What is the sales tax rate in Hawaii?
The sales tax rate in Hawaii is known as the General Excise Tax (GET), which applies to the gross income of businesses engaged in certain activities. The GET rate varies depending on the island and business activity. For most of Hawaii, the rate is 4%, while on Oahu it is 4.5%. However, there is an additional Transient Accommodations Tax (TAT) of 10.25% that applies to hotel accommodations and short-term rentals. It is important to note that Hawaii does not have a traditional statewide sales tax like other states. Instead, the GET is collected from businesses and may indirectly affect consumer prices. For specific tax rate details, individuals and businesses are encouraged to consult the Hawaii Department of Taxation.
Answered May 3, 2024
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