Mandatory Electronic Filing
MANDATORY E-FILE REMINDER: EFFECTIVE JULY 1, 2020
June 10, 2020
As a reminder, all General Excise (G-45, G-49) and Transient Accommodations (TA-1, TA-2) tax returns for taxpayers who are required to file monthly returns (annual estimated tax liability is greater than $4,000) must electronically file (e-file) periodic returns for periods beginning on or after July 1, 2020 and annual returns for tax year beginning on or after January 1, 2020 (See Tax Announcements 2019-16 and 2019-17). The first periodic filing deadline with this requirement is Thursday, August 20, 2020.
Taxpayers whose annual estimated tax liability is greater than $4,000 MUST file returns on Hawaii Tax Online (HTO) at https://hitax.hawaii.gov. Any taxpayer who is required to e-file a tax return and fails to do so shall be imposed a penalty of 2% of the amount of tax required to be shown on the return, in addition to any other applicable penalties and interest.
NOTE: A return must be submitted, even if there is no gross income for the period. If you have no gross income for the period, a return showing “$0” income will need to be filed.
Section 231-8.5, Hawaii Revised Statutes, enables the Department of Taxation (DOTAX) to require certain taxpayers to file tax returns electronically. Any person who is required to electronically file (e-file) a tax return and fails to do so shall be imposed a penalty of 2 percent (2%) of the amount of tax required to be shown on the return, in addition to any other applicable penalties and interest.
Electronic-filing (e-filing) requirements are different from electronic payment (e-pay) requirements.
| Tax Return Type | Forms | Effective for Taxable Period beginning on or after | Tax Announcement (Notice required under section 231-8.5(c)(2), HRS) |
|---|---|---|---|
| Cigarette & Tobacco tax | • M-19 • M-110 |
September 1, 2019 | Tax Announcement No. 2019-02 |
| Fuel tax | • M-20A • M-22 • M-36 |
September 1, 2019 | Tax Announcement No. 2019-02 |
| Liquor tax | • M-18 | September 1, 2019 | Tax Announcement No. 2019-02 |
| Rental motor vehicle, tour vehicle, and car sharing vehicle surcharge tax | • RV-2 • RV-3 |
October 1, 2019 | Tax Announcement No. 2019-06 AMENDED |
| Withholding tax returns for employers whose annual liability exceeds $40,000 (HW-3 is not required beginning Tax Year 2020.) | • HW-3 • HW-14 • HW-26 |
January 1, 2020 | Tax Announcement 2019-11 AMENDED |
| Franchise tax | • F-1 | January 1, 2020 | Tax Announcement 2019-12 AMENDED |
| Public service company tax | • U-6 | January 1, 2020 | Tax Announcement 2019-13 AMENDED |
| Estate and generation-skipping transfer tax | • M-6 | No longer required for decedents dying on or after September 1, 2021 | Tax Announcement 2021-07 |
| General excise tax returns for taxpayers whose annual liability exceeds $4,000 | • G-45 • G-49 |
July 1, 2020 for periodic returns January 1, 2020 for annual returns |
Tax Announcement 2019-16 |
| Transient accommodations tax returns for taxpayers whose annual liability exceeds $4,000 | • TA-1 • TA-2 |
July 1, 2020 for periodic returns January 1, 2020 for annual returns |
Tax Announcement 2019-17 |
Additional tax type with mandatory e-filing requirements will be added in the future.
Frequently Asked Questions (FAQs)
How do I e-file?
Use Hawaii Tax Online to e-file your returns.
Will an e-filed return be posted immediately?
No. E-filed returns are processed and posted nightly. The return status will change from “submitted” to “processed” in Hawaii Tax Online. The effective date of the e-filed return is the submitted date.
Does mandatory e-filing apply to both periodic and annual returns?
Yes. If you are required to file returns electronically, both periodic and annual returns must be e-filed.
Does the e-filing requirement apply to returns that I need to submit or amend for prior tax filing periods?
No. Only returns for taxable period(s) beginning on or after the effective period are required to be e-filed. The requirement applies to all new, supplemental, and amended returns.
Is there a minimum tax liability threshold for the e-filing requirement?
Certain tax types have a minimum tax liability threshold:
- Withholding tax returns: Taxpayers whose annual liability exceeds $40,000
- General Excise and Transient Accommodations tax returns: Annual returns for taxable years beginning on or after January 1, 2020, for taxpayers whose annual liability exceeds $4,000. (NOTE: Periodic returns for taxpayers whose annual liability exceeds $4,000 will be required to e-file effective July 1, 2020.)
All other tax types required to e-file must do so regardless of their tax liability.
If I am not required to e-file, can I still e-file?
Yes. Most widely used return forms are available for e-filing on Hawaii Tax Online. E-filed returns are easier to complete, more accurate, and processed more quickly than paper returns. We encourage all taxpayers to e-file as it is the convenient, fast, and secure way to file your tax returns.
Can I submit attachments with my e-filed return?
If an attachment is required with a return, Hawaii Tax Online will prompt you to attach a file. If you are not required to submit an attachment with a return, you will not be able to submit attachments.
Can I request a waiver from the e-filing requirement?
Yes. You can request a waiver from the e-filing requirement by completing and submitting Form L-110 and providing an explanation of why you cannot meet this requirement. Your request is subject to approval.
If Hawaii Tax Online is unavailable on the return due date, what should I do?
We encourage you to e-file early to ensure that your return can be processed in a timely manner.
We do our best to ensure that Hawaii Tax Online is available and plan maintenance windows to avoid due dates. In the unlikely event that Hawaii Tax Online is unavailable on the return due date, reasonable accommodations will be made to ensure taxpayers can e-file without a late penalty.
If I can’t sign in to Hawaii Tax Online and need to e-file a return, what should I do?
Some returns are available for e-filing without signing in to Hawaii Tax Online.
You can reset or retrieve your user name and password yourself on Hawaii Tax Online. Telephone assistance is also available during regular business hours (Monday through Friday, 7:45AM – 4:30PM, excluding holidays) by calling (808) 587-4242.
Page Last Updated: March 23, 2023