QUESTION: I am sure that I will be owing state taxes this year, so I want to know, can I wait until July to pay? I figure if the governor can make the taxpayers wait until August for a refund, then they should be able to wait until July for my payment. I hope it is not a double standard, because a lot of people out there could use more time to make their payments.

ANSWER: You can wait until July to pay any taxes you might owe, but you will be penalized for the delay.

Under current law, taxpayers will have to pay interest and other applicable penalties if the amount due is not paid by the April 20 filing deadline, said Denise Inouye, supervising income tax specialist for the state Department of Taxation's Rules Office.

It might be a double standard, but it's also set by law that the governor, through the director of taxation, can make you wait for a refund. More on that later.

“;In general, income tax is a pay-as-you-go tax,”; Inouye explained. “;As taxpayers earn or receive income during the year, income taxes should be paid through withholding or estimated tax payments.”;

Once they complete their income tax filings, taxpayers will know whether they've already paid all taxes due, she said. If not, the balances are due with the tax returns.

Gov. Linda Lingle announced in a news release last month that all 2009 state income tax refunds would be delayed until July 1 to mitigate the state's projected $721 million revenue shortfall for the fiscal year that ends June 30. The move would give the state a one-time savings of about $275 million.

Basically, state law allows the director of taxation to approve a refund voucher within 90 days from the due date (April 20) or the date the income tax return is filed, whichever is later, and the refund check to be mailed 45 days from the date of the director's approval.

If those time limits are met, no interest is paid. If not, then interest will be paid.

According to Lingle's news release, refunds will be sent beginning in July on a “;first-in-first-out basis.”; That means people who file early will receive refunds first.

Tax officials advise taxpayers to have their refunds deposited directly into their bank accounts to get their refunds faster. They can do this by providing a bank routing number, account number and type of account on the returns.

Beginning in July, taxpayers may contact the Taxpayer Services Call Center during business hours at 587-4242 or (800) 222-3229 (toll-free) to find out the status of their refunds.

MAHALO

To Mr. Tua. At 2:30 p.m. Tuesday, Feb. 23, we were on our way to pick up our grandchildren at two different schools when we had a flat tire on the H-1 freeway. We were lucky to be able to drive to the westbound University Avenue cutoff road. Mr. Tua, a student and football player on the University of Hawaii team from California, although heading to a meeting, came to our assistance and professionally changed our tire. Without his help, we never would have picked up our grandchildren on time that day. Mahalo to him. — Ray and Shigeko

(Thanks to Star-Bulletin reporter Jason Kaneshiro and UH sports media relations director Derek Inouchi, we were able to ascertain the good Samaritan was Antwan “;Tua”; Mahaley, one of 23 seniors on last year's football team.)

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Write to “;Kokua Line”; at Honolulu Star-Bulletin, 7 Waterfront Plaza, Suite 210, 500 Ala Moana Blvd., Honolulu 96813; call 529-4773; fax 529-4750; or e-mail .(JavaScript must be enabled to view this email address).