Hawaii has published an Announcement regarding its electronic filing mandate for withholding tax returns.
For taxable periods beginning on or after January 1, 2020, employers whose withholding tax liability exceeds $40,000 annually will be required to file returns electronically.
Forms HW-3, HW-14, and HW-26 are all available on Hawaii Tax Online for electronic filing.
Filers will be subject to a 2% penalty on the amount of tax required to be shown on the return for failure to file electronically, unless the failure is due to reasonable cause.
