Hawaii Tax Credit Available for Water Storage Facilities
Strong teamwork and lobbying efforts by Hawaii's agricultural industry paid off at the State Legislature last year. One key bill signed into law by the Governor gives a 4% state income tax credit on the cost of installation and repair of water storage facilities. The size of the facility will not be limited; however, an approved soil and water conservation plan will be required. The tax credit will provide an economic incentive for construction. Additional facilities will provide drought mitigation measures by reducing the reliance on public and other private sources during dry periods. The tax credit is available for tax years 2001-05.
Please contact your tax advisor to find out how you might take advantage of this tax credit.