It’s being called Hawaiʻi’s biggest tax break, but some will get more help than others
Devin Thomas, senior policy analyst for taxes and budget for Hawaiʻi Appleseed, lobbied for tax relief for low and no-income residents and families living paycheck to paycheck.
“We can’t deny that this bill will provide a lot of assistance to folks who need it across the board, low to middle income families, households, who are struggling to make ends meet,” he said. “But we wish that there were more for lower income folks.”
“The largest tax cuts are going to be going to the people at the top of the income distribution,” Moore said. “There’s very little tax relief in here for say, people who are at the very bottom.”
Bills to adjust tax credits for families with children or paying for dependent care did not pass; neither did a controversial bill to lower the estate tax for high-income families.
Although pleased the inheritance tax reduction failed, Hawaiʻi Appleseed was unhappy that the reform bill delivers so much relief to people with the highest incomes.
“The vast majority of tax relief should be going to the people who need it urgently, as opposed to folks who are doing quite well in the status quo,” Thomas said.