PERMITS AND REGULATORY REQUIREMENTS FOR AQUACULTURE IN HAWAIʻI
Appendix
General assistance with business start-up related questions in Hawaiʻi can be obtained from the following agencies:
Department of Agriculture
Aquaculture and Livestock Services
99-941 Halawa Valley Street
Aiea, Hawaiʻi 96701-5602
Phone: 808-483-7130
Fax: 808-483-7110
E-mail: todd.e.low@hawaii.gov
Web site: http://hawaii.gov/hdoa/adp
Department of Commerce and Consumer Affairs (DCCA)
Business Action Center
1130 North Nimitz Highway
Second Level, Suite A-220
Honolulu, Hawaiʻi 96817
Phone: 808-586-2545
Fax: 808-586-2544
E-mail: bac@dcca.hawaii.gov
Web site: http://hawaii.gov/dcca/bac/contact (Neighbor Island locations are on the web site)
Hawaiʻi Business Express: http://hbe.ehawaii.gov
Business Registration Division, DCCA
King Kalakaua Building
335 Merchant Street, Rm. 201
Honolulu, Hawaiʻi 96813
Phone: 808-586-2727
Fax: 808-586-2733
Web site: http://hawaii.gov/dcca/breg/contact/
Department of Business, Economic Development & Tourism (DBEDT)
No. 1 Capitol District
120 250 S. Hotel Street
Honolulu, Hawaiʻi 96813
Phone: 808-586-2423
Web sites:
http://hawaii.gov/dbedt/
http://hawaii.gov/dbedt/business/start_grow/
U.S. Small Business Administration (SBA)
Hawaiʻi District Office
500 Ala Moana Blvd., Suite 1-308
Honolulu, Hawaiʻi 96850
Phone: 808-541-2990
Fax: 808 541-2976
Web site: https://www.sba.gov/district/hawaii
All basic federal business regulations apply in Hawaiʻi as they do in other states. These requirements include: 1) Social Security taxes; 2) wage-and-hour laws; 3) child labor laws; 4) income reporting; 5) employee certification of citizenship; and 6) other employment practices. A full discussion of all these requirements is beyond the scope of this guide. Aquaculture businesses are encouraged to check in with the appropriate federal agency for a complete and detailed list of requirements.
- Federal Employer Identification Number – The federal ID number is issued by the Internal Revenue Service (IRS) and is necessary when establishing a business account at banks and to report income for state and federal taxes.
Hawaiʻi Office, IRS
300 Ala Moana Blvd
Honolulu, Hawaiʻi 96850
Phone: 808-524-5953
Web site: https://www.irs.gov/charities-non-profits/hawaii
- Social Security and Income Tax – Employers are required to collect and withhold federal Social Security and income taxes. In addition to withholding Social Security taxes, an employer must also pay Social Security on employee’s wages. Businesses should consult the IRS for detailed reporting requirements and forms. (See above IRS contact information)
- Federal Unemployment Tax – In addition to the state unemployment tax, an employer must pay federal unemployment tax, if the employer pays an employee more than $1500 in a calendar year. (See above IRS contact information)
- Employee Certification of Citizenship – Employers are required to certify the citizenship or legal status of their employees by completing a Form I-9 Employee Certification of Citizenship form. The law requires employers to hire only U.S. citizens and aliens lawfully authorized to work in the U.S.
U.S. Citizenship and Immigration Services
500 Ala Moana Blvd.
Building 2, Room 400
Honolulu, Hawaiʻi 96813
Web site: http://www.uscis.gov/portal/site/uscis
- Aquaculture License – Aquaculturists that grow a species regulated by the fisheries laws of the state must have an Aquaculture License issued by the Division of Aquatic Resources (DAR), DLNR. The aquaculturists must be qualified as a commercial business by DAR and the license is to fish, possess, rear and sell any aquatic life whose fishing, possession or sale is prohibited by closed season, minimum size, or bag limit (§187A-3.5, HRS, Aquaculture License and license to sell prohibited aquatic life).
Division of Aquatic Resources
Department of Land and Natural Resources
1151 Punchbowl Street, Room 330
Honolulu, Hawaiʻi 96813
Phone: 808-587-0100
Email: DLNR.aquatics@hawaii.gov
Web site: https://dlnr.ehawaii.gov/cmls-public/app/welcome.html
- State Income Tax – Employers are required to collect and withhold state income tax from employees. Information and forms for this purpose can be obtained from the Department of Taxation.
Taxpayer Services
Department of Taxation
P.O. Box 259
Honolulu, Hawaiʻi 96809-0259
Phone: 808-587-4242 or 1 800 222-3229 (Toll Free)
Web site: https://tax.hawaii.gov/
(Neighbor Islands phone numbers can be found on the web site)
- General Excise Tax – Virtually anyone doing business in Hawaiʻi must obtain a General Excise Tax (GET) License from the Department of Taxation. The one-time fee is $20.00. Most businesses must pay a GET of 4.712% of gross revenue. For certain wholesale transactions the rate is only one-half per cent. The tax is on the business, not on the consumer, and must be paid monthly, quarterly, or semi-annually, depending upon the level of gross revenues. A use tax may also apply to imported tangible personal property upon which the GET is not paid. Both taxes are deductible from one’s state income tax liability. Information and report forms can be obtained from the Department of Taxation. (See Hawaii Department of Taxation contact information above)
- Business Registration – Businesses other than sole proprietorships must register with the State Department of Commerce and Consumer Affairs. The fees range from $3.00 for a general partnership to $50.00 minimum for corporations.
Business Registration
Department of Commerce and Consumer Affairs
King Kalakaua Building
335 Merchant Street, Room 201
Honolulu, Hawaiʻi 96813
Phone: 808-586-2727
Fax: 808-586-2733
Web site: http://hawaii.gov/dcca/breg/contact/
- Various Employee Insurance Requirements:
- Unemployment Insurance – Hawaiʻi imposes an unemployment tax on any employer with one or more employees. The tax rates vary from year to year, and for ongoing business rates also vary according to the claims experience of the employer. Information on current rates and other requirements can be obtained from the State Department of Labor and Industrial Relations (DLIR), Unemployment Insurance Division.
- Workers Compensation Insurance – Employers are required to carry Workers Compensation Insurance. This coverage must provide medical benefits and certain scheduled wage replacement benefits for work-related injury and illness. The cost of the insurance must be borne entirely by the employer and cannot be passed on to the employee. Failure to provide the required insurance can result in a penalty. Information on benefits and other requirements can be obtained from the DLIR, Disability Compensation Division.
- Temporary Disability Insurance – Employers must provide Temporary Disability Insurance (TDI) or sick leave benefits to eligible workers who are unable to work due to a non-work related disability or injury. Generally, workers are not eligible unless they have been working at least 20 hours per work for at least 14 weeks and earning at least $400 during the four most recent calendar quarters. An employer can meet the requirements by purchasing the insurance from an approved carrier or providing an approved sick leave policy. The employer may collect part of the cost of providing the TDI form covered employees. Failure to provide the required coverage can result in a penalty. Information on benefits and other requirements can be obtained from the DLIR, Disability Compensation Division.
- Prepaid Health Care Insurance – Employers must provide covered workers with medical and hospital care for non-work-related illness or injury by purchasing an approved health care plan, by adopting an approved self-insured health care plan, or negotiating a collective bargaining agreement which provides benefits at least equivalent to the required benefits. The employer may collect part of the cost of providing the coverage from covered employees. The requirements do not apply to seasonal agricultural workers and certain types of workers. The employee share can be partially deducted from the employee’s wages. Failure to provide the required coverage can result in a penalty. Information on benefits and other requirements can be obtained from the DLIR, Disability Compensation Division.
Department of Labor and Industrial Relations
830 Punchbowl Street
Honolulu, Hawaiʻi 96813
Phone: 808-586-8842
E-mail: dlir.director@hawaii.gov
Unemployment Insurance Division
Phone: 808-586-8971
Web site: http://hawaii.gov/labor/ui
(Check the web site for the locations of many branch offices)
Disability Compensation Division
Phone: 808 586-9161 (TDI)
Phone: 808 586-9166 (WCI)
Phone: 808 586-9188 (PHCI)
Web site: https://labor.hawaii.gov/dcd/ https://labor.hawaii.gov/dcd/forms/guidelines/
https://labor.hawaii.gov/dcd/contact/
(Note agency has many branch offices listed)
- Business License – In certain circumstances, a business license from the county may be required. Contact the finance departments in the respective counties for further information on their requirements.
- Property Tax – Real property, land and improvements are subject to property tax. No property tax is assessed on business inventory or other personal property. Assessments are at 100% of “fair market value.” Various rates apply for land improvements and classes of property. Contact the finance department in the respective counties for further information on their requirements.
Department of Budget and Fiscal Services
City and County of Honolulu
530 S. King Street, 2nd Floor
Honolulu, Hawaiʻi 96813
Phone: 808-768-3900
Web site: http://www1.honolulu.gov/budget/
Department of Finance
County of Hawaiʻi
25 Aupuni Street, Suite 2103
Hilo, Hawaiʻi 96720-4245
Phone: 808-961-8234
Web site: https://www.hawaiicounty.gov/departments/finance
Department of Finance
County of Maui
200 South High Street
Kalana O Maui Bldg., 2nd Floor
Wailuku, Hawaiʻi 96793
Phone: 808-270-7844
Web site: http://www.co.maui.hi.us/index.aspx?nid=507
Department of Finance
County of Kauaʻi
4444 Rice Street, Suite 220
Lihue, Hawaiʻi 96766
Phone: 808-241-4200
Web site: http://www.kauai.gov/finance
Department of Agriculture – Aquaculture and Livestock Services
99-941 Halawa Valley Street
Aiea, Hawaiʻi 96701-5602
Phone: 808-483-7130
Fax: 808-483-7110
E-mail: hdoa.alss@hawaii.gov
Web site: http://hawaii.gov/hdoa/adp
Pacific Region Aquaculture and Coastal Resource Hub
2525 Correa Road, HIG 238
Honolulu, HI 96822
Phone: (808) 956-7031
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