Information for the
2003 Income Tax Filing Season
RELEASED: December 30, 2002
>> GO TO: Tax Forms and Instructions
Another tax season
Form and instruction packets will be mailed to Hawaii taxpayers in January.
Taxpayers will receive the same form they filed for the 2001 tax year. However,
Hawaii residents who checked the box on their 2001 income tax return requesting
only a mailing label will instead receive a postcard-sized mailing containing
their mailing label. Nonresidents will receive a nonresident form and instruction
packet only if one was requested on their 2001 income tax return.
Here is some important information to help Hawaii taxpayers through the filing
Changes for Individual Taxpayers: The following are some of the
changes listed on the inside cover of the instruction booklets:
- The 2002 income
tax rates for individuals are 1.4% to 8.25% (reduced from the 2001 rates
of 1.5% to 8.5%).
- A $1 per qualified
Hawaii resident general income tax credit may be claimed for 2002.
- The deadline
for incurring costs eligible for the 4% Residential Construction and Remodeling
Income Tax Credit was extended to June 30, 2003.
- Several federal
income tax provisions included in the federal Economic Growth and Tax Relief
Reconciliation Act of 2002 were adopted and are applicable to Hawaii taxpayers.
These include provisions relating to:
retirement account limitations;
individual retirement account limitations;
retirement plan (pension) limitations;
tuition programs; and
for employer provided education assistance.
- Department of
Education coaches may waive all or part of their coaching stipend; amounts
waived are not reported as income on Hawaii tax returns.
- Form N-101A
is no longer required to obtain an automatic 4-month extension of time to
file a Hawaii individual income tax return. Use Form N-101A only if you need
to make a payment. A payment should be made if additional taxes are due because
the extension of time to file an income tax return is not an extension of
time to pay the tax owed.
Filing Returns: The filing deadline is April 20, 2003. Because April
20th falls on a Sunday, returns filed on Monday, April 21, 2003, will be
considered timely filed.
Hawaii resident Form N-11, may be electronically filed (e-filed) through
the Federal/State Joint E-filing (JELF) Program. Interested persons should
talk to their tax preparer about e-filing their return, or view the list
of approved software vendors on our website at www.state.hi.us/tax.
The Hawaii resident short form, Form N-13, may be e-filed through the State’s
Internet Portal. Go to www.ehawaiigov.org/efile
for more information.
Of course, paper returns are still accepted, but e-filing speeds processing
and reduces the chance of errors. This allows refunds on e-filed returns
to be issued in as little as 2 weeks, as opposed to the 4 to 10 weeks (depending
on how early or late in the filing season the return is filed) it takes for
refunds on paper returns.
Free Tax Preparation Services. Free tax preparation services are available
at the Oahu, Hawaii (Hilo Office only), and Kauai District Tax Offices from
January 2, 2003, through April 21, 2003, for taxpayers filing the 2002 resident
short form, Form N-13. This service will be available on a first-come, first-served
basis, Mondays through Fridays (except State holidays), from 8:00 A.M. to
12:00 PM. See below for office locations.
Expect Delays (This Year): It may take just a little longer than usual to
process paper returns filed in 2003. The Department successfully implemented
its new income tax processing system in November, and will need to manually
re-enter name and address information this first year even if a mailing label
is used. More tax return information than in previous years also will be
manually entered adding to the processing time.
No delays are expected for e-filed returns, which bypass all manual processing.
Expect Better Customer Service: More information will be available to staff
about income tax returns processed through the new system. Combined with
increased automation, staff can immediately answer more questions about tax
returns and quickly resolve problems that may occur.
Obtaining Forms and Information: Taxpayers who require additional forms or
information have a number of convenient ways to do so.
- Department Website
– State tax forms, including forms with writable fields that allow users
to type in their entries before printing, and a number of publications and
other informational resources are available on the Department’s website at
- Forms by Fax/Mail
Service – Call the Forms By Fax/Mail Service (available 24 hours a day, 7
days a week) at 808-587-7572, or toll-free from the neighbor islands and
continental U.S. at 1-800-222-7572.
- 2002 Tax Information
CD – The 2002 Tax Information CD will be available in late January at a cost
of $10. The CD will contain the 2002 tax forms with writable fields, Tax
Information Releases, Announcements, Tax Facts, brochures, and more. Call
the Forms by Fax/Mail number to request an order form.
- Tax forms, information
and assistance are available at any district tax office, Mondays through
Fridays (except State holidays), from 7:45 A.M. to 4:30 PM. Locations, telephone
numbers, and e-mail addresses are listed below.