Editorial Calls for Amending Hawaii Rental Car Tax

A new $1-per-day rental car tax doesn't help a visitor industry facing drops in arrivals, according to an editorial in the Honolulu Star Bulletin.

The tax, expected to collect about $25 million in less than three years, is billed as a way to finance consolidated rental car facilities at Hawaii airports. But the editorial states that the $25 million falls far short of what such facilities cost at other airports. That leads to questions about whether a higher rate will follow.

The measure instituting the new tax also extended for three more years a $3 daily rental motor vehicle surcharge that was to have decreased to $2 this year. The editorial states that the measure also is vague about the facilities projects themselves, which airports would get them and when.

Integrated facilities with shuttles and other services would be positive for visitors and rental car companies, but legislators need to tighten up the law to direct funds to the projects at which the tax is aimed, the Star Bulletin editorial states.

Comment On This Story

Comment: (Max. 10000 characters)  
Please leave blank:
* Please note that every comment is moderated.

Newsletter: Sign up to receive latest news, articles, and much more.

Read the latest

Auto Focus Blog: A blog covering fleets, auto rental and the business of cars

Why Do We Visit Capitol Hill?

Members of the American Car Rental Association met with U.S. senators, representatives, and their aides last week. Here’s why bringing the message to this forum matters.

The Customer Isn’t Always Right

Not caving to a customer with a blatant agenda may have consequences, especially for a small rental company that relies on stellar Yelp ratings to advertise. But business integrity must prevail.

The Truth Behind Compact Van Depreciation

Why are large van values holding up better than their compact counterparts, and will it last?

Job Finder: Access Top Talent. Fill Key Positions.