# Hawaii HB 1850: RELATING TO CAPITAL GAINS TAX.

Hawaii HB 1850, RELATING TO CAPITAL GAINS TAX., is a 2025–2026 Regular Session (Year 2) House bill sponsored by Jackson D. Sayama (Democratic); status failed, last action 2026-03-12 (Received from House (Hse. Com. No. 299).); PRIA reads it as touching household money (as of 2026-11-01).

- Canonical: https://policyrisk.com/state-bill/HI-HB1850-2026
- As of: 2026-11-01
- Plain-text twin of the page above; the HTML and this file carry the same facts.

## Facts
- Bill: Hawaii HB 1850
- State: Hawaii
- Session: 2025–2026 Regular Session (Year 2)
- Title: RELATING TO CAPITAL GAINS TAX.
- Status: failed
- Chamber: House
- Introduced: 2026-01-23
- Last action: 2026-03-12, Received from House (Hse. Com. No. 299).
- Sponsor: Jackson D. Sayama (Democratic)
- Cosponsors: 2
- Subjects: Capital Gains Tax, Corporations, WAM
- Touches household money: yes
- Roll calls: 4 (102 yes, 17 no in all)
- Economic provisions PRIA read: 0

## Summary

Taxes capital gains tax for individuals, estates, and trusts as ordinary income, except for capital gains that are eligible for a county homeowner's exemption. Repeals the alternative capital gains tax for corporations. Applies to taxable years beginning after 12/31/2026. Effective 7/1/3000. (HD2)

## Bill overview

No economic impacts identified for this bill.

## Sponsors and cosponsors

- Sponsor: Jackson D. Sayama (Democratic), House
- Cosponsor: Greggor Ilagan (Democratic), House
- Cosponsor: Gregg Takayama (Democratic), House

## Roll call votes

| Date | Chamber | Motion | Result | Yes | No | Other |
| --- | --- | --- | --- | --- | --- | --- |
| 2026-03-10 | House | House Floor Vote | pass | 41 | 8 |   |
| 2026-03-03 | House | The committee on FIN recommend that the measure be PASSED, WITH AMENDMENTS. The ... | pass | 15 | 1 |   |
| 2026-02-17 | House | Passed Second Reading as amended in HD 1 and referred to the committee(s) on FIN... | pass | 40 | 7 |   |
| 2026-02-04 | House | The committee on ECD recommend that the measure be PASSED, WITH AMENDMENTS. The ... | pass | 6 | 1 |   |

## Actions (17)

- 2026-03-12: Received from House (Hse. Com. No. 299). (Senate)
- 2026-03-12: Passed First Reading. (Senate)
- 2026-03-12: Referred to WAM. (Senate)
- 2026-03-10: Passed Third Reading as amended in HD 2 with Representative(s) Reyes Oda, Souza voting aye with reservations; Representative(s) Alcos, Amato, Garcia, Gedeon, Kong, Matsumoto, Muraoka, Shimizu voting no (8) and Representative(s) Pierick excused (1). Transmitted to Senate. (House)
- 2026-03-06: Reported from FIN (Stand. Com. Rep. No. 1117-26) as amended in HD 2, recommending passage on Third Reading. (House)
- 2026-03-06: Forty-eight (48) hours notice Tuesday, 03-10-26. (House)
- 2026-03-03: The committee on FIN recommend that the measure be PASSED, WITH AMENDMENTS. The votes were as follows: 15 Ayes: Representative(s) Todd, Takenouchi, Hartsfield, Hussey, Keohokapu-Lee Loy, Kitagawa, Kusch, Lee, M., Miyake, Morikawa, Perruso, Templo, Yamashita; Ayes with reservations: Representative(s) Gedeon, Reyes Oda; 1 Noes: Representative(s) Alcos; and Excused: none. (House)
- 2026-03-02: The committee(s) on FIN recommend(s) that the measure be deferred until 03-03-26. (House)
- 2026-03-02: Bill scheduled for decision making on Tuesday, 03-03-26 2:00PM in conference room 308 VIA VIDEOCONFERENCE. (House)
- 2026-02-27: Bill scheduled to be heard by FIN on Monday, 03-02-26 2:00PM in House conference room 308 VIA VIDEOCONFERENCE. (House)
- 2026-02-17: Reported from ECD (Stand. Com. Rep. No. 294-26) as amended in HD 1, recommending passage on Second Reading and referral to FIN. (House)
- 2026-02-17: Passed Second Reading as amended in HD 1 and referred to the committee(s) on FIN with Representative(s) Amato, Reyes Oda, Souza voting aye with reservations; Representative(s) Alcos, Garcia, Gedeon, Matsumoto, Muraoka, Pierick, Shimizu voting no (7) and Representative(s) Cochran, Lee, M., Poepoe excused (3). (House)
- 2026-02-04: The committee on ECD recommend that the measure be PASSED, WITH AMENDMENTS. The votes were as follows: 6 Ayes: Representative(s) Ilagan, Hussey, Holt, Tam, Templo, Yamashita; Ayes with reservations: none; 1 Noes: Representative(s) Gedeon; and Excused: none. (House)
- 2026-01-30: Bill scheduled to be heard by ECD on Wednesday, 02-04-26 10:00AM in House conference room 423 VIA VIDEOCONFERENCE. (House)
- 2026-01-26: Introduced and Pass First Reading. (House)
- 2026-01-26: Referred to ECD, FIN, referral sheet 2 (House)
- 2026-01-23: Pending introduction. (House)

## Bill text

- Bill Text: [PDF](https://data.capitol.hawaii.gov/sessions/session2026/bills/HB1850_HD2_.pdf)
- HB1850_HD1: [HTML](https://data.capitol.hawaii.gov/sessions/session2026/bills/HB1850_HD1_.HTM)
- HB1850_HD2: [HTML](https://data.capitol.hawaii.gov/sessions/session2026/bills/HB1850_HD2_.HTM)
- Original: [HTML](https://data.capitol.hawaii.gov/sessions/session2026/bills/HB1850_.HTM), [PDF](https://data.capitol.hawaii.gov/sessions/session2026/bills/HB1850_.PDF)

## Related bills

- SB 847: RELATING TO PSYCHOLOGISTS. (became law)
- SB 2338: RELATING TO HOUSING. (signed)
- HB 2344: RELATING TO SCHOOL FACILITIES. (signed)
- HB 2023: RELATING TO TRANSPORTATION. (signed)
- HB 2021: RELATING TO TRANSPORTATION. (signed)
- SB 2964: RELATING TO PROPERTY INSURANCE. (signed)

## Sources
- [Bill Text (PDF)](https://data.capitol.hawaii.gov/sessions/session2026/bills/HB1850_HD2_.pdf)
- [HB1850_HD1 (HTML)](https://data.capitol.hawaii.gov/sessions/session2026/bills/HB1850_HD1_.HTM)
- [HB1850_HD2 (HTML)](https://data.capitol.hawaii.gov/sessions/session2026/bills/HB1850_HD2_.HTM)
- [Original (HTML)](https://data.capitol.hawaii.gov/sessions/session2026/bills/HB1850_.HTM)
- [Original (PDF)](https://data.capitol.hawaii.gov/sessions/session2026/bills/HB1850_.PDF)

## Related
- [SB 847: RELATING TO PSYCHOLOGISTS.](https://policyrisk.com/state-bill/HI-SB847-2026)
- [SB 2338: RELATING TO HOUSING.](https://policyrisk.com/state-bill/HI-SB2338-2026)
- [HB 2344: RELATING TO SCHOOL FACILITIES.](https://policyrisk.com/state-bill/HI-HB2344-2026)
- [HB 2023: RELATING TO TRANSPORTATION.](https://policyrisk.com/state-bill/HI-HB2023-2026)
- [HB 2021: RELATING TO TRANSPORTATION.](https://policyrisk.com/state-bill/HI-HB2021-2026)
- [SB 2964: RELATING TO PROPERTY INSURANCE.](https://policyrisk.com/state-bill/HI-SB2964-2026)
- [Hawaii bills](https://policyrisk.com/states/hawaii/bills)
- [Hawaii state hub](https://policyrisk.com/states/hawaii)
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Source: PRIA, https://policyrisk.com/state-bill/HI-HB1850-2026 (as of 2026-11-01).