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Hawaii State Income TaxesThe state of Hawaii collects income taxes on April 20th, which allows you n extra five days in between the filing deadline for federal income tax and state income tax.
This page:
• Lists basic Hawaii state tax information
• Links to the major Hawaii income tax forms
• Shows you how you can save time and money by e-filing
Prepare your Hawaii taxes online, for free: If you want to avoid costly mistakes, while at the same time taking advantage of all possible credits and deductions, you want to do your taxes online.
TurboTax Online allows you to work on your return for free, until you file. Work on your federal and Hawaii state taxes, and pay nothing until you are satisfied with your return. Start now.
Hawaii state taxes at a glance:Tax Rate Range: Low - 1.4%; High - 8.25% Income Brackets*: Lowest - $2,000; Highest - $40,000 Number of Brackets: 9 Personal Exemptions: Single - $1,040; Married - $2,080; Dependents - $1,040; Seniors - $0 Standard Deduction: Single - $1,500; Married filing Jointly - $1,900 Medical/Dental Deduction: Same as Federal Taxes Federal Income Tax Deduction: None
*Note: These numbers are for single filers. The income ranges for joint returns are doubled.
Filing your Hawaii state tax returnIn Hawaii, the filing status used on your state income tax return does not have to be the same as what is used on your federal tax return. You must, however, meet the qualifications set forth by federal tax laws and state tax laws for each of those filing statuses in order to file as such.
Hawaii state income tax laws allows to you to take the standard deduction even if you itemized your deductions on your federal income tax return. This holds true vice versa.
The most common credits Hawaii offers is the low income tax credit, low income renters tax credit, child care, and passenger restraint systems credit. For more credits check out Form CR.
Tax deductions allowed in Hawaii are the same as the federal itemized deductions.
Retirement income is taxable in Hawaii even if the source is from a state other than Hawaii.
In Hawaii, capital Gains are not taxed at the same rate as your income. Instead they are taxed at a rate of 7.25%.
Finally, if you are not a resident of Hawaii, you must still file a state tax return if you earn some income from the state.
Sidebar You can work on your Hawaii tax return online while filing your federal return (you can work on it for free, and pay nothing until you are ready to file).
Note: if you are filing more than one state return, you must file a paper return for each additional state, as TurboTax Online only allows one state prep.
Hawaii income tax formsThe main Hawaii tax forms are:
Form N-12 | 2006 Hawaii Individual Income Tax Return| Instructions
Form N-13 | 2006 Short Hawaii Income Tax Return | Instructions
Schedule CR | Tax Credits
Schedule D-1 | Sale of Business Property
If you need Hawaii income tax forms that are not listed here, you can download them from the Hawaii tax forms site.
Or, just simply e-file!
Additional HI state taxes helpIf you need help with your federal tax return, start with our basic guide to tax filing.
For additional help with filing HI income tax returns, see the official site of the Hawaii Department of Taxation.
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