General Excise Tax Nexus in Hawaii: What Online Sellers Need to Know

The Short Answer

Hawaii doesn't have a sales tax — it has a General Excise Tax (GET), which is a gross receipts tax on the seller's business activity. The GET applies to virtually everything you sell, including services, SaaS, and digital goods. The threshold is $100,000 in gross income from Hawaii business activities. Four counties have different surcharge rates.

Economic Nexus Threshold

• Dollar threshold: $100,000 in gross income from business activities in Hawaii
• Transaction threshold: 200 or more separate transactions (confirm current rules)
• Measurement period: Preceding or current calendar year
• Effective date: July 1, 2018 (one of the earliest post-Wayfair rules)

Does Hawaii Count Marketplace Sales Toward Your Threshold?

Hawaii marketplace facilitators must collect and remit GET on their facilitated transactions. Whether those facilitated sales count toward your own threshold should be confirmed — Taxero evaluates this during onboarding.

What Taxable Products Look Like in Hawaii

Hawaii GET rates vary by county, each with its own surcharge on top of the state base rate — check the Hawaii Department of Taxation's rate lookup for your buyer's exact county rate.

The GET applies to virtually all business receipts — tangible goods, services, and digital products. SaaS, streaming, downloads — all taxable under GET. There is no "digital goods exemption" in Hawaii.

Wholesale/resale transactions: taxable at a separate, lower wholesale rate.

How to Register in Hawaii

• Portal: hitax.hawaii.gov (Hawaii Tax Online)
• Cost: Free
• Note: Register for "General Excise Tax" — not sales tax. Different terminology, different forms.

Filing Requirements

Monthly, quarterly, or semi-annual based on liability. File Form G-45 (periodic) and Form G-49 (annual). Due date: 20th of the following month.

What Happens If You Don't Register

Late filing: greater of $25 or 5% per month, maximum 25%. Late payment: 20% penalty.

How Taxero Handles Hawaii

Hawaii's GET is structurally different from sales tax and requires a different workflow. Taxero handles GET registration (not "sales tax" registration), applies county-specific surcharges based on your buyer's county, and manages G-45 periodic filings. For SaaS sellers: GET applies to your software revenue in Hawaii — this is different from states like California and Florida where SaaS is exempt.

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