In re the Tax Appeal of Busk Enterprises, Inc.

OPINION OF THE COURT BY

MARUMOTO, J.

The issue on this appeal is whether the taxpayers-appellants should be assessed at the lower excise tax rate of one-half percent or at the be tail rate of four percent. Taxpayers in this court, and the court below, urge that they qualify for the wholesale rate because they provide services through an “intermediary” and thus fall within HRS § 237-18(c), which provides that:

“Where a photoprinter (or the like), tire recapper, auto painter, or any other person engaged in the business of cleaning, repairing, or otherwise restoring to useful service tangible…