The "Eliminate the Marriage Tax Penalty Act" aims to amend the South Carolina Code of Laws by introducing 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 this method results in a lower cumulative tax owed than if they had filed jointly. If the single-filing calculation yields a lower tax amount, the excess owed can be deducted from their joint return. The act specifies that married taxpayers cannot choose a different filing status for their South Carolina tax return if they opt for this calculation method.

The bill also grants the South Carolina Department of Revenue the authority to create necessary rules and regulations to implement these provisions. The act will take effect upon the Governor's approval and will first apply to tax years beginning after 2024.

Statutes affected:
01/16/2025: 12-6-525
Latest Version: 12-6-525