in Kauai County is 4.712%.This pass on rate is limited to six decimal placesandis calculated as follows. When the taxes are visibly passed on the gross receipts consist of the price and tax. The price represents 95.5% of the gross receipts and the tax represents 4.5% of the gross receipts. The tax stated as a percent of the price is 0.047120 or 4.712%(4.5% divided by 95.5%).

It is important to note that the 4.712% rate is the maximum rate of tax that may be visibly passed on. Sellers may also pass on the tax at the statutory rate of 4.5% or may elect not to visibly pass on the taxat all.

 

thumb_2_TimMiraKauaiRealtor.jpg Article By:
Comments (0)
Kauai life