Booklet A, Employer's Tax Guide, has been revised to reflect the new wage withholding rates that will be in effect from January 1, 2001 through December 31, 2001.  The revised Booklet A was mailed to all registered employers in early October.  Employers should use this booklet beginning in January 2001.  Employees may need to complete a new Form HW-4 to adjust their withholding exemptions.

The new rates are a result of Act 157, Session Laws of Hawaii, 1998, which provided a $759 million income tax cut to be spread over four years: $159 million in both 1999 and 2000, $192 million in 2001, and $242 million in 2002.  Continuing what was started in 1999, the lower rates for the year 2001 will further reduce the amount of State income taxes required to be withheld on wages paid to employees, thus, further increasing employees' take-home pay.  It should also be noted that the Supplement to Booklet A (Revised 1998), which was released late last year, has been incorporated into this revised Booklet A.

Copies of Booklet A and tax forms may be downloaded from the Department's website at: www.hawaii.gov/tax.  Copies of Booklet A and tax forms may also be obtained from the Department by calling the Department's Forms Request Line at (808) 587-7572.  Persons who are not calling from Oahu may request  copies by calling 1-800-222-7572. 

DOWNLOAD A PDF COPY OF BOOKLET A, EMPLOYER'S TAX GUIDE (rev 2000)