According to the SCDOR
- Unless you have an extension, the South Carolina taxes will be due on April 18, 2022 for the 2021 tax year.
- South Carolina excludes the paycheck protection program loans however, the expenses associated with these loans are allowed as a deduction on South Carolina income taxes.
- To the extent the federal government allows South Carolina will allow the deduction of expenses associated with the forgiven paycheck protection program loans for income tax purposes.
- "Code Section 12-6-40(A)(1)(e) has been added to provide that South Carolina adopts the federal
tax treatment for any exclusion from federal taxable income or allowance of expenses as
provided in the federal Consolidated Appropriations Act of 2021" - The Abandoned Buildings Revitalization Act allows qualifying taxpayers to take a credit against their income taxes or property taxes for rehabilitating an abandoned building in South Carolina
- Code Section 12-6-3587 provides an income tax credit for costs incurred by a taxpayer in the
purchase and installation of a solar energy system, small hydropower system, or geothermal
machinery and equipment for heating water, space heating, air cooling, energy-efficient
daylighting, heat reclamation, energy-efficient demand response, or the generation of electricity
in or on a facility in South Carolina owned by the taxpayer. - The “South Carolina Textiles Communities Revitalization Act” (Chapter 65, Title 12) allows
qualifying taxpayers to take a credit against either income taxes or real property taxes for the
rehabilitation of an abandoned “textile mill site” in South Carolina.
Reenacted Temporary Provisos
- A proviso has been added to the Renewable Fuel Credit to allow extension of the date the taxpayer must place the property or facility into service that is used for distribution or dispensing renewable fuel until January 1, 2022.
- A temporary proviso will allow an individual to take a tax deduction for the cost incurred to purchase identity theft and identity theft resolution services for either annual or monthly contracts or subscriptions. The deduction will be equal to the cost of the contract or subscription for the tax year, to a maximum of $300 for an individual taxpayer and $1,000 for a joint return or a return claiming dependents.
- A temporary proviso will allow public school teachers "identified in the Professional Certified
Staff, certified special school classroom teachers, certified media specialists, certified guidance
counselors, and career specialists who are employed by a school district, charter school, or lead
teachers employed in a [publicly] funded full day 4K classroom approved by South Carolina
First Steps to School Readiness, a $275 reimbursement designed to offset expenses incurred for
teaching supplies and materials. The reimbursement is not considered taxable income by South
Carolina."
The proviso will also allow any classroom teacher public or private who is not eligible for the reimbursement above may claim a refundable credit on their 2021 return. The credit would be the lesser of $275 or the amount spent on teacher supply materials. The return (or amended return) where the claim for the credit is being made must be filed on or before June 30,02022. It may include expenses that the taxpayer incurs after December 31, 2021. - A temporary proviso allows for the following awards to be not subject to South Carolina Income Tax
- a $1,000 award to each district Teacher of the Year
- a $25,000 award to the state Teacher of the year
- a $10,000 award to each of the four Honor Roll Teachers of the Year