Does Hawaii Charge Sales Tax on Freight?

General Excise Tax (GET) in Hawaii

Hawaii charges a 4 percent general excise tax (GET) on sales. However, Hawaii does not typically charge GET on shipping if the shipping charges are separately stated on the invoice. If unsure whether you need to pay GET on shipping, check with a tax professional or the Department of Taxation.

GET is levied on a business for the sale of goods and some services. The tax is charged to the seller and remitted to state tax authorities. Sellers may choose to pass the charge on to customers. GET is administered by the Hawaii Department of Taxation (DOTAX).

Online Tax Services

Hawaii Tax Online lets you e-file tax returns, make payments, view letters, manage accounts, and conduct common transactions online with DOTAX.

Tax Exemptions and Sales Tax Holidays

Hawaii does not exempt any types of purchase from the state GET. Most states exempt necessities like food.

During sales tax holidays, you do not charge GET and buyers expect to not be charged. Check Hawaii’s website for current sales tax holidays.

Impact on Prices and Shipping Regulations

Goods can be cheaper in Hawaii because of the GET versus sales tax that is charged to businesses, who often pass it on to consumers.

If you live in Hawaii and ship goods to a Hawaii customer, you must remit GET on the entire gross proceeds of the sale to the state. This includes any shipping.

Hawaii does not charge the GET during sales tax holidays. Check the state’s website for current holiday dates.

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