The bill S. 507 aims to amend Section 12-6-40 of the South Carolina Code of Laws, which pertains to the application of the federal Internal Revenue Code (IRC) to state tax laws. The proposed changes include updating the reference to the IRC to the year 2024, ensuring that the state's tax laws remain aligned with federal tax regulations. Specifically, the bill states that if any sections of the IRC that South Carolina has adopted are extended by Congress, those same sections will also be extended for South Carolina income tax purposes.

The amendments include the insertion of new language that specifies the IRC means the version as amended through December 31, 2024, and clarifies that any expired sections of the IRC that are extended federally will also be extended for state tax purposes. This alignment is intended to simplify tax compliance for residents and businesses in South Carolina by maintaining consistency with federal tax law changes. The bill will take effect upon approval by the Governor.

Statutes affected:
03/27/2025: 12-6-40
04/23/2025: 12-6-40
05/06/2025: 12-6-40
Latest Version: 12-6-40