Hawaii CPA Services for Tax, Audit & Advisory

Key Hawaii Tax Numbers. Personal income tax: graduated, top rate 11% on income above approximately $200,000 single / $400,000 joint — among the highest top rates in the U.S. Corporate income tax: graduated, top rate 6.4%. General Excise Tax (GET): 4% state plus county surcharges (Honolulu adds 0.5%) — combined approximately 4.5%; applies to virtually all business activity including services, rentals, and wholesale (NOT a typical sales tax). Transient Accommodations Tax (TAT): 10.25% state plus approximately 3% county; combined approximately 13.25%–14.5% on hotels, vacation rentals, Airbnb, VRBO. Estate tax: applies above approximately $5.49 million with rates up to 20% — tied with Washington for the highest top estate tax rate in the United States. Pass-through entity (PTE) elective tax: rate matches personal IT, available since tax year 2022. Returns due April 20 (Hawaii uses a non-standard deadline, not April 15). For vacation rental owners (resident and mainland-based), military and federal civilian employees navigating SCRA/MSRRA, hospitality and tourism executives, real estate investors, these numbers matter most when entity structure, owner compensation, residency, property, or investment decisions change the federal and state result.

Filing Mechanics. Individuals file Form N-11 (residents) or Form N-15 (nonresidents and part-year residents). C-corporations file Form N-30. Partnerships file Form N-20; S-corps file Form N-35. PTE election is made on partnership/S-corp returns. GET is filed on Form G-45 (periodic) and Form G-49 (annual reconciliation). TAT is filed on Form TA-1 (periodic) and Form TA-2 (annual). Returns are administered by the Hawaii Department of Taxation. We use those mechanics to build a filing calendar and document request list for vacation rental owners (resident and mainland-based), military and federal civilian employees navigating SCRA/MSRRA, hospitality and tourism executives, real estate investors before deadlines compress the planning options.

Hawaii GET vs. Sales Tax — A Critical Difference. Hawaii does not technically have a sales tax — it has the General Excise Tax (GET), which is fundamentally different. GET is a tax on the seller's business gross receipts, applying to virtually all business activity (retail, wholesale, services, rentals, even some normally non-taxable activity), at varying rates by classification. The combined GET (state + county) is approximately 4.5% in Honolulu. While GET is typically passed through to customers, it is technically the seller's tax obligation — meaning out-of-state sellers with Hawaii nexus must register and remit GET regardless of whether they collect from customers. We handle Hawaii GET registration, compliance, and the unique business activity classifications routinely.

Hawaii TAT & the Vacation Rental Boom. Hawaii's Transient Accommodations Tax is among the most aggressive in the country, applying to vacation rentals (Airbnb, VRBO, etc.), hotels, and other short-term lodging at a combined state+county rate of approximately 13.25%–14.5%. The TAT plus GET means short-term rental operators in Hawaii face an effective combined tax of approximately 18% on gross rental receipts. We handle TAT registration, GET interaction, and the unique vacation rental compliance issues for Hawaii property owners — particularly for mainland-based snowbirds renting out their Hawaii properties.

Hawaii Economy & Who We Serve. Hawaii's economy is dominated by tourism (Waikiki, Maui, the Big Island, Kauai — among the world's top vacation destinations), military and federal government (Pearl Harbor Naval Shipyard, Hickam AFB, Schofield Barracks, MCBH Kaneohe Bay, Coast Guard 14th District — the U.S. Indo-Pacific Command headquarters; military and federal civilian employment is one of HI's largest sectors), real estate (one of the most expensive markets in the U.S.; significant out-of-state ownership), agriculture (coffee, macadamia nuts, pineapple, sugar historically), and a growing renewable energy sector. Our typical HI clients include vacation rental owners (resident and mainland-based), military and federal civilian employees navigating SCRA/MSRRA, hospitality and tourism executives, real estate investors, and high-net-worth families navigating Hawaii's combined high income tax + estate tax structure.

CPA Mobility in Hawaii. We serve clients nationwide under CPA mobility rules where applicable. Before accepting Hawaii work for vacation rental owners (resident and mainland-based), military and federal civilian employees navigating SCRA/MSRRA, hospitality and tourism executives, real estate investors, we confirm the engagement type, CPA mobility, firm registration, and any attest or state-sensitive requirements.

Cities and Communities We Serve. Our virtual-first practice serves clients across all the Hawaiian Islands, including Oahu (Honolulu — state capital, largest city; Pearl City; Kailua; Waipahu; Kaneohe; Mililani Town; Pearl Harbor; Schofield Barracks), Maui (Kahului; Lahaina; Kihei; Wailea), the Big Island (Hilo; Kailua-Kona), Kauai (Lihue; Kapaa; Princeville), Molokai, Lanai, and every Hawaii community.