HRS §235-123
How S corporation income is adjusted for shareholders
Read the official text at capitol.hawaii.gov ↗This section explains how S corporation shareholders' shares of income are treated for Hawaii taxes. It says whether the income is adjusted using corporate or individual tax rules, depending on where you live and where the income comes from. It also says the income is treated as the corporation's, not yours.
everyone
The statute, as written — Modification and characterization of income
A copy, taken August 20, 2026. The version published by the Legislature is the one that governs, and it may have changed since. Check it before relying on anything here.
(a) The pro rata share of each resident and nonresident shareholder in the income attributable to the State of an S corporation, for the purposes of section 235-122(c), shall be subject to the modifications to corporate income provided by this chapter. (b) The pro rata share of each resident shareholder in the income not attributable to the State of an S corporation, for the purposes of section 235-122(c), shall be subject to the modifications to individual income provided by this chapter. (c) S corporation items taken into account by a shareholder pursuant to section 235-122(c) shall be characterized as though received or incurred by the corporation and not its shareholder.
Sections this one refers to
§235-122 How S corporations and their owners are taxed in Hawaii
LawTrove is not legal advice. The summary above is a computer-generated restatement — the authoritative text is the official version linked above.