Question: We purchased our photovoltaic system in 2011. When we filed our federal and state income taxes, we got a refund from the state for $1,500. But I was told that when we file taxes for 2012, we need to include the $1,500 refund from the state as income. Does this make any sense? Why give us a credit for installing an energy-saving photovoltaic system if we must now claim the energy credit as income on next year’s taxes? I called the state tax office and spoke to two different people, and they told me the same thing but they couldn’t tell me why.
Answer: The explanation was given in an October 2010 news release issued by the state Department of Taxation: www6.hawaii.gov/tax/tir/tir10-10.pdf.
The nine-page release boils down to this: The department is “following the Internal Revenue Service’s analysis regarding the tax treatment of the energy tax credit by a taxpayer,” according to a spokeswoman.
It all depends on whether the Renewable Energy Technologies Income Tax Credit is claimed “in a nonrefundable or refundable form.”
Unless you choose otherwise, the credit is considered nonrefundable and is used to offset a taxpayer’s tax liability.
“Where a taxpayer claims the tax credit as nonrefundable, the taxpayer’s tax liability is reduced dollar for dollar,” the spokeswoman said. “Any excess tax credit is carried forward to future tax years until the entire amount has been used.”
However, if you claim the credit as a refund, the credit is first applied to reduce your tax liability for the year in which the credit is claimed, with the excess credit refunded as a cash payment.
The excess credit that is refunded may be subject to the income tax if you itemized deductions in the year in which the tax credit was claimed.
Taxpayers who itemize their deductions should refer to the State and Local Income Tax Refund Worksheet in the IRS Form 1040 instructions to determine the taxable portion of the refund, the spokeswoman said.
Question: Are divorce records in Hawaii public record? If so, how can one get a copy?
Answer: Divorces are a matter of public record in Hawaii.
You can get a copy from the state Department of Health or the state Judiciary, depending on when the divorce took place.
The Health Department has divorce records from July 1951 to December 2002, with subsequent records kept in the court where the divorce took place.
For information on how to obtain a copy, go to hawaii.gov/health/vital-records/vital-records/vital_records.html or call 586-4539 or 586-4542 during regular business hours.
Unless sealed by the court, you can obtain court documents, including divorce decrees, by going to the state Judiciary’s website, www.courts.state.hi.us. The website allows you to search for court cases after 1984.
Click on “Search Court Records,” which allows you to search for statewide nonconfidential Circuit (civil and criminal cases) and Family Court cases via the Ho‘ohiki website; and civil, criminal and traffic case records at District Court via the eCourtKokua website.
If you want copies of documents in Circuit or Family Court cases, you need to put your request in writing. The Judiciary says “email is the most efficient and fastest process”: hoohikihelp@courts.hawaii.gov.
On Oahu you can obtain copies of civil, criminal or Family Court documents by going to the 1st Circuit Court Records Rooms, first floor, Kaahumanu Hale, 777 Punchbowl St. For family court cases only, go to the Ronald T.Y. Moon Kapolei Court Complex, 4675 Kapolei Parkway.
Record room hours are 8 a.m. to 4:15 p.m. weekdays.
Mahalo
To that special lady who turned in my fanny pack and smartphone to the Enchanted Lake Safeway on Monday, June 25. I can’t thank you enough. Your simple, honest act averted unimaginable amounts of aggravation and expense for me. Good karma is coming your way! — John M., Kailua
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Write to “Kokua Line” at Honolulu Star-Advertiser, 7 Waterfront Plaza, Suite 210, 500 Ala Moana Blvd., Honolulu 96813; call 529-4773; fax 529-4750; or email kokualine@staradvertiser.com.
