reglab/statecodes huggingface dataset:
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-3525. Tax credits for vehicle or scrap recyclers participating in End-of-Life Vehicle Solutions (ELVS) Program.

A vehicle recycler or scrap recycling facility, as defined in Section 44-96-185, participating in the End-of-Life Vehicle Solutions (ELVS) Program, authorized pursuant to Section 44-96-185, is entitled to a credit in the amount of two dollars and fifty cents for each mercury switch collected and submitted for disposal in accordance with the ELVS program. These credits may be used to reduce the taxpayer's corporate income tax liability imposed pursuant to Section 12-6-530 or corporate license fees imposed pursuant to Section 12-20-50. Any unused credits may be carried forward to subsequent taxable years until these credits are exhausted.
HISTORY: 2006 Act No. 296, Section 2, eff May 31, 2006.
Editor's Note
2006 Act No. 296, Section 3, provides as follows:
"Unless reinstated by the General Assembly, the provisions of Sections 44-96-185 and 12-6-3525 terminate on June 30, 2013, and these sections and all other laws and regulations governing, authorizing, or otherwise dealing with the removal of mercury switches from vehicles are deemed repealed on that date."
2006 Act No. 296, Section 4, provides as follows:
"This act takes effect upon approval by the Governor and applies to mercury switches removed from vehicles after December 31, 2005, and the credits authorized pursuant to Section 12-6-3525 apply to taxable periods beginning after December 31, 2005."
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-3575. Health insurance tax credits.

(A) An individual taxpayer meeting the eligibility requirements of subsection(B) of this section may claim as a nonrefundable credit against the income tax imposed pursuant to Section 12-6-510 an amount equal to fifty percent of the premium costs the individual paid during the taxable year for health insurance coverage as defined in Section 38-74-10(5), that offers coverage to the individual, his spouse, or a person he was eligible to claim as a dependent on his federal income tax return, or any combination of these people, for the taxable year. The credit allowed by this section may not exceed three thousand dollars for each qualifying individual covered by a policy for which a credit is claimed. A nonresident who claims the credit allowed by this section shall reduce the amount of the credit in the same manner as nonresident individuals reduce personal exemptions and applicable standard deduction or itemized deductions pursuant to Section 12-6-1720(2).
(B) The credit allowed by this section is available only to an individual taxpayer who held a policy of health insurance covering the taxpayer, the taxpayer's spouse, or a person the taxpayer was eligible to claim as a dependent on his federal income tax return, or any combination of these people from an insurance company which has withdrawn from writing health insurance policies in this State and the taxpayer, in replacing the insurance with a policy having substantially the same coverage, has been assigned to the South Carolina Health Insurance Pool established pursuant to Chapter 74 of Title 38 with a higher premium than the former policy.
(C) A credit is not allowed for premium payments that are deducted or excluded from the taxpayer's income for the taxable year, whether the deduction or exclusion was due to a South Carolina modification pursuant to Article 9 of this chapter or was due to an exclusion or deduction, which resulted in a reduction of the taxpayer's federal taxable income.
(D) A taxpayer who claims the credit allowed by this section shall provide information required by the department to demonstrate that the taxpayer is eligible for the credit and that the amount paid for premiums for which the credit is claimed was not excluded from the taxpayer's gross income for the taxable year.
HISTORY: 2005 Act No. 145, Section 59.A, eff June 6, 2005 and by 2005 Act No. 161, Section 43.A, eff June 9, 2005.
Editor's Note
2005 Act No. 145, Section 59.B, provides as follows:
"Upon approval by the Governor, this section is effective for taxable years beginning after 2004."
2005 Act No. 161, Section 43.B, provides as follows:
"This SECTION takes effect upon approval by the Governor and applies to tax years beginning after 2004."
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-3580. South Carolina Quality Forum participants; tax credits for registration fee and participation in organizational performance excellence assessment process; limitation.

(A) Taxpayers that pay an annual fee to the South Carolina Quality Forum to participate in quality programs are allowed a tax credit equal to the annual registration fee.
(B) Taxpayers also are allowed a tax credit equal to fifty percent of any fees charged to participate in the organizational performance excellence assessment process.
(C) Credits earned are limited to the amount of tax liability on the return and are not refundable.
HISTORY: 2005 Act No. 161, Section 39.A, eff June 9, 2005.
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-3582. Income tax credits; agricultural use of anhydrous ammonia.

(A) A resident taxpayer engaged in the business of farming is allowed a refundable income tax credit equal to the amount expended by the taxpayer to obtain the additive required to comply with the provisions of Section 44-53-375(E)(2)(a)(ii) for the agricultural use of anhydrous ammonia. The credit may be claimed against the taxes due pursuant to Section 12-6-510 or 12-6-530.
(B) If no taxes are due, or the credit exceeds the tax liability of the taxpayer for the taxable year, the amount of the credit or excess over the tax liability must be refunded to the taxpayer.
(C) The department may require the documentation it determines necessary for the proper administration of this credit.
HISTORY: 2005 Act No. 127, Section 8.A, eff June 7, 2005, applicable for taxable years beginning after 2004.
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-3589. Tax credit for effluent toxicity testing.

(A) A manufacturing facility may claim a tax credit equal to twenty-five percent for costs it incurs in complying with whole effluent toxicity testing. The credit is allowed only against taxes imposed by Section 12-6-530. Unused credits may be carried forward for ten years.
(B) For purposes of this section, "manufacturing facility" is as defined in Section 12-6-3360(M)(5).
HISTORY: 2006 Act No. 384, Section 2, eff June 14, 2006.
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-3590. Credit for milk producer; promulgation of regulations.

(A) A resident taxpayer engaged in the business of producing milk for sale is allowed a refundable income tax credit based on the amount of milk produced and sold. The credit may be claimed against the taxes due pursuant to Section 12-6-510 or 12-6-530. The credit is allowed when the USDA Class I price of fluid milk in South Carolina drops below the production price anytime during the taxable year.
(B) The Department of Agriculture shall promulgate regulations to implement the provisions of this section, including the establishment of the production price, which must consider the following factors, including but not limited to:
(1) the average price of milk in the top five states where milk is imported to South Carolina;
(2) the average transportation cost of importing milk from those five states; and
(3) the cost of production in South Carolina.
(C)(1) Each qualifying taxpayer is eligible for a ten thousand dollar tax credit based on the production and sale of the first five hundred thousand pounds of milk sold below the production price over a calendar year. The credit must be prorated on a quarterly basis.
(2) For each additional five hundred thousand pounds of milk sold below the production price, there is allowed an additional credit of five thousand dollars, also prorated on a quarterly basis.
(D) If no taxes are due, or the credit exceeds the tax liability of the taxpayer for the taxable year, the amount of the credit or excess over the tax liability must be refunded to the taxpayer. The South Carolina Commissioner of Agriculture shall certify to the Department of Revenue that producers claiming credits have met the eligibility requirements provided in this section.
(E) The credit allowed pursuant to this section must be reviewed after it has been in place for two taxable years.
HISTORY: 2005 Act No. 161, Section 41.A, eff June 9, 2005.
Editor's Note
2005 Act No. 161, Section 41.B, provides as follows:
"Notwithstanding the general effective date of this act, this SECTION is effective for taxable years beginning after 2004."
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-3630. Income tax credits; hydrogen research contributions.

(A) For taxable years beginning after 2007, and before 2012, a taxpayer is allowed a credit against the income tax imposed pursuant to Chapter 6 or 11 of this title, license fees imposed pursuant to Chapter 20 of this title, or insurance premium tax imposed pursuant to Chapter 7, Title 38, or a combination of them, for a qualified contribution made by a taxpayer to the South Carolina Hydrogen Infrastructure Development Fund established pursuant to Chapter 46, Title 11. A contribution is not a qualified contribution if it is subject to a condition or limitation regarding the use of the contribution.
(B) The credit is equal to twenty-five percent of a qualified contribution made by a taxpayer to the fund. The credit must be used against the taxpayer's liability on income taxes, premium insurance taxes, or license fees after the application of all other credits applicable to the taxpayer's tax liability. Unused credits may be carried forward for ten years after the tax year in which a qualified contribution was made. The credit is nonrefundable.
(C) A taxpayer who claims a credit for a qualified contribution pursuant to this section may not claim a deduction for the same qualified contribution.
(D) A taxpayer who claims a credit pursuant to this section must attach to his tax return a copy of a form provided by the authority identifying the taxpayer's qualified contribution. The Department of Revenue may require from the taxpayer additional information identifying the taxpayer's qualified contribution as it considers appropriate.
HISTORY: 2007 Act No. 83, Section 3, eff June 19, 2007.
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-3632. Earned income tax credit.

There is allowed as a nonrefundable credit against the tax imposed pursuant to Section 12-6-510 on a full-year resident individual taxpayer an amount equal to one hundred twenty-five percent of the federal earned income tax credit (EITC) allowed the taxpayer pursuant to Internal Revenue Code Section 32.
HISTORY: 2017 Act No. 40 (H.3516), Section 16.A, eff May 10, 2017.
Editor's Note
2017 Act No. 40, Sections 16.B, 16.C, provide as follows:
"B. Notwithstanding Section 12-6-3632, as added by this SECTION, the percentage of the federal earned income tax credit, for which the credit allowed by Section 12-6-3632 is based, must be phased-in in six equal installments of twenty and eighty-three hundredths percent each tax year until it is fully phased-in in tax year 2023, with the twenty and eighty-three hundredths percent applying in tax year 2018.
"C. This SECTION takes effect upon approval by the Governor and applies to tax years beginning after 2017."
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-3660. Tax credit for costs of retrofitting to make residence more hurricane resistant.

(A) An individual taxpayer is allowed a credit against the tax imposed pursuant to Section 12-6-510 for costs incurred to retrofit, as specified in subsection (B), a structure qualifying as the taxpayer's legal residence pursuant to Section 12-43-220(c) to make it more resistant to loss due to hurricane, rising floodwater, or other catastrophic windstorm event.
(B) In order to qualify for the state income tax credit allowed pursuant to this section, costs must not include ordinary repair or replacement of existing items, and must be associated with those fortification measures defined in subsection (C), and must increase the residence's resistance to hurricane, rising floodwater, or catastrophic windstorm event damage, as defined by the director or his designee by regulation.
(C) The fortification measures qualifying for the state income tax credit allowed pursuant to this section must be promulgated by the Department of Insurance in regulations pursuant to the Administrative Procedures Act.
(D) The tax credit allowed pursuant to this section for any taxable year must not exceed the lesser of:
(1) twenty-five percent of the cost incurred; or
(2) one thousand dollars.
(E) The cost of items that otherwise qualify for the credit that are purchased with grant funds awarded pursuant to Section 38-75-485 are not eligible for this credit if the grants are not included in the income of the taxpayer.
HISTORY: 2007 Act No. 78, Section 3, eff June 11, 2007, applicable to taxable years beginning after December 31, 2006.
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-3665. Credit for sales tax paid on purchases of tangible personal property to retrofit residence.

(A) An individual taxpayer is allowed a credit from the income tax imposed pursuant to Section 12-6-510 for South Carolina state sales or use taxes paid on purchases of tangible personal property used to retrofit the individual's legal residence pursuant to Section 12-6-3660. The credit amount is calculated by multiplying by six percent the purchase price of tangible personal property for which the individual may claim the income tax credit in Section 12-6-3660. The maximum credit allowed under this section is one thousand five hundred dollars.
(B) The cost of items that otherwise qualify for the credit that are purchased with grant funds awarded pursuant to Section 38-75-485 are not eligible for this credit if the grants are not included in the income of the taxpayer.
HISTORY: 2007 Act No. 78, Section 3, eff June 11, 2007, applicable to taxable years beginning after December 31, 2006.
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-3670. Credit for excess premium paid for property and casualty insurance.

(A) An individual taxpayer may claim a credit against the income tax imposed pursuant to Section 12-6-510 for excess premium paid during the applicable tax year for property and casualty insurance, as defined in Articles 1, 3, and 5 of Chapter 75, Title 38, providing coverage on the taxpayer's legal residence pursuant to Section 12-43-220(c).
(B) For the purposes of computing the credit allowed by this section, excess premium paid is the amount by which the premium paid exceeds five percent of the taxpayer's adjusted gross income.
(C)(1) The credit allowed pursuant to this section for any taxable year may not exceed one thousand two hundred fifty dollars.
(2) If the credit allowed under this section exceeds the state income tax liability for the taxable year, any unused credit may be carried forward for five succeeding taxable years.
HISTORY: 2007 Act No. 78, Section 3, eff June 11, 2007, applicable to taxable years beginning after December 31, 2006.
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-3750. Nonrefundable tax credit for processing donated deer for charitable distribution.

(A) There is allowed a nonrefundable credit against taxes imposed by this chapter for a meat packer, butcher, or processing plant licensed or permitted by this State or the United States Department of Agriculture that, during the tax year for which the credit is claimed, had a valid contract with any nonprofit organization to process deer for donation to any charitable organization engaged in distributing food to the needy. No portion of the donated deer may be used by a commercial enterprise. The amount of the credit is seventy-five dollars for each carcass processed and donated. The credit must be claimed in the year earned and may not be carried to any other taxable year.
(B) For the purposes of this section, "process" means to skin, cut, bone, grind, package, or perform any butchering tasks necessary to prepare the meat for distribution and consumption. The processing must take place in a licensed or permitted establishment.
HISTORY: 2008 Act No. 229, Section 1, eff May 22, 2008; 2016 Act No. 280 (H.4765), Section 2.A, eff June 22, 2016.
Editor's Note
2016 Act No. 280, Section 2.B, provides as follows:
"B. This section [amending (A)] applies to income tax years beginning after 2015."
Effect of Amendment
2016 Act No. 280, Section 2, in (A), substituted "There is allowed" for "Beginning with the year 2008, there shall be allowed" in the first sentence, substituted "donated deer may be used" for "donated deer shall be used" in the second sentence, and substituted "the credit is seventy-five dollars" for "the credit shall be fifty dollars" in the last sentence.
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-3770. Repealed.

HISTORY: Former Section, titled Income tax credit for certain solar energy property, had the following history: 2016 Act No. 134 (H.3874), Section 1.A, eff February 16, 2016. Repealed by 2016 Act No. 134 (H.3874), Section 1.B, eff December 31, 2017.
Editor's Note
2016 Act No. 134, Section 1.B, provides as follows:
"B. This section takes effect in income tax years beginning after 2015. The provisions of this act are repealed on December 31, 2017, except that if the credit allowed by Section 12-6-3770, as added by this act, is earned before the repeal, the provisions of Section 12-6-3770 continue to apply until the credits have been fully claimed."
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-3930. Imposition of interest and penalties on National Guard and Reserve members activated as a result of Iraq conflict or war on terrorism.

No interest, penalties, or other sanctions may be imposed on the active duty income of members of the National Guard and Reserves activated as a result of the conflict in Iraq and the war on terrorism with regard to underpayment of state estimated individual income tax payments of the active duty income if the federal government is unable to withhold state income taxes due on such pay.
HISTORY: 2008 Act No. 353, Section 2, Pt 21G, eff July 1, 2009.
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-4410. Taxable years.

(A) A taxpayer's taxable year under this chapter must be the same as the taxpayer's taxable year for federal income tax purposes.
(B) If a taxpayer's taxable year is changed for federal income tax purposes, then the taxable year for South Carolina income tax purposes is changed. The taxpayer shall provide the department with a copy of the written permission received from the Internal Revenue Service.
(C) A change in the taxable year of an "S" Corporation is not mandated for South Carolina income tax purposes under Internal Revenue Code Section 1378 unless mandated for federal purposes.
(D) If a change in taxable year results in a taxable year of less than twelve months, South Carolina income tax must be computed in the manner provided in Internal Revenue Code Sections 443(b) (Computation of Tax on Change of Annual Accounting Period) and 443(c) (Adjustment in Deduction for Personal Exemption).
HISTORY: 1995 Act No. 76, Section 1.
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-4420. Method of accounting.

(A) A taxpayer's method of accounting under this chapter must be the same as for federal income tax purposes.
(B) If a taxpayer's method of accounting is changed for federal income tax purposes:
(1) The method of accounting for South Carolina income tax purposes is changed. The taxpayer shall provide the department with a copy of the written permission received from the Internal Revenue Service. When written permission is not required to change a method of accounting, the taxpayer shall provide the department with a copy of the election or statement provided to the Internal Revenue Service.
(2) Additional South Carolina income or deductions which result from adjustments that are necessary because of a change in the method of accounting are included in or deducted from income as provided in the Internal Revenue Code.
HISTORY: 1995 Act No. 76, Section 1.
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-4430. "S" corporation elections.

(A) A taxpayer should provide the department notice of its intent to be an "S" Corporation by filing with the department a copy of the election filed with the Internal Revenue Service.
(B)(1) The approval or termination of an "S" election by the Internal Revenue Service is approval or termination for South Carolina income tax purposes as of the effective date of the federal election or termination except as provided in Section 12-6-1210(F).
(2) No termination occurs under the Internal Revenue Code Section 1362(d)(3) for South Carolina income tax purposes unless a termination occurs for federal purposes.
HISTORY: 1995 Act No. 76, Section 1.
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-4920. Interstate motor carrier required to file return.

An interstate motor carrier which within a taxable year (1) owns or rents real or personal property in this State except mobile property; or (2) travels more than twenty-five thousand mobile property miles within this State; or (3) makes more than twelve pickups or deliveries in this State shall file an income tax return and remit the amount of tax due. The provisions of items (2) and (3) of this section apply to the holder of the operating authority issued by the Interstate Commerce Commission, not to the interstate motor carrier's agents.
HISTORY: 1995 Act No. 76, Section 1.
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-4930. Tax return of estate or trust; by whom to be made.

The income tax return of a trade or business carried on by an estate or trust must be made by the fiduciary and must show the taxable income of the estate or trust and the distribution of income to the beneficiaries. Under rules or regulations prescribed by the department, one of two or more joint fiduciaries may file a single return.
HISTORY: 1995 Act No. 76, Section 1.
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-4940. Trust institutions maintaining common trust fund must make tax return; contents.

Every trust institution maintaining a common trust fund shall make a return under oath for each taxable year. The return shall contain the items of gross income and the deductions allowed by law, the names and addresses of the participants, and the proportionate share of taxable income for each participant.
HISTORY: 1995 Act No. 76, Section 1.
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-4950. Information returns.

(A) An information return must be filed by all individuals, corporations, and partnerships acting in any capacity who make payments to another individual, corporation, or partnership in the amount of:
(1) two hundred dollars or more of interest or dividends; or
(2) eight hundred dollars or more of rent, salaries, wages, emoluments, or determinable gain, profit, or income.
(B) The return shall provide the recipient's name, address, and the amount of the payments.
(C) Providing the department with information required to be provided to the Internal Revenue Service or participating in the department agreement with the Internal Revenue Service to allow combined federal and state reporting of information returns constitutes compliance with this section.
(D) The provisions of this section do not apply to personal service compensation paid to individuals on which withholding taxes are required and reported as provided in Article 13 of Chapter 8.
HISTORY: 1995 Act No. 76, Section 1.
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-4960. Form of tax return; department to furnish blank forms; effect on taxpayer of failure to receive form.

Returns must be in a form prescribed by the department. The department shall prepare blank forms for the returns to be furnished upon request. Failure to receive or secure the form does not relieve a taxpayer from the obligation to make a return.
HISTORY: 1995 Act No. 76, Section 1.
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-4970. Time to file returns.

(A) Returns of taxpayers, except as otherwise provided, must be filed on or before the fifteenth day of the fourth month following the taxable year.
(B)(1) Returns of "S" corporations and partnerships must be filed on or before the fifteenth day of the third month following the taxable year.
(2) Returns for foreign corporations that do not maintain an office or place of business in the United States must be filed on or before the fifteenth day of the sixth month following the taxable year.
(C) Returns of organizations exempt under Internal Revenue Code Section 501 reporting unrelated business income pursuant to Section 12-6-4910(8), must be filed on or before the fifteenth day of the fifth month following the taxable year.
(D) Information returns provided in Section 12-6-4950 must be filed on or before March 15 of each year.
(E) Returns filed electronically have the same due dates as provided in this section.
HISTORY: 1995 Act No. 76, Section 1; 1998 Act No. 432, Section 5; 2016 Act No. 160 (H.4328), Section 4.A, eff April 21, 2016.
Editor's Note
2016 Act No. 160, Section 4.E, provides as follows:
"E. This SECTION takes effect upon approval by the Governor and first applies to tax years beginning after 2015."
Effect of Amendment
2016 Act No. 160, Section 4.A, in (B), added the paragraph identifiers, and in (1), substituted "'S' corporations and partnerships" for "corporations".
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-4980. Extension of time for filing return.

(A) The department may allow an extension of time not to exceed six months for filing returns under this chapter or the annual report under Chapter 20 of this title. A taxpayer requesting an extension of time for filing, on or before the date the return or annual report is due, shall submit a tentative return and pay the full amount of the tax and license fee due.
(B) When a taxpayer is not required to make a payment of tax at the time of the extension, and the taxpayer has been granted an extension of time to file a federal income tax return, the taxpayer is not required to apply to the department for an extension of time to file the South Carolina return. The department shall accept a copy, if applicable, of a properly filed federal extension attached to the South Carolina return when filed. Taxes shown to be due on a return required pursuant to this chapter must be paid at the time the return is due to be filed, without regard to an extension of time granted for filing the return.
(C) An extension must not be granted to a taxpayer who has been granted an extension for a previous period and has not fulfilled the requirements of the previous period.
HISTORY: 1995 Act No. 76, Section 1; 2002 Act No. 334, Section 8B, eff June 24, 2002; 2002 Act No. 363, Section 1C, eff August 2, 2002; 2007 Act No. 110, Section 18, eff June 21, 2007; 2007 Act No. 116, Section 24, eff June 28, 2007.
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-4990. Payment of tax due upon filing return; effect of extension; requirement of making estimated tax payment.

When an income tax return is required under this chapter, the taxpayer shall pay the tax due with the return to the department at the time for filing the return determined without regard to any extensions of time for the filing. Nothing in this section eliminates the requirement for making estimated tax payments as provided in Article 29 of this chapter.
HISTORY: 1995 Act No. 76, Section 1.
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-5000. Filing of separate or joint federal returns by husband and wife; same status required on state return; nonresidents; where no federal return filed.

(A) If the federal taxable income of a husband and wife are determined on separate federal returns, their South Carolina taxable income must be separately reported and taxed.
(B) If both a husband and wife are residents, and if their federal taxable income is determined on a joint federal return, their South Carolina taxable income must be reported and taxed on the basis of a joint South Carolina income tax return.
(C)(1) If both husband and wife are nonresidents or if the husband or wife is a resident and the other is a nonresident, and if their federal taxable income is determined on a joint federal return, their South Carolina taxable income must be reported and taxed on the basis of a joint South Carolina income tax return except as provided in subitem (2).
(2) If a nonresident taxpayer is a resident of a state which does not allow a resident of South Carolina to file a joint return with a spouse, the nonresident taxpayer shall file a separate South Carolina income tax return from the spouse. The nonresident taxpayer shall calculate taxable income on a federal return as a married person filing separately to determine how the separate federal taxable income is calculated.
(D) If neither a husband nor wife files a federal return, their South Carolina taxable income must be determined on a separate basis unless both elect to have their South Carolina taxable income determined on a joint basis by filing a joint South Carolina tax return.
HISTORY: 1995 Act No. 76, Section 1.
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-5010. Release of claim to personal exemption by custodial parent.

If a custodial parent releases claim to the personal exemption authorized in Internal Revenue Code Section 152, then the noncustodial parent's South Carolina income tax return must include a copy of the written declaration of the custodial spouse releasing the exemption as provided in Internal Revenue Code Section 152(e)(2).
HISTORY: 1995 Act No. 76, Section 1.
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-5020. Authorized filing of consolidated corporate income tax return; terms and conditions.

(A) A consolidated return may be filed for the following corporations:
(1) a parent and substantially controlled subsidiary or subsidiaries;
(2) two or more corporations under substantially the entire control of the same interest.
However, a corporation that has elected to be taxed under Subchapter S of the Internal Revenue Code may not join in the filing of a consolidated income tax return under this section.
The terms "substantially controlled" and "substantially the entire control" mean the ownership of at least eighty percent of the total combined voting power of all classes of stock of all corporations that are a party to a consolidated return.
(B) All corporations included in a consolidated return must be subject to tax under Section 12-6-530.
(C) A corporation doing business entirely within this State may consolidate with a corporation doing a multistate business. Two or more corporations doing a multistate business may file a consolidated return.
(D) A consolidated return means a single return for two or more corporations in which income or loss is separately determined as follows:
(1) South Carolina taxable income or loss is computed separately for each corporation;
(2) allocable income is allocated separately for each corporation;
(3) apportionable income or loss is computed utilizing separate apportionment factors for each corporation;
(4) income or loss computed in accordance with items (1) through (3) of this subsection is combined and reported on a single return for the controlled group.
(E) All corporations included in a consolidated return or a combined return must use the same accounting year.
(F) If a corporation which files or is required to file a consolidated return is entitled to one or more income tax credits, including the carryover of unused credits from prior years, the income tax credits must be determined on a consolidated basis. Limitations on credits which refer to the income or the income tax liability of a corporation are deemed to refer to the income or income tax liability of the consolidated group, and credits shall reduce the consolidated group's tax liability regardless of whether or not the corporation entitled to the credit contributed to the tax liability or of the consolidated group.
(G) The election to file a consolidated return or separate returns must be made on an original and timely return and may not be changed after the return is filed.
(H) Once an election is made to file a consolidated return, this election must be adhered to until permission is granted by the department to file separate returns.
HISTORY: 1995 Act No. 76, Section 1; 2003 Act No. 69, Section 3.S, eff June 18, 2003; 2005 Act No. 145, Section 17.A, eff June 7, 2005.
Editor's Note
2005 Act No. 145, Section 17.B, provides as follows:
"Section 12-6-5020(F), as amended by this section, applies for taxable years beginning after 2004."
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-5050. Tax preparer's taxpayer identification number.

A person who is an income tax preparer as defined in Internal Revenue Code Section 7701(a)(36) and who performs the same services with respect to South Carolina income tax returns or claims for refund shall include with his signature on the South Carolina return or claim for refund his taxpayer identification number as prescribed by Internal Revenue Code Section 6109 and applicable regulations.
Failure to comply with the provisions of this section results in a penalty as provided in Section 12-54-47.
HISTORY: 1995 Act No. 76, Section 1.
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-5095. Rounding to nearest whole dollar on tax returns.

For purposes of a return filed pursuant to this chapter, all amounts may be rounded by the department or the taxpayer to the nearest whole dollar. An amount of fifty cents or more may be rounded to the next dollar. An amount of less than fifty cents may be eliminated.
HISTORY: 2000 Act No. 399, Section 3(E), eff August 17, 2000.
Editor's Note
2000 Act No. 399, Section 3.Z., provides, in pertinent part, as follows:
"This section takes effect upon approval by the Governor, or as otherwise stated, except that ... subsection E. applies to returns filed after December 31, 1999 ...."
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-5510. Certificate of compliance as prima facie evidence.

A certificate of compliance from the department to the effect that a tax has been paid, that a return has been filed, or that information has been supplied as required by the provisions of this chapter is prima facie evidence that the tax has been paid, that the return has been filed, or that the information has been supplied.
HISTORY: 1995 Act No. 76, Section 1.
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-5520. Notification to domestic or foreign corporation of failure to file return; penalty upon continued failure to comply.

(A) The department shall notify a domestic or foreign corporation, as defined in Section 12-20-10(3) and (4), of its failure to comply with the provisions of this chapter and Chapter 20 of this title requiring the filing of returns. If the corporation fails to file the required return within sixty days of the notice, the department may provide the taxpayer's name to the Secretary of State. The department may not make an estimated assessment or issue any warrant based on an estimated assessment against a taxpayer prior to referring such taxpayer to the Secretary of State for administrative dissolution or revocation.
(B) After referral from the department, the Secretary of State shall administratively dissolve a domestic corporation or revoke a foreign corporation's authority to transact business in this State.
HISTORY: 1995 Act No. 76, Section 1.
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-5530. Income taxes payable by check; taxpayer liable for tax and penalties when check dishonored by bank.

Income taxes may be paid with an uncertified check, but if a check is not paid by the bank on which it is drawn, the taxpayer remains liable for the payment of the tax and for all legal penalties as if the check had not been tendered.
HISTORY: 1995 Act No. 76, Section 1.
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-5550. State income tax refund as belonging to surviving spouse.

(A) A federal or state income tax overpayment due to a person who is deceased at the time of the refund is the sole and separate property of the surviving spouse irrespective of the deceased's filing status on the return.
(B) A refund by the United States or any state directly to the surviving spouse operates as a complete acquittal and discharge of liability from suit, claim, or demand of any nature by any heir, distributee, or creditor of the decedent, or by any other person.
HISTORY: 1995 Act No. 76, Section 1; 1998 Act No. 432, Section 6.
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-5570. Authority to make expenditures.

The department, with the approval of the State Fiscal Accountability Authority, may expend from the revenue collected under this chapter additional money necessary to ensure the adequate administration and enforcement of this chapter.
HISTORY: 1995 Act No. 76, Section 1.
Code Commissioner's Note
At the direction of the Code Commissioner, references in this section to the offices of the former State Budget and Control Board, Office of the Governor, or other agencies, were changed to reflect the transfer of them to the Department of Administration or other entities, pursuant to the directive of the South Carolina Restructuring Act, 2014 Act No. 121, Section 5(D)(1), effective July 1, 2015.
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-5580. Failure to do an act deemed committed in person's county of residence.

The failure to do an act required by or under the provisions of this chapter is deemed an act committed in the county of residence of the person failing to do the act.
HISTORY: 1995 Act No. 76, Section 1.
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-5590. Donative intent; requirements; determining factors.

(A) No credit under Section 12-6-3515 or deduction under Section 170 of the Internal Revenue Code and Section 12-6-1130(12) shall be allowed for a contribution unless the donor has the donative intent required by Section 170 of the Internal Revenue Code and the regulations and cases interpreting Section 170 of the Internal Revenue Code.
(B) In addition to the donative intent required by Section 170 of the Internal Revenue Code, no credit under Section 12-6-3515 or deduction under Section 170 of the Internal Revenue Code and Section 12-6-1130(12) shall be allowed for any noncash charitable contribution in the claimed amount of $100,000.00 or more unless the donor has the requisite donative intent required by this section.
(C) The requisite donative intent includes the requirement that the donor be motivated by detached and disinterested generosity benefiting a charitable purpose rather than expected economic benefit.
(D) A noncash charitable contribution by a donor given to comply with any state or federal environmental or other regulatory requirement; for the purpose of obtaining road, water, or sewer services; or in conjunction with obtaining a grant, subdivision, building, zoning, environmental, mitigation, or similar permit or approval from any government, shall be deemed not to have the requisite donative intent absent extraordinary circumstances.
(E) The department shall examine the substance, rather than merely the form, of the contribution and related and surrounding transactions, and may use the step transaction, economic reality, quid pro quo, personal benefit, and other judicially developed doctrines in determining whether the requisite donative intent is present.
HISTORY: 2005 Act No. 145, Section 43.D, eff June 7, 2005; 2006 Act No. 386, Section 31, eff June 14, 2006.
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-5595. Timber deeds as real property conveyances.

For purposes of the nonrecognition of gain under Section 1031 of the Internal Revenue Code and comparable provisions of state law, the conveyance by timber deed of the right to cut standing timber for a period of time exceeding thirty years is considered a conveyance of a real property interest, and as such, under the laws of this State, is a like-kind exchange with other similar conveyances of a real property interest or with conveyances of similar investment real property owned in fee simple.
HISTORY: 2006 Act No. 248, Section 1, eff March 17, 2006.
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 6 - South Carolina Income Tax Act › Section 12-6-5600. Residency of individuals and businesses; boundary clarification.

For South Carolina income tax purposes:
(A) An individual whose state of residency changes as a result of the boundary clarification from North Carolina to South Carolina or from South Carolina to North Carolina, as contained in the amendments to Section 1-1-10, effective January 1, 2017, must be treated as though the individual moved to or from South Carolina on January 1, 2017.
(B) For businesses whose property location changes from North Carolina to South Carolina or from South Carolina to North Carolina as a result of boundary clarification, for income tax purposes, the property is treated as though the property moved into or out of South Carolina on January 1, 2017.
HISTORY: 2016 Act No. 270 (S.667), Section 7, eff January 1, 2017.
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 8 - Income Tax Withholding › Section 12-8-10. Definitions.

As used in this chapter unless otherwise required by the context:
(1) "Person" includes an individual, trust, estate, partnership, receiver, association, company, corporation, or any other entity including the United States, a state, a political subdivision or agency of the United States or any state, and a municipality located in this State.
(2) "Withholding agent" means a person required to withhold income taxes under the provisions of this chapter.
(3) "Employee" includes a resident individual receiving wages, as defined in Section 12-8-520(D), for services regardless of where the services are rendered and nonresident individual receiving wages, as defined in Section 12-8-520(D), for services rendered in this State.
(4) "Employer" means the person for whom an individual performs or performed a service, of whatever nature, as the employee of the person.
(5) "Nonresident" means an individual domiciled outside this State and an entity whose principal place of business is outside of this State. For corporations, principal place of business is defined in Section 12-6-30(9). This definition does not apply to Section 12-8-580.
(6) "Internal Revenue Code" means the Internal Revenue Code as defined in Section 12-6-40(A).
(7) All definitions provided in Chapter 6 of this title are applicable for purposes of this chapter unless otherwise provided or required by the context.
HISTORY: 1995 Act No. 76, Section 2.
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 8 - Income Tax Withholding › Section 12-8-510. Parties subject to withholding laws.

A person located, doing business, or having gross income in this State and an employer having an employee earning income within this State are subject to the withholding laws provided in this chapter.
HISTORY: 1995 Act No. 76, Section 2.
2023 South Carolina Code of Laws › Title 12 - Taxation › Chapter 8 - Income Tax Withholding › Section 12-8-530. Withholding on cash prizes or winnings; noncash prizes; exception for spectator sporting events where admission charged.

(A) A person distributing prizes or winnings to a resident or nonresident of five hundred dollars or more shall withhold seven percent of each distribution made to an individual, partnership, trust, or estate and five percent of each distribution made to a corporation or other entity.
(B) When withholding on noncash prizes, the person distributing the prize may either:
(1) accept cash from the prize recipient for the amount of the withholding; or
(2) pay all taxes required to be withheld. If this subitem is used, the withholding also becomes income for the prize recipient and the amount to be withheld is calculated as follows:
(a) for individuals, partnerships, trusts, or estates, the fair market value of the prize is divided by .93 and the quotient is multiplied by .07;
(b) for corporations, the fair market value of the prize is divided by .95 and the quotient is multiplied by .05.
(C) This section does not apply to payments of prizes or winnings given to participants in spectator sporting events for which an admission is charged.
HISTORY: 1995 Act No. 76, Section 2.