Who’s tax is it, anyway? – Government and Politics – Mobile Adv

May 10, 2015 Facebook Twitter LinkedIn Google+ Financial Service,News

In Hawaii, if the owner has adjusted gross income of at least $100,000 (single) or $200,000 (married filing jointly), and then state taxes are not deductible at all.

But there is a wrinkle.

The same Hawaii law that disallows the deduction for state tax to individuals with higher adjusted gross income also disallows the deduction for corporations.

Furthermore, it disallows the deduction to all corporations, large or small, whether they make or lose money.

(For the curious, the law involved is Hawaii Revised Statutes section 235-2.4(i)(2).)

But the Department of Taxation is allowing corporations to deduct state tax anyway. Why? 

Read more: http://m.thegardenisland.com/news/local/govt-and-politics/who-s-tax-is-it-anyway/article_9a35bc55-b83b-5159-ab20-901b806f4e7a.html?mode=jqm