Understanding property tax rates is essential for homeowners, investors, and businesses in Honolulu. The City and County of Honolulu have set the real property tax rates for the fiscal year spanning July 1, 2024, to June 30, 2025. Here’s a breakdown of the current rates and important dates to keep in mind.
Real Property Tax Rates (Per $1,000 Net Taxable Value)
The real property tax rates vary based on property classification:
- Residential – $3.50
- Hotel and Resort – $13.90
- Commercial – $12.40
- Industrial – $12.40
- Agricultural – $5.70
- Preservation – $5.70
- Public Service – $0.00
- Vacant Agricultural – $8.50
- Bed and Breakfast – $6.50
Tiered Property Classifications
Some property classes are taxed at different rates based on assessed value:
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Residential A (Non-Owner-Occupied)
- Tier 1: First $1,000,000 – $4.00
- Tier 2: Amount over $1,000,000 – $11.40
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Transient Vacation Rentals
- Tier 1: First $800,000 – $9.00
- Tier 2: Amount over $800,000 – $11.50
Key Tax Dates to Remember
To stay on top of your real property tax obligations, here are the important dates for the 2024-2025 tax year:
- July 1 – Beginning of the tax year
- July 20 – Annual real property tax bills are mailed
- August 20 – First installment payment deadline
- September 1 – Deadline to apply for property dedications
- September 30 – Deadline to apply for property tax exemptions
- October 1 – Date of assessment for property value
- November 1 - December 15 – Notices of assessment mailed/posted online
- January 15 – Deadline to report exemption changes
- January 20 – Second installment tax bills are mailed
- February 20 – Second installment payment deadline
- June 30 – End of the tax year
What Do These Tax Rates Mean for You?
For homeowners, the standard Residential rate remains at $3.50 per $1,000 of assessed value. However, if your property falls under the Residential A category (non-owner-occupied properties valued over $1 million), expect a higher rate for the portion exceeding the threshold.
For investment properties, such as Transient Vacation Rentals (TVRs) and Bed and Breakfasts (B&Bs), be aware of the tiered tax rates that apply based on assessed value.
For businesses, Commercial and Industrial properties are taxed at $12.40 per $1,000, while Hotel and Resortproperties have the highest rate at $13.90 per $1,000.
Final Thoughts
Honolulu property owners should review their property tax classifications and deadlines to ensure compliance. Missing deadlines for exemptions or payments can lead to higher tax liabilities. If you need assistance or have questions about your property tax, consult with a real estate professional or visit the City and County of Honolulu’s Real Property Assessment Division website.
Would you like help reviewing your property tax classification or planning ahead for next year? Let’s connect!
