Hawaii: Sales Tax Handbook
What purchases are exempt from the Hawaii sales tax?
While the Hawaii sales tax of 4.00% applies to most transactions, there are certain items that may be exempt from taxation. This page discusses various sales tax exemptions in Hawaii.
Sales Tax Exemptions in Hawaii
Examples of exempt items in the state are any liquor, and any items which are specifically intended for resale.
Many states have special, lowered sales tax rates for certain types of staple goods - such as groceries, clothing and medicines. Restaurant meals may also have a special sales tax rate. Here are the special category rates for Hawaii:
These categories may have some further qualifications before the special rate applies, such as a price cap on clothing items. Groceries are generally defined as "unprepared food", while pre-prepared food may be subject to the restaurant food tax rate.
Candy and soda may be included or excluded from any preferential tax rate depending on whether or not the state considers them to be a "grocery":
Are services, shipping, installation, etc taxable in Hawaii?
The taxability of transactions involving services, shipping, and installation of tangible goods can be slightly complicated with various laws applying to slightly different situations. To learn more about how these transactions, and other more complicated situations, are subject to the Hawaii sales tax see the Hawaii sales taxability FAQ page.
Other tax-exempt items in Hawaii
This table lists a number of additional categories of goods and services that are exempt from Hawaii's sales tax. For a list that also shows taxable items, see the list of taxable and nontaxable items in Hawaii.
|Medical Goods and Services|
|Medical Devices||EXEMPT *|
|General Occasional Sales||EXEMPT *|
* See notes in category taxability page for details
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