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Update Hawaii filing calendar to report marketplace excise tax

Overview

Effective January 1st, 2020, the state of Hawaii has enacted Marketplace Fairness laws. In some instances, businesses that sell through a Marketplace Facilitator do not need to pay retail tax (as that is the responsibility of the Facilitator) but do owe a 0.5% wholesale general excise tax on the sales.

Resolution

If you are subject to the additional 0.5% wholesale general excise tax, please update your filing calendar to indicate this by adding “Yes” to the appropriate field(s).

  1. In AvaTax, go to Returns > All Scheduled Returns.
  2. Find your active HI G-45 filing calendar and select the pencil icon to edit it.
  3. Scroll down to find the question related to marketplace facilitators and the wholesale general excise rate.
    • Quesiton: "Do you make sales in Hawaii through a Marketplace Facilitator and are required to pay the Wholesale General Excise rate on your sales made through the facilitator?"
    • Your selection will determine whether a wholesale tax amount is calculated based on your marketplace transactions, starting 1/1/2020

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  4. Save your changes.