Hawaii Property Tax

Hawaii property tax or property tax in Hawaii is dealt with and managed by the counties. The properties in Hawaii are classified into six major groups according to their best and most efficient use and are taxed accordingly. The Article 11, Section 19-90 of Chapter 19 of the Hawaii County Code states that tax rates should be set before or on the 20th of June of the year that falls before the year on which the property tax needs to be collected. These classifications of property in Hawaii are as follows:

Single family and two-family residential property

Commercial property

Agricultural property

Industrial property

Three or more family residential, apartment, hotel and resort property

Conservation property

The property tax rates in the county of Hawaii are as follows:

Class of property	Tax on building	Tax on land
Improved Residential	$8.10	$8.10
Unimproved Residential	$8.10	$8.10
Agricultural	$8.35	$8.35
Industrial	$9.00	$9.00
Commercial	$9.00	$9.00
Apartment	$8.10	$8.10
Conservation	$8.55	$8.55
Homeowner	$8.55	$8.55
Hotel and Resort	$9.00	$9.00

[All the figures are the rate of tax per $1,000 of net taxable building and net taxable land.]

While calculating the tax on property in Hawaii, the value of the land on which taxation would be imposed is calculated. Land is used to four broad uses in Hawaii. They are rural, urban, conservation and agricultural. The Land Use Commission of Hawaii decides what land falls in which category. While evaluating agricultural land, the following factors are taken into consideration:

Rent
The nature of the agricultural use to which the land is put
Productivity of lad
Shape and size of land
Quality of soil
Accessibility and transportation facilities available
Availability of water and its quality

Hawaii property tax also includes a rollback tax if the land in use experiences a change in classification from rural to urban or the other way round. If land in use is subdivided into units of less than or equal to five acres, then also this tax is imposed.