In 2024, Hawaii’s affiliate nexus rules require out-of-state businesses to collect GET if they have affiliates in Hawaii that promote sales or hold ownership interests. Updated criteria include:

• Increased Thresholds: $200,000 in sales or 300 transactions annually.

• Expanded Definitions: Affiliates include related entities with indirect ownership and marketing roles.

• Marketplace Facilitators: Must collect GET on behalf of affiliates, ensuring comprehensive compliance.

• Stricter Reporting: Enhanced record-keeping and documentation requirements.

• Enhanced Enforcement: Increased audits and penalties for non-compliance.

These updates ensure broader compliance and capture more taxable transactions from affiliate relationships.