Hawaii Administrative Rules › Title 15 - DEPARTMENT OF BUSINESS, ECONOMIC DEVELOPMENT AND TOURISM › Department of Business, Economic Development and Tourism › Chapter 6 - ENTERPRISE ZONES › Subchapter 3 - DESIGNATION OF A BUSINESS AS A QUALIFIED BUSINESS; CERTIFICATION BY THE DEPARTMENT › Section 15-6-10 - Business application procedure

Current through June, 2024
(a) A business
				  interested in participating in the enterprise zones program should obtain an
				  application form from the department. The form should be completed by the
				  business, reviewed by an independent accountant who shall be responsible for
				  verifying the accuracy of the information in the application, and submitted to
				  the department.
(b) The business
				  shall submit separate applications for each zone in which it conducts trade or
				  business.
(c) A business may
				  participate in the program for a seven-year cycle. A business engaged in
				  manufacturing tangible personal property or producing or processing of
				  agricultural products may participate in the program for an additional
				  three-year cycle. During the initial year of the seven-year cycle, the
				  department shall determine if the applying business is eligible to participate
				  in the enterprise zones program. The business shall be advised of the
				  department's decision. The seven-year cycle will commence on the first of the
				  month following the date that the department determines that the business is
				  eligible to participate in the program. The business may claim the exemption
				  from the general excise tax from the first of the month following the date the
				  department determines that the business is eligible to participate in the
				  program. If the business is not certified at the end of the year, however, the
				  business shall pay all taxes, penalties, and interest normally levied by law to
				  the department of taxation.
(d) A
				  qualified business shall not be entitled to a credit against taxes due the
				  State, until certified by the department. The department of taxation shall
				  reject any claim for exemption in a return filed without the certification. At
				  the end of each taxable year of the business" qualification period, including
				  the initial year, the department shall determine if the business should be
				  certified to receive the state income tax credits and general excise tax
				  exemption available under this program. For the department to make this
				  determination, the business must submit to the department a form designated by
				  the department.
Following its review of the forms, the department shall
					 return the certified form to the business and notify the department of taxation
					 if the business is certified.
(e) A business that has been certified shall:
(1) File the applicable state tax
				  returns;
(2) Attach copies of the
				  appropriate department form and department of taxation enterprise zone tax
				  credit form to the tax return; and
(3) Forward a copy of the certified
				  department form to the governing body of the county in which the qualified
				  business is located.