The bill H. 3551 proposes amendments to the South Carolina Code of Laws regarding the definitions applicable to the South Carolina Retirement System and the computation of gross income. Specifically, it seeks to clarify that "earnable compensation" does not include certain amounts paid to managers and clerks of elections, particularly those amounts that are not subject to Federal Insurance Contribution Act (FICA) tax as outlined in specific sections of the Internal Revenue Code. This change is intended to take effect on June 30, 2025.

Additionally, the bill amends Section 12-6-1120 to exclude similar amounts paid to managers and clerks of elections from the computation of South Carolina gross income, again focusing on those amounts exempt from FICA tax. The overall intent of these amendments is to provide clarity and potentially reduce the taxable income for these election officials. The act will take effect upon approval by the Governor and will apply to tax years beginning after 2024.

Statutes affected:
12/05/2024: 9-1-10, 12-6-1120
Latest Version: 9-1-10, 12-6-1120