(a) Capital gains and losses from sales of real property located in this State are allocable to this State.

Terms Used In Hawaii Revised Statutes 235-26

  • Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
  • Commercial domicile: means the principal place from which the trade or business of the taxpayer is directed or managed. See Hawaii Revised Statutes 235-21
  • Partnership: A voluntary contract between two or more persons to pool some or all of their assets into a business, with the agreement that there will be a proportional sharing of profits and losses.
  • Personal property: All property that is not real property.
  • Real property: Land, and all immovable fixtures erected on, growing on, or affixed to the land.
  • Sales: means all gross receipts of the taxpayer not allocated under §§ 235-24 to 235-28. See Hawaii Revised Statutes 235-21
  • State: means any state of the United States, the District of Columbia, the Commonwealth of Puerto Rico, any territory or possession of the United States, and any foreign country or political subdivision thereof. See Hawaii Revised Statutes 235-21
(b) Capital gains and losses from sales of tangible personal property are allocable to this State if:

(1) The property had a situs in this State at the time of the sale; or
(2) The taxpayer’s commercial domicile is in this State and the taxpayer is not taxable in the state in which the property had a situs.
(c) Except in the case of the sale of a partnership interest, capital gains and losses from sales of intangible personal property are allocable to this State if the taxpayer’s commercial domicile is in this State.
(d) Gain or loss from the sale of a partnership interest is allocable to this State in the ratio of the original cost of partnership tangible property in the State to the original cost of partnership tangible property everywhere, determined at the time of the sale. If more than fifty per cent of the value of a partnership’s assets consists of intangibles, gain or loss from the sale of the partnership interest shall be allocated to this State in accordance with the sales factor of the partnership for its first full tax period immediately preceding its tax period during which the partnership interest was sold.

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