Hawaii Combined Monthly Return of Liquor Tax and Report of Wine Gallons and Dollar Volume of Taxable Sales or Uses

Combined Monthly Return of Liquor Tax and Report of Wine Gallons and Dollar Volume of Taxable Sales or Uses
Form M-18 (Rev 2022) Combined Monthly Return of Liquor Tax and Report of Wine Gallons and Dollar Volume of Taxable Sales or Uses (Chapter 244D)
Clear Form

FORM M-18

STATE OF HAWAII — DEPARTMENT OF TAXATION

COMBINED MONTHLY RETURN OF
LIQUOR TAX AND REPORT OF WINE
GALLONS AND DOLLAR VOLUME OF
TAXABLE SALES OR USES

(REV. 2022)

	

M18_I 2022A 01 VID01

THIS SPACE FOR DATE RECEIVED STAMP

	  Amended Return

PRINT OR TYPE

Name		
Month Ending (MM-YY)

		
DBA or C/O		
County Liquor License No. (if applicable)
Mailing Address (Number and Street)

Hawaii Tax I.D. No. (LQ or LN-###-###-####-##)
		
		
L––
City or town, State, and Postal/ZIP Code
Federal Employer I.D. No./Social Security No.
		

CATEGORIES OF LIQUORS AND SALES  (a)

DOLLAR VOLUME  (b) WINE GALLONS  (c) TAX RATE  (d)

  1.  Distilled Spirits:
	Military	
.............................................................
	
All Others..........................................................
		
Less:  Nontaxable and Exempt Sales*......
		
Net Taxable Sales......................................
 2.  Sparkling Wine:
	Military..............................................................
	
All Others..........................................................
		
Less:  Nontaxable and Exempt Sales*......
		
Net Taxable Sales......................................
 3.  Still Wine:
	Military..............................................................
	
All Others..........................................................
		
Less:  Nontaxable and Exempt Sales*......
		
Net Taxable Sales......................................
 4.  Cooler Beverages:
	Military..............................................................
	
All Others..........................................................
		
Less:  Nontaxable and Exempt Sales*......
		
Net Taxable Sales......................................
 5.  Beer (Other Than Draft):
	Military..............................................................
	
All Others..........................................................
		
Less:  Nontaxable and Exempt Sales*......
		
Net Taxable Sales......................................
 6.  Beer (Draft):
	Military..............................................................
	
All Others..........................................................
		
Less:  Nontaxable and Exempt Sales*......
		
Net Taxable Sales......................................

TAX  (c x d)

$5.98 per
wine gallon

1

$2.12 per
wine gallon

2

$1.38 per
wine gallon

3

$0.85 per
wine gallon

4

$0.93 per
wine gallon

5

$0.54 per
wine gallon

6

 7.  Total Tax Due........................................................................................................................ (Add lines 1 through 6) †

7

 8.  Penalty...........................................................................................................................................................................

8

 9.  Interest...........................................................................................................................................................................

9

10.  Subtotal................................................................................................................................ (Add lines 7 through 9) †

10

11.  Other Adjustments (Attach Schedule)............................................................................................................................

11

12.  Total Amount Due................................................................................................................ (Line 10 minus line 11)†

12

13.  Payment Amount (Attach check or money order payable to “Hawaii State Tax Collector”).........................................

13

14.  AMENDED RETURNS ONLY - Amount paid (if overpayment, enter in parentheses) on original return.......................

14

15.  AMENDED RETURNS ONLY - Balance due (if refund, enter in parentheses) with amended return............................

15

*Attach Schedule

Mailing address: Hawaii Department of Taxation, P.O. Box 259, Honolulu, HI 96809-0259

DECLARATION:  I declare, under the penalties set forth in section 231-36, HRS, that this is a true and correct return, prepared in accordance with the provisions of the
Liquor Tax Law.

Signature____________________________________________________________ 	Title______________________________ 	Date________________________

ID NO 01

FORM M-18 (REV. 2022)

FORM M-18
(REV. 2022)

General Instructions
Chapter 244D, HRS, imposes a liquor tax upon dealers (as defined in section 244D-1, HRS) who sell or use
liquor in Hawaii.
Section 244D-6, HRS, provides that each month every
dealer subject to the liquor tax shall file Form M-18 showing all sales of liquor by gallonage and dollar volume in
each liquor category defined in section 244D-1, HRS,
and taxed under section 244D-4(a), HRS, made by the
dealer during the preceding month, showing separately
the amount of the nontaxable sales, and the amount of
the taxable sales, and the tax payable thereon. Form
M-18 shall also show the amount of liquor by gallonage
and dollar volume in each liquor category defined in section 244D-1, HRS, and taxed under section 244D-4(a),
HRS, used during the preceding month which is subject
to tax, and the tax payable thereon.
The liquor tax is paid only once upon the same liquor
and does not apply to liquor held for sale by a permittee
but not yet sold (a permittee is a dealer who holds a
permit, issued by the Department, to sell liquor).

Definition of Certain Terms Used in
Chapter 244D, HRS
“Dealer” means the holder of a manufacture’s license,
a wholesaler’s license, or a brewpub’s license under the
liquor law.
“Distilled spirits” means an alcoholic beverage obtained by distillation of fermented agricultural products,
and includes alcohol for beverage use, spirits of wine,
whiskey, rum, brandy, and gin, including all dilutions and
mixtures thereof, but does not include beer, draft beer,
cooler beverage, or wine.
“Sparkling wine” means champagne and any other effervescent wine charged with more than 0.392 grams of
carbon dioxide per 100 milliliters of wine, whether artificially or as a result of secondary fermentation of wine
within the container.
“Still wine” means any nonsparkling wine and shall
include those wines containing not more than 0.392
grams of carbon dioxide per 100 milliliters of wine.
“Cooler beverage” means either (1) a wine cooler
containing wine and more than fifteen per cent added
natural or artificial blending material, such as fruit juices,
flavors, flavorings, or adjuncts, water (plain, carbonated,
or sparkling), colorings, or preservatives, and which
contains less than seven per cent of alcohol by volume;
or (2) a malt beverage cooler containing beer and added
natural or artificial blending material such as fruit juices,
flavors, flavoring, colorings, or preservatives and which
contains less than seven per cent of alcohol by volume.
“Beer” means any alcoholic beverage obtained by the
fermentation or any infusion or decoction of barley, malt,
hops, or any other similar product, or any combination
thereof in water, and includes ale, porter, brown, stout,
lager beer, small beer, and strong beer but does not
include sake, known as Japanese rice wine, or cooler
beverage.
“Draft beer” means beer in an individual container of
seven gallons or more.

Who Must File
Every dealer who sells or uses any liquor in Hawaii must
file Form M-18.

PAGE 2

INSTRUCTIONS
Note: If a person who does not have a liquor permit issued by the Department, e.g., an out-of-state direct wine
shipper, sells or uses liquor in Hawaii, that person has
to file Form M-18, like a dealer, and pay the liquor tax
(if the tax has not already been paid on the liquor sold
or used).

When to File
Form M-18 must be filed by the 20th day of each month
whether or not any tax is due. If the due date falls on a
Saturday, Sunday, or legal holiday, file by the next regular workday.
The official U.S. Post Office cancellation mark will be
considered primary evidence of the date of filing of tax
documents and payments. Hawaii has adopted the Internal Revenue Code provision to allow documents and
payments delivered by a designated private delivery
service to qualify for the “timely mailing treated as timely
filing/paying rule.” The Department will conform to the
Internal Revenue Service listing of designated private
delivery services and type of delivery services qualifying for the “timely mailing treated as timely filing/paying
rule.” Timely filing of mail which does not bear a U.S.
Post Office cancellation mark will be determined by reference to other competent evidence.

Failure to File Electronically – Form M-18 MUST be
filed electronically, unless you obtain a waiver. (Use
Form L-110 to apply for a waiver.) The penalty for failure
to file electronically is 2% of the total tax.
Interest – Interest at the rate of 2/3 of 1% per month
or part of a month shall be assessed on unpaid taxes
and penalties beginning with the first calendar day after the date prescribed for payment, whether or not that
first calendar day falls on a Saturday, Sunday, or legal
holiday.

Signature
The return must be signed and dated by a person who is
authorized to sign Form M-18.

Specific Instructions
•	

If your mailing address has changed, you must notify the Department of the change by completing
Form ITPS-COA, Change of Address Form, or log in
to your Hawaii Tax Online account at hitax.hawaii.
gov. Failure to do so may prevent your address from
being updated, any refund due to you from being
delivered (the U.S. Postal Service is not permitted
to forward your State refund check), and delay important notices or correspondence to you regarding
your return.

Where to File
Effective for taxable periods beginning on or after September 1, 2019, Form M-18 MUST be filed electronically
at hitax.hawaii.gov.
You may also mail Form M-18 with payment to:
Hawaii Department of Taxation
P. O. Box 259
Honolulu, Hawaii 96808-0259

Address – If your address is outside the United
States or its possessions or territories, enter the
information on the line for “City or town, State,
and Postal/ZIP Code” in the following order: city,
province or state, postal code, and the name of
the country. Do not abbreviate the country name.

•	

In computing dollar volume, exclude federal and
state excise taxes.

IMPORTANT: A penalty of 2% of the total tax will be assessed if this return is not filed electronically, unless a
waiver (Form L-110) is approved.

•	

Carry wine gallonages to two decimal places. Round
up decimals of .005 or larger. Round down decimals
of .004 or less.

Electronic Funds Transfer (EFT)

•	

Submit separate schedules for nontaxable sales,
exempt sales, and other adjustments. Each nontaxable sale should be separately shown by designating name of the purchaser and applicable item number of nontaxable sales indicated below in parentheses before the names of the purchasers:

Section 231-9.9, HRS, authorizes the Department to
require those taxpayers whose tax liability for a particular tax exceeds $100,000 during the past year to pay
that tax by EFT instead of by check. The Department
reviews the filing records of taxpayers and will mail notices to taxpayers who met this criterion. Any taxpayer
who does not meet the criterion may still voluntarily pay
by EFT. For more information on paying taxes by EFT,
see Tax Information Release Nos. 95-6 and 99-1.
IMPORTANT: A penalty of 2% of the tax due will be assessed if a taxpayer who is required to make payments
by EFT does not do so without reasonable cause. If an
EFT payment is dishonored, a $25 service fee will be
assessed.

Penalty and Interest
Late Filing of Return – The penalty for failure to file a
return on time is assessed on the tax due at a rate of 5%
per month, or part of a month, up to a maximum of 25%.
Failure to Pay Tax After Filing Timely Return – The
penalty for failure to pay the tax after filing a timely return
is 20% of the tax unpaid within 60 days of the prescribed
due date.
Failure to Pay by EFT – The penalty for failure to pay
by EFT for taxpayers who are required to pay by EFT is
2% of the tax due.

•	

(1)	

Liquor sold by one permittee to another permittee;

(2)	

Liquor which under the Constitution and laws
of the United States cannot be legally subjected to Hawaii’s liquor tax so long as and to the
extent to which the State is without power to
impose the tax;

(3)	

Liquor sold for sacramental purposes or the
use of liquor for sacramental purposes, or any
liquor imported pursuant to section 281-33,
HRS;

(4)	

Alcohol sold pursuant to section 281-37, HRS,
to a person holding a purchase permit or prescription therefor, or any sale or use of alcohol, so purchased, for other than beverage
purposes;

(5)	

Liquor sold and shipped to a point outside the
State for use or resale outside the State pursuant to section 244D-4.3, HRS.

Amended Returns – If you are filing an amended
return, check the “Amended Return” box at the top
of Form M-18. Complete your amended return using
corrected amounts through line 12. Attach Schedule
AMD, Explanation of Changes on Amended Return.