Information subject to change
without notice.
(808) 768-3205
Email: bfstreasmailbox@honolulu.gov
REAL PROPERTY
TAX CREDIT FOR
HOMEOWNERS
Tax Year July 1, 2023 – June 30, 2024
Refer to the Revised Ordinance of
the City and County of Honolulu,
ROH 1990 Section 8-13.
ity and County of Honolulu ROH
1990 Section 8-13
EMAIL OR SEND COMPLETED TAX RELIEF
APPLICATION TO THE TAX RELIEF SECTION BY
SEPTEMBER 30, 2022 TO:
EMAIL:
MAIL:
City and County of Honolulu
Department of Budget and Fiscal Services
Division of Treasury, Tax Relief Section
Standard Financial Building
715 South King St. Room 505
Honolulu, HI 96813
Privacy Notification
The principal purpose for requesting information is to administer the Real Property Tax
Credit for Homeowners, an ordinance of the City and County of Honolulu. The applicant’s
social security number must be included to provide proper identification to permit
processing of the application and to efficiently administer the tax credit program.
Furnishing all of the appropriate information requested on the forms and accompanying
instructions is required to enable the Director of Budget and Fiscal Services to determine
eligibility. Failure to furnish the specified information requested on the forms may result
in the denial of the application, delay in the approval of the property tax credit, or other
disadvantage to the applicant. Information furnished on the claim for tax credit may be
transferred to other governmental agencies as authorized by law. Individuals have the
right to review their own records maintained by the Dept. of Budget and Fiscal Services.
The official responsible for maintaining the information is the Director of the Dept. of
Budget and Fiscal Services, City and County of Honolulu, 530 South King St. Honolulu, HI
96813.
Paid for by the taxpayers of the City and County of Honolulu.
IF YOU NEED MORE INFORMATION, PLEASE CALL
THE TAX RELIEF SECTION AT (808) 768-3205.
OR VISIT OUR WEBSITE AT:
https://www.honolulu.gov/treasury
DEPARTMENT OF BUDGET AND FISCAL SERVICES
DIVISION OF TREASURY
ACCOUNTS RECEIVABLE BRANCH
TAX RELIEF SECTION
Important Information
Definition of Income for the Tax Credit Program:
Section 8.13.1 of the Revised Ordinance of Honolulu 1990 “Income” means the sum of
federal total income as defined in the Internal Revenue Code of the United States of
1954, as amended, and all nontaxable income, including but not limited to (1) tax-
exempt interest received from the federal government or any of its instrumentalities,
(2) the gross amount of any IRA distribution, pension or annuity benefits received
(including Railroad Retirement Act benefits and veterans disability pensions), excluding
rollovers, (3) all payments received under the federal Social Security and state
unemployment insurance laws, (4) nontaxable contributions to public or private
pension, annuity and/or deferred compensation plans, and (5) federal cost of living
allowances. All income set forth in the tax return filed by the titleholder, whether the
tax return is a joint tax return or an individual tax return, shall be considered the
titleholder’s income. “Income” does not include nonmonetary gifts from private sources,
or surplus foods or other relief in kind provided by public or private agencies.
Information provided in the application and supporting documents must be complete
and accurate. Erroneous or incomplete information may result in disqualification and
prevent the applicant from receiving the real property tax credit.
Applications filed by September 30, 2022 will be used to apply real property tax credits
to real property taxes due July 1, 2023 to June 30, 2024.
You must notify the Dept. of Budget and Fiscal Services, Div. of Treasury, Tax Relief
Section immediately if the Eligibility Requirements listed under “Who Should File an
Application”, are no longer met or if the title to the property has been transferred.
Failure to provide proper notification may result in the revocation of the real property
tax credit and other penalties.
Applicants will be notified in writing by December 31, 2022 if their application is denied
and will have the right to appeal.
Penalties (ROH) Section 8-13.5. (a) Any person who (1) files a fraudulent application or
attests to any false statement with the intent to defraud the city or evade the payment
of real property taxes or any part thereof: Or (2) in any manner intentionally deceives
or attempts to deceive the city, shall be guilty of a violation and be subject to a criminal
fine of not more than $2,000, in addition to being responsible for paying any
outstanding taxes, interest and penalties. (b) During the tax year for which a tax credit
was granted to an owner of property pursuant to this article, if the owner fails to notify
the city within 30 days that the requirements of (ROH) Section 8-13.2 (a) are no longer
met, in addition to the consequences provided in ROH Section 8-13.6, the owner shall
be subject to a fine of $200.
Revocation of Credit (ROH) Section 8-13.6. During the tax year for which a tax credit is
granted pursuant to this article if: (a) Title to the property is transferred to a new
owner by gift, sale, devise, operation of law, or otherwise, except when title is
transferred to a qualified surviving spouse, or (b) The requirements of Section 8-13.2
(a) are no longer met, then the credit shall be revoked and the owner shall owe
property taxes in the amount of the tax credit. The additional taxes shall be billed and
shall be deemed delinquent if not paid within 30 days after the date of mailing of the
tax bill, or if the credit is revoked within the tax year for which the credit was granted,
within 30 days after the date of mailing of the tax bill, or on or before the next
installment date, if any, for such taxes, whichever is later.
CITY AND COUNTY
OF HONOLULU
The City and County of Honolulu offers a real
property tax credit to property owners who
meet certain eligibility requirements. If you
qualify, you are entitled to a tax credit equal
to the amount of taxes owed for the 2022 –
2023 tax year that exceed 3% of the
titleholders’ combined total gross income.
You May Qualify but not Benefit
If the assessed tax for 2022 - 2023 is less than 3% of
total gross income, no tax credit will be applicable.
(See Example 2)
What are the Eligibility Requirements?
Any property owner(s) who applies and meets all the
following eligibility requirements will be granted a real
property tax credit:
1. You must have a home exemption in effect on the
property at the time of application and during the
tax year July 1, 2023 – June 30, 2024.
2. Any of the titleholders do not own any other
property anywhere.
3. Combined total gross income of all titleholders for
the 2021 calendar year does not exceed $60,000.
Gross income includes all taxable and non-taxable
income for the 2021 calendar year.
4. None of the titleholders have violated ROH Sec. 8-
13.5, Penalties, by filing a fraudulent application or
attesting to any false statements with the intent to
defraud the city or evade the payment of real
property taxes or in any manner intentionally
deceives or attempts to deceive the city.
Real Property Tax Credit
For Homeowners
What is the Application Deadline?
September 30, 2022.
Applications must be received at the Division of
Treasury by 4:30 p.m. or postmarked by
September 30, 2022.
How do I get a Tax Credit Application?
Applications will be available at Satellite City Halls
yearly July through September.
Call the Tax Relief Office at (808) 768-3205 and we
will mail you an application.
Download the application online at
https://www.honolulu.gov/treasury
When will the tax credit be applied to my real
property taxes?
If approved, the tax credit will be applied to the
July 1, 2023 – June 30, 2024 tax year.
Important Reminders
-You must apply ANNUALLY for this credit.
-No credit shall apply if the real property taxes
owed, less any other one-time tax credit, are less
than or equal to three percent (3%) of the
combined total gross income of ALL titleholders.
-The amount of taxes owed after applying the tax
credit will not be less than the minimum tax a
year, outlined in Section 8-11.1 Revised
Ordinance of Honolulu 1990.
Example 1
Mr. and Mrs. Joe Aloha applied for the Real Property Tax Credit on
August 30, 2022. Their combined total gross income for 2021 was
$25,000.
Total Gross Income for 2021 of all Titleholders
Multiply total gross income by 3% (x .03)
2022 – 2023 Tax amount for the year
Less 3% of total gross income
Tax Credit Amount to be applied for Tax Year
2023 – 2024.
$ 25,000.00
$ 750.00
$ 2,500.00
$ 750.00
$ 1,750.00
Mr. and Mrs. Aloha met the Real Property Tax Credit
qualifications. Their current tax bill is greater than 3% of total
gross income. They have a tax credit of $1,750 that will be
applied to their 2023 - 2024 taxes.
taxes.
Example 2
Mr. and Mrs. John Mahalo applied for the Real Property Tax Credit
on August 15, 2022. Their combined total gross income for 2021
was $48,000.
Total Gross Income for 2021 of all Titleholders
Multiply total gross income by 3% (x .03)
2022 – 2023 Tax amount for the year
Tax Credit Amount to be applied for Tax Year
2023 – 2024.
$ 48,000.00
$ 1,440.00
$ 1,300.00
$ 0.00
Mr. and Mrs. Mahalo met the Real Property Tax Credit
qualifications. Their current tax bill is less than 3% of total gross
income. They qualify but do not benefit for a tax credit. The
assessed tax is less than 3% of total gross income.
The tax credit will be the difference between
your assessed real property tax and 3 percent of
your total gross income.
