Property tax relief after disasters and Maui wildfires

A. When real property is damaged or destroyed because of a tidal wave, earthquake, volcanic eruption, hurricane, fire, or other disaster as defined in section 127A-2, Hawaiʻi Revised Statutes, or because of floodwaters overflowing the banks or walls of a river or stream, the director may remit taxes due on the property, to the extent and in the manner set forth as follows: 1. The director must determine whether the property was wholly destroyed, or was partially destroyed or damaged, and in the latter event must determine what percentage of the value of the whole property was destroyed or otherwise lost by reason of the disaster. 2. If the property was wholly destroyed, the amount remitted must be the portion of the total tax on the property for the tax year in which the destruction occurred constituting the portion of the tax year remaining after the destruction. 3. If the property was partially destroyed or was damaged, the percentage of the value destroyed or otherwise lost, determined as provided in subsection A, must be applied to the total tax on the property, and of the amount of tax so determined there must be remitted the portion constituting the portion of the tax year remaining after the partial destruction or damage. 4. An application for a remission of taxes under this section must be filed with the director on or before June 30th of the tax year involved, or within sixty days after the occurrence of the disaster, whichever is later. Any amount of taxes authorized to be remitted by this section, which has been paid, must be refunded upon proper application out of real property tax collections. B. Real property that was completely destroyed by the August 2023 Maui wildfires, as determined by the director, is exempt from real property taxes, including the minimum real property tax, through June 30, 2026. C. Real property that is located in a red or yellow reentry zone in Lahaina, as established by the County following the August 2023 Maui wildfires in its reentry map of impacted areas, or for which access was restricted to certain hours by the government as of November 15, 2023, is exempt from real property taxes, including the minimum real property tax, for the period July 1, 2023, through June 30, 2024. D. Real property that was located in a red or yellow reentry zone in Lahaina, as established by the County following the August 2023 Maui wildfires in its reentry map of impacted areas, or for which access was restricted to certain hours by the government, as determined by the director as of January 1, 2024, is exempt from real property taxes, including the minimum real property tax, for the period July 1, 2024, through June 30, 2026. ( Ord. No. 5727 , § 2, 2024; Ord. No. 5582 , § 1, 2023; Ord. No. 5561 , § 1, 2023; Ord. 1076 § 3 (part), 1980: prior code § 6-1.36)