County Surcharge

County Surcharge information for 2019

The Counties are authorized to adopt a surcharge on the general excise tax and use tax at a rate of no greater than 0.5%. The following counties have adopted the surcharge:

  • City and County of Honolulu: The county surcharge is effective from January 1, 2007 to December 31, 2030 at the rate of 0.5%.
  • County of Kauai: The county surcharge is effective from January 1, 2019 to December 31, 2030 at the rate of 0.5%.
  • County of Hawaii: The county surcharge is effective from January 1, 2019 to December 31, 2020 at the rate of 0.25%.

The county surcharge is only added to activities taxed at the 4.0% rate. The county surcharge does not apply to activities taxed at the 0.5% rate (e.g., wholesaling) or the 0.15% rate (i.e., insurance commissions). The county surcharge is computed and reported on Forms G-45 and G-49. Taxpayers who do business in more than one county must also complete Form G-75 and attach it to Forms G-45 and G-49.

Maximum Pass-On Rates

The maximum pass-on rates, which include the county surcharge if applicable, are as follows:

  • City and County of Honolulu: 4.7120%
  • County of Hawaii: 4.4386%
  • County of Kauai: 4.7120%
  • County of Maui: 4.1666%

Sourcing Rules

Taxpayers are required to allocate their gross proceeds and gross income to the designated taxation districts pursuant to sections 18-237-8.6-01 to 18-237-8.6-10, Hawaii Administrative Rules. The Department will be publishing additional guidance on the county surcharge, including a summary of the sourcing rules, shortly.

See also:

  • Tax Announcement 2005-11 Act 247, Session Laws of Hawaii 2005, Relating to County Surcharge on State Tax.
  • Tax Announcement 2006-15 General Excise Tax (GET) and County Surcharge Tax (CST) Visibly Passed on to Customers.
  • Tax Announcement 2006-17 Relating to the Application of the County Surcharge Sourcing Rules to Cash Basis and Accrual Basis Accounting Method Taxpayers.
  • Tax Announcement 2018-14
    Kauai County Surcharge on General Excise Tax and Rate of Tax Visibly Passed on to Customers, Effective January 1, 2019
  • Tax Announcement 2018-15 Hawaii County Surcharge on General Excise Tax and Rate of Tax Visibly Passed on to Customers, Effective January 1, 2019

County Surcharge Information Flyer Updated November 2018