The bill H. 5178 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 to state tax laws. The proposed changes include updating the reference to the Internal Revenue Code from December 31, 2024, to December 31, 2025. Additionally, the bill stipulates that if any sections of the Internal Revenue Code adopted by South Carolina that are set to expire on December 31, 2024, are extended by Congress in 2025, those sections will also be extended for South Carolina income tax purposes.

This legislative update ensures that South Carolina's tax laws remain aligned with federal tax regulations, thereby simplifying compliance for taxpayers and tax professionals. The bill is currently under consideration in the House Committee on Ways and Means and will take effect upon approval by the Governor.

Statutes affected:
02/12/2026: 12-6-40
Latest Version: 12-6-40