What is the sales tax in Hawaii?
Combined rate, the threshold that makes you register, and the rules that decide what you charge.
The Hawaii state sales tax rate is 4%. Local rates average 0.5%, for a combined average of 4.5%, and reach 4.5% in the highest jurisdictions. A remote seller has to register once sales into Hawaii pass $100,000 in sales or 200 separate transactions into the state over the previous or current calendar year. Charge the rate at the buyer’s address.
- State rate
- 4%
- Average local rate
- 0.5%
- Combined average
- 4.5%
- Highest in the state
- 4.5%
Do you have to register?
Economic nexus threshold
$100,000 or 200 transactions
Measured over the previous or current calendar year. Either test triggers registration on its own, so a high volume of low-price orders can cross the line before revenue does. Physical presence — staff, an office, or stock sitting in a 3PL in the state — creates the obligation immediately, before any threshold applies.
What you charge, and on what
- Which address sets the rate Charge the rate at the buyer’s address.
- Is shipping taxed Taxable. Delivery charges are part of gross income and are taxable.
- Clothing Taxed at the same rate as everything else.
- Groceries Taxed at the full rate
- Marketplace sales Amazon, Walmart, Etsy, and eBay collect and remit on the orders they process. Sales through your own store stay yours to collect on.
- Registering Register directly with the Hawaii Department of Taxation. This state runs its own registration.
Worth knowing about Hawaii
- Hawaii levies a general excise tax on the seller’s gross income, not a sales tax on the buyer. It applies to almost everything, including groceries and services.
- Sellers may pass on up to 4.712% on Oahu rather than 4.5%, because the tax is itself taxable.
Hawaii sales tax questions
What is the sales tax rate in Hawaii?
The state rate is 4%. Local jurisdictions add an average of 0.5% on top, which puts the typical combined rate at 4.5% and the highest at 4.5%. Because the rate follows the address, the figure you charge depends on where the order is going.
When does a remote seller have to register in Hawaii?
Once sales into the state pass $100,000 in sales or 200 separate transactions into the state over the previous or current calendar year. Either test triggers registration on its own, so a high volume of small orders can create the obligation before revenue does. Physical presence, including inventory held at a 3PL in the state, creates the obligation immediately, before any threshold applies.
Is shipping taxable in Hawaii?
Taxable. Delivery charges are part of gross income and are taxable.
Is clothing taxed in Hawaii?
Clothing is taxed at the same rate as other goods. Hawaii does not exempt apparel.
Where the authoritative number is
Rates and thresholds change, and the Hawaii Department of Taxation sets them. Check there before you register or file.
Other states with a $100,000 threshold
Know before you cross the line
The threshold above is easy to read and hard to track, because it counts sales from your store, your marketplaces, and your wholesale accounts together. Endless keeps those on one source of truth, so what you have sold into Hawaii this year is a number you already have rather than one you assemble after the fact.
This page is a reference, not tax advice. Confirm registration and filing decisions with the Hawaii Department of Taxation or a tax professional.