What's Being Discussed

This is the eleventh meeting of the 2025–2027 Tax Review Commission (TRC), a state body that studies Hawaii's tax system and recommends changes. The meeting runs from 2:00 to 4:00 p.m. on Friday, September 18, 2026, and is held virtually via Zoom.

Two outside experts will give presentations:

• National tax perspective: Representatives from the Council On State Taxation will compare Hawaii's excise taxes, corporate taxes, and tax administration to national trends.
• Tourism and the Transient Accommodations Tax (TAT): Dr. John Knox will examine how past TAT and General Excise Tax (GET) rate increases have affected tourism, and how TAT revenue is distributed among government agencies.

The Commission will also continue discussing several specific tax policy topics:

• How retirement income is taxed
• How corporate income taxes are calculated when a business operates in multiple states (single sales factor apportionment)
• A potential "clawback" related to property tax deferrals (1031 exchanges)
• The conveyance tax and how it applies to controlling ownership interests in property
• Hawaii's estate tax
• A voluntary disclosure program for taxpayers

Decisions Expected

• A vote to approve the minutes from the September 1, 2026 meeting
• Discussion on scheduling future meetings, including whether to hold some in person

Who Should Pay Attention

• Retirees concerned about how their income is taxed in Hawaii
• Business owners, especially corporations operating across state lines
• Property owners and investors affected by conveyance or estate taxes
• Tourism industry workers and businesses affected by TAT and GET rates
• Anyone interested in how Hawaii's tax laws may change in the future