The residency status is determined at the time of the disposition of the property, so if the person is a non-resident on the day escrow closes, the 5% HARPTA will be withheld unless an exemption applies. The following are considered residents and therefore exempt from the HARPTA withholding: 1.Individuals domiciled in the State of Hawaii 2.Individuals who reside in the State. Every individual who resides in the State more than 200 days of the taxable year in the aggregate is presumed to be a resident of the State. 3.Corporations incorporated in the State of Hawaii, or foreign corporations properly registered to transact business in Hawaii. 4.Partnerships or Limited Liability Companies and Limited Liability Partnerships (LLC and LLP) formed in Hawaii and foreign partnerships and foreign LLCs and LLPs registered to transact business in Hawaii. See below for the exception for single member LLCs 5.Resident Trusts. 6.Resident Estates. Exception for single member LLCs: If the seller is a single member LLC, the residency is determined based on the residency of the person who is the single member. It does not matter where the entity is incorporated. If it is an LLC organized in Hawaii but the single member is a non-resident, then HARTPA must be withheld, even if the LLC is registered to do business in Hawaii. If it is a non-Hawaii organized single member LLC, but the single member is a Hawaii resident, then HARPTA does not get withheld.