The "Eliminate the Marriage Tax Penalty Act" aims to amend the South Carolina Code of Laws by adding Section 12-6-525. This new provision allows married taxpayers who file a joint federal return to calculate their South Carolina income tax as if they were filing as single taxpayers, provided that their cumulative tax owed is less than what they would owe if they filed jointly. If this election is made, any excess amount owed can be deducted from their joint return. The bill clarifies that married taxpayers cannot choose a different filing status for their South Carolina tax return while filing jointly at the federal level.

The act will take effect upon approval by the Governor and will first apply to tax years beginning after 2024. The South Carolina Department of Revenue is also granted the authority to adopt necessary rules and regulations to implement this new provision.

Statutes affected:
12/05/2024: 12-6-525
02/05/2025: 12-6-525
Latest Version: 12-6-525
12/06/2024: 12-6-525