Hawaii Business Incentives

In Hawaii, business incentives are diverse and comprehensive.

Hawaii State and its top employer, Honolulu County, offer a wide range of Hawaii business incentives to constantly attract and retain good paying jobs for its highly skilled workforce.

Honolulu County provides a single agency jurisdiction, straightforward registration, well-organized processing and simple filing fees. Information on registering your business can be found at businessregistration.com

Tax Cuts

• Banks and financial institutions have to pay only a single business tax.
• Government taxation only at the state and local level.
• Hawaii's "Internet Freedom Act" falls under the income tax law, general excise tax and use tax law as a six year moratorium on any discriminatory tax on electronic commerce or Internet access.
• No general excise tax for locally manufactured goods including computer software produced for export.
• No personal property taxes.
• No state tax for companies manufacturing capital goods for export.
• No state taxes on furniture, equipment, inventory or machinery.
• No stock transfer tax.
• No unincorporated business tax.

Other reasons for establishing your business in Honolulu include:

Enterprise Zones Program

A joint state-county effort, to stimulate job creation and economic diversification, in areas where they are most appropriate or needed. For certain types of businesses that satisfy the EZ hiring and other requirements, the program offers valuable benefits, including state and county tax reduction, for up to seven years.

High Technology Incentives

Hawaii has the most progressive investment tax credit in the country. For Qualified High Technology Businesses, this incentive offers 100% return on cash investments on a front-loaded basis over five years.

Workforce Training Funds

The Employee Training Fund (ETF) allows individual employers to send their employees and themselves for job related training classes. This program is administered by the Hawaii Department of Labor and Industrial Relations. The Oahu WorkLinks also offer training, recruitment and financial assistance to employers in search of employees.

Foreign Trade Zone #9

Companies operating in the foreign trade zone can take advantage of shifts in tariff schedule, defer or avoid customs duty, lessen import quota risks, obtain "Made in Hawaii and Made in USA" labeling, avoid drawback expenses and delays, as well as minimize state and local taxes. FTZ also serves as an incubator for small businesses involved in import and export.

Please visit the Government Services, Taxes and Incentives Section under Economic Research & Info for a detailed description of these incentives.