Your South Carolina tax return may include payments and credits that reduce the amount of tax you owe or increase your refund.
Some payments, such as South Carolina withholding reported on Forms W-2, W-2G, and 1099-R, are automatically carried to your return. The Payments section is used to enter additional payments or credits that may apply to your situation.
Apply Your State Refund to Your 2027 Tax Return
If you're entitled to a South Carolina refund, you can choose to apply all or part of that refund to your next year's South Carolina tax return instead of receiving it as a refund.
Taxpayers often choose this option if they expect to owe tax next year or want to reduce future estimated tax payments.
Amount Paid with Your Request for Extension
If you made a payment when requesting additional time to file your South Carolina return, enter that payment in this section.
Extension payments are applied toward your total tax liability and can help reduce any balance due when you file your return.
Keep a copy of your payment confirmation or canceled check with your tax records.
Penalties and Interest
If you've already paid penalties or interest to the South Carolina Department of Revenue during the tax year, you can enter those amounts here when applicable.
In most cases, taxpayers only need to complete this section if instructed to do so by the Department of Revenue or if the payment relates to a previously assessed tax liability.
This entry is different than that under the Additional Taxes section. Although both sections reference penalties and interest, they have opposite effects on your South Carolina return.
- Payments > Penalties and Interest is for penalties and interest that you have already paid to the South Carolina Department of Revenue. Because these amounts have already been paid, they are treated as a payment and are subtracted from the balance you owe.
- Additional Taxes > Penalties and Interest is for penalties and interest that are still due and need to be included on your return. These amounts are added to your tax liability, increasing the amount you owe or reducing your refund.
Nonresident Sale of Real Estate (Form I-290)
South Carolina requires tax withholding on certain sales of South Carolina real estate by nonresident sellers.
If tax was withheld during the sale of South Carolina property and reported on Form I-290, enter the withholding amount in this section. The withholding is treated as a payment toward your South Carolina tax liability and may reduce the tax you owe or increase your refund.
Be sure to keep a copy of Form I-290 and any supporting documentation for your records.
How Do I Enter South Carolina Payments in TaxSlayer?
To enter South Carolina payments and credits:
- Go to the State Section.
- Select Payments.
- Choose the payment or credit that applies to your situation.
- Enter the requested information.
- Continue through the remainder of your South Carolina return.
TaxSlayer will automatically apply eligible payments and credits when calculating your South Carolina refund or balance due.
Additional Information
Only enter payments that were actually made during the tax year or credits that apply to your South Carolina return. Retain copies of extension payment confirmations, withholding forms, and other supporting documents in case the South Carolina Department of Revenue requests verification.