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The South Carolina Department of Revenue changed the South Carolina tax rate and the Military Retirement Deduction. This year, the South Carolina Department of Revenue introduced two new tax credits: an Earned Income Tax Credit for full-year residents and the Motor Fuel Income Tax Credit. A dependent exemption was also added.
The Military Retirement Deduction limit was increased from $8,800 to $11,700 for individual taxpayers under the age of 65 and from $21,000 to $24,000 for individual taxpayers age 65 and older.
Schedule TC-60 allows full-year South Carolina residents who claimed an Earned Income Tax Credit on their federal returns to claim 20.83% of that credit on their South Carolina returns. The Motor Fuel Income Tax Credit, claimed with Form I-385, allows part-year and full-year South Carolina residents to claim a refundable credit. The new dependent exemption is equal to $4,110 for each dependent or qualifying child or relative claimed on the return.
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