TAX CREDIT PROGRAM AND QUALIFYING

Hawaii Act 120 provides a temporary income tax credit for the cost of upgrading or converting a qualified cesspool to a septic tank system or an aerobic treatment unit system, or connecting to a sewer system. A taxpayer may apply for a tax credit of up to $10,000 for each qualified cesspool. Tax credits are available for five years. The tax credit ends in tax year 2020, December 31, 2023. There is a $5,000,000 cap that is available for each tax year. Any taxpayer who is not eligible to claim the credit in a taxable year shall be eligible to claim the credit in the subsequent taxable years from 2017 to 2020.

*tax credit applies to homes within 200 feet of the ocean