Hawaii General Excise Tax (GET): 4.0% state rate + 0.5% Honolulu county surcharge, resulting in a maximum pass-on rate of 4.7120% (effective until December 31, 2030). Applies to all business activities on gross receipts.
Short-term rentals (less than 180 days) are generally only permitted in resort-zoned areas and specific apartment-zoned areas in Honolulu to preserve housing for long-term residents.
Hawaii's unique General Excise Tax (GET) system, which taxes gross receipts rather than net income, requires careful revenue classification and strategic planning to avoid overpayment, especially when combined with county surcharges.
These are the dominant professions and industries in Honolulu. Click your profession to see your personalized write-off list.
These strategies are especially powerful or unique for Honolulu residents and business owners. Click any strategy to learn more.
Running an LLC or business in Honolulu? Here's what you need to know about local taxes, entity structure, and the write-offs that matter most in this city.
Honolulu business owners face both Hawaii state taxes and Honolulu-specific local taxes. Understanding both layers is essential for effective tax planning.
Common questions about Honolulu business taxes, LLC structure, and local write-offs — answered by Uncle Kam's tax advisors.
Honolulu does not have a local individual income tax. You'll pay Hawaii state income taxes but no additional city-level income tax. Focus your planning on maximizing federal and Hawaii state deductions.
Book a Free Strategy Call →Hawaii General Excise Tax (GET): 4.0% state rate + 0.5% Honolulu county surcharge, resulting in a maximum pass-on rate of 4.7120% (effective until December 31, 2030). Applies to all business activities on gross receipts.
Book a Free Strategy Call →The top write-offs for Honolulu business owners include: S-Corp election to reduce self-employment taxes, home office deduction, vehicle and mileage, Section 179 equipment expensing, business meals and entertainment, retirement contributions (Solo 401k/SEP-IRA), and Honolulu-specific deductions like local business taxes paid. Uncle Kam's advisors know the Honolulu tax landscape — book a free strategy call.
Book a Free Strategy Call →Forming an LLC in Honolulu provides liability protection and pass-through taxation. For most Honolulu business owners earning over $60,000 net profit, adding an S-Corp election to your LLC can save thousands in self-employment taxes annually. Hawaii has specific LLC requirements and fees — get a personalized recommendation from Uncle Kam's tax advisors.
Book a Free Strategy Call →Short-term rental rules in Honolulu: Short-term rentals (less than 180 days) are generally only permitted in resort-zoned areas and specific apartment-zoned areas in Honolulu to preserve housing for long-term residents. From a tax perspective, STR owners can deduct mortgage interest, property taxes, insurance, repairs, depreciation, and management fees. The short-term rental loophole may allow you to offset W-2 income with rental losses if you qualify.
Book a Free Strategy Call →Yes — Honolulu has designated Opportunity Zones where investors can defer and reduce capital gains taxes by investing in qualified opportunity funds (QOFs). This is one of the most powerful tax deferral strategies available for real estate and business investors in Honolulu. Uncle Kam can connect you with advisors who specialize in OZ investments.
Book a Free Strategy Call →Freelancers and self-employed professionals in Honolulu can reduce taxes by: electing S-Corp status (saves $5k–$20k/year for most), maximizing the home office deduction, deducting all business-related expenses, contributing to a Solo 401(k), and using the QBI deduction (up to 20% of qualified business income). Honolulu's combined state and local tax burden makes these strategies even more valuable. Get a free tax review from Uncle Kam.
Book a Free Strategy Call →This city guide is commonly used by the following taxpayer profiles. Click to see all strategies for your situation.
Uncle Kam connects you with vetted CPAs and tax advisors in Honolulu, Hawaii who specialize in maximizing write-offs for your business type.
Find Honolulu Tax Professionals →Uncle Kam clients save an average of $5,000–$40,000/year. The strategies that make that possible are unlocked on a free strategy call.
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