Hawaii Transient Accommodations Tax - Time Share Occupancy Registration

Transient Accommodations Tax - Time Share Occupancy Registration
Form TA-42, Rev 2018, Time Share Occupancy Worksheet - Calculation of Total Fair Market Rental Value
Clear Form

FORM TA-42	
(REV. 2018)	

STATE OF HAWAII — DEPARTMENT OF TAXATION

	

TIME SHARE OCCUPANCY WORKSHEET —
CALCULATION OF TOTAL FAIR MARKET RENTAL VALUE

	

(Do NOT file this worksheet with the Department of Taxation.  Keep it for your records.)

PLAN MANAGER:							PLAN NAME:
HAWAII TAX I.D. NO. : TA _

_ _-_ _ _-_ _ _ _-_ _ 		

UNIT #:

PERIOD OF:

A. OWNER’S NAME

B. TIME INTERVAL
PERIOD (Ex. 1/1 - 1/14)

C. NUMBER OF DAYS
Occupied
(1)

Not
Occupied
(2)

Rented
(3)

D. DAILY FAIR
MARKET
RENTAL VALUE

1												
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31	 TOTAL. Add lines 1 through 30 of Column E.  Enter here and include total in the applicable district on 	
Form TA-1, Part II, lines 5 through 8.

E. TOTAL FAIR
MARKET RENTAL
VALUE FOR PERIOD
(Col. C(1) x Col. D)
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31

	

		
FORM TA-42

FORM TA-42
INSTRUCTIONS
(REV. 2018)

GENERAL INSTRUCTIONS
Section 237D-2, Hawaii Revised Statutes, provides that the
transient accommodations tax on time share occupancy is
levied on the occupant of a resort time share vacation unit
at the following rates on the unit’s fair market rental value:
(1) 7.25% until December 31, 2015; (2) 8.25% beginning
on January 1, 2016, to December 31, 2016; (3) 9.25%
beginning on January 1, 2017, to December 31, 2017; and
(4) 10.25% beginning on January 1, 2018, to December 31,
2030. The time share plan manager shall be liable for and
pay to the State the transient accommodations tax on time
share occupancy.
The plan manager should not file this worksheet with the
Department of Taxation. The plan manager is required to
maintain this worksheet and to produce it upon request by
the Department of Taxation.

SPECIFIC INSTRUCTIONS
Note: Use this worksheet to calculate the amount of the total
fair market rental value to report on your monthly, quarterly,
or semi-annual transient accommodations — time share
occupancy tax return. Use a separate worksheet for each
unit in the time share plan.
At the top of the worksheet, write:
	 	Your name,
	 	Your Hawaii Tax I.D. Number,
	 	The month, quarter, or semiannual period and year 		
		 covered by the worksheet,
	 	The name of the time share plan, and
	 	The time share unit number.
Column A — Enter the name of the owner. “Owner” means
any person who owns a resort time share vacation interest;
provided that to the extent and for those purposes provided
in an agreement of sale, the vendee under the agreement
of sale shall be considered the owner of the resort time
share vacation interest.
Column B — Enter the time interval period.
Column C(1) — Enter the number of days that the resort
time share vacation unit was (1) occupied by the owner of
the time share unit, or (2) occupied by some other person.
Do not include the number of days that the time share unit
was occupied by some other person who rented the time
share unit from the owner. These days will be included in
Column C(3).
Column C(2) — Enter the number of days that the resort
time share vacation unit was not occupied.
Column C(3) — Enter the number of days that the resort
time share vacation unit was rented by the owner to some
other person.
Example: A is the owner of a resort time share vacation
unit for the time interval period 1/1/2019 — 1/14/2019.
During the period from 1/1/2019 — 1/3/2019, A occupied
the time share unit. During the period from 1/4/2019 —

1/14/2019, A decided not to stay at his time share unit.
Instead, A let his friend B stay at the time share unit for
the period 1/4/2019 — 1/5/2019. During the period from
1/6/2019 — 1/7/2019, the time share unit was not occupied.
During the period from 1/8/2019 — 1/14/2019, A rented the
time share unit to C.
The number of days that should be entered in Column
C(1), days occupied, is 5. This includes the 3 days that A
occupied the time share unit and the 2 days that B occupied
the time share unit.
The number of days that should be entered in Column C(2),
days not occupied, is 2.
The number of days that should be entered in Column C(3),
days rented, is 7.
Column D — Enter the daily fair market rental value of the
unit. Fair market rental value is defined as an amount equal
to one-half of the gross daily maintenance fees that are
paid by the owner and are attributable to the time share unit
located in Hawaii. Gross daily maintenance fees include
maintenance costs, operational costs, insurance, repair
costs, administrative costs, taxes, other than transient
accommodations taxes, resort fees, and other costs
including payments required for reserves or sinking funds.
Amounts paid for optional goods and services such as food
and beverage services or beach chair or umbrella rentals
shall be excluded from fair market rental value.
Example: The gross maintenance fees that are paid by A
for his time interval period 1/1/2019 — 1/14/2019 is $700.
The daily fair market rental value that should be entered in
Column D is $25, calculated as follows:
(1) Divide the gross maintenance fees for the time
interval period 1/1/2019 — 1/14/2019 by 14 to obtain the
daily gross maintenance fee ($700 / 14 days = $50).
(2) Divide the daily gross maintenance fee by 2 to obtain
one-half the gross daily maintenance fee ($50 / 2 = $25).
Column E — Multiply Column C(1) by Column D and enter
the result.
Line 31 — Add lines 1 through 30 of Column E and enter the
total on line 31. Also include this amount in the applicable
district on Form TA-1, Part II.

WHERE TO GET INFORMATION AND FORMS
Taxpayer Services Branch
830 Punchbowl Street
Honolulu, HI 96813-5094
Tel. No.: 808-587-4242
Toll-Free: 1-800-222-3229
Telephone for the Hearing Impaired:
808-587-1418
1-800-887-8974 (toll-free)
Tax information on the Internet: tax.hawaii.gov

	
	
FORM TA-42