Hawaii operates on a "modified origin" system through its General Excise Tax (GET). Unlike destination-based systems, GET is technically a tax on the business for conducting activities in Hawaii, regardless of the buyer’s location. This means businesses must collect GET based on their own location's rate, not the buyer's. For example, a business in Oahu applies the Oahu GET rate (4.75%) even if the buyer is elsewhere in Hawaii. This ensures comprehensive tax coverage across all business activities within the state.