N-30 / N-70 Sch. D: Capital Gains and Losses (Form N-30 / N-70NP) (Revision 2018)
Hawaii · Hawaii DoTax · Used for tax years 2024, 2025, 2026
Hawaii Schedule D is filed with Form N-30 or N-70NP to report capital gains and losses. It separates short-term and long-term amounts and includes sales or exchanges of capital assets, gains on distributions of appreciated capital assets to shareholders, and the corporation’s sha
Who files this form
Use Schedule D with Form N-30 or Form N-70NP to report:
- Sales or exchanges of capital assets.
- Gains from distributions of appreciated capital assets to shareholders.
- The corporation’s share of capital gains and losses from partnerships, S corporations, estates, and trusts.
Sales or exchanges of property other than capital assets, including property used in a trade or business, generally belong on Schedule D-1. For property involuntarily converted because of a casualty or theft, use federal Form 4684.
What you'll need
Have the corporation’s name, federal employer identification number, and these details for each reported sale: property description, acquisition date, sale date, gross sales price, and cost or other basis plus selling expenses.
Depending on the transactions reported, you may also need:
- Federal Form 6252 for installment-sale gains.
- Federal Form 8824 for like-kind exchanges. Complete and attach it to the tax return for each exchange.
- Schedule K-1 or other information supplied by a partnership, S corporation, estate, or trust.
- Schedule D-1 for the IRC section 1231 gain entered on line 9.
- An attached computation for an unused capital loss carryover on line 6.
- An attached explanation if the corporation uses a basis other than the property’s actual cash cost.
How to file
File Schedule D with Form N-30 or Form N-70NP. The supplied text does not give a mailing address or e-file instructions.
- Report capital assets held one year or less in Part I and assets held more than one year in Part II.
- Combine the short-term and long-term results on line 16.
- If line 16 is a gain, enter it on Form N-30, page 1, line 6(a). If it is a loss, follow the capital loss carryforward instructions.
- Attach the required supporting computations, explanations, and forms that apply to your transactions.
Common mistakes
- Assuming the federal capital gains rules match Hawaii’s rules. The printed warning says Hawaii has not adopted the federal changes to capital gains classification and taxation enacted in 1997.
- Leaving out exchanges with no gain or loss. The instructions say corporations generally should report sales and exchanges, including like-kind exchanges, even when there is no gain or loss.
- Claiming a prohibited loss. No loss is allowed for a wash sale of stock or securities or for a transaction between related persons.
- Deducting capital losses beyond capital gains or carrying a net capital loss back. The instructions prohibit both.
Questions people ask
What is the difference between short-term and long-term capital gains and losses?
Short-term applies to capital assets held one year or less. Long-term applies to capital assets held more than one year.
Can a corporation carry a net capital loss forward?
Yes. A net capital loss may be carried forward five years as a short-term capital loss. For a qualified high technology business, the carryforward period is 15 years. No carryback is allowed.
Where do capital gain distributions from a RIC or REIT go?
Enter them on line 14, regardless of how long the corporation owned the stock in the regulated investment company (RIC) or real estate investment trust (REIT).
How are like-kind exchanges reported?
Complete and attach federal Form 8824 to the tax return for each exchange. For exchanges of capital assets, enter any gain or loss from that form in column (f) on line 3 or line 11.