The Senate Ways and Means Committee is holding a hearing Wednesday to consider whether to remove a tax break for real estate investments trusts in Hawaii.

The trusts own over $13 billion worth of property in Hawaii, including luxury hotels and lucrative malls, but aren’t required to pay corporate income taxes.

Senate President Donna Mercado Kim introduced Senate Bill 118, which is scheduled to be heard by Sen. Jill Tokuda’s committee at 9 a.m. in Room 211.

Senator Jill Tokuda Ways Means Chair

Sen. Jill Tokuda (right) speaks along with Sen. Donna Mercado Kim (left)

Cory Lum/Civil beat

Advocates for the bill say Hawaii is missing out on valuable tax revenue. Opponents argue that the measure would discourage real estate investment.

House lawmakers discarded a companion measure earlier this month, so it’s up to the Senate whether or not the bill progresses this year.

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