South Carolina H 4245: Workforce Advancement and Taxpayer Reinvestment Act

Bill Text

2025-2026 Bill 4245 Text of Previous Version (Mar. 27, 2025) - South Carolina Legislature Online 

South Carolina General Assembly
126th Session, 2025-2026

Bill 4245

Indicates Matter Stricken
Indicates New Matter

(Text matches printed bills. Document has been reformatted to meet World Wide Web specifications.)

A bill

TO AMEND THE SOUTH CAROLINA CODE OF LAWS by 
enacting the "south carolina workforce advancement and taxpayer reinvestment 
act" BY ADDING ARTICLE 43 TO CHAPTER 6, TITLE 12 SO AS TO PROVIDE TAX RELIEF 
FOR SOUTH CAROLINIANS WHO TRANSITION FROM GOVERNMENT ASSISTANCE TO 
SELF-SUFFICIENCY THROUGH EDUCATION AND EMPLOYMENT AND TO INCENTIVIZE BUSINESSES 
THAT HIRE AND RETAIN THESE INDIVIDUALS, REINFORCING A FREE-MARKET APPROACH TO 
ECONOMIC MOBILITY AND REDUCING LONG-TERM GOVERNMENT DEPENDENCE.

Whereas, this legislation aligns with conservative, free-market 
principles by; 

 (1) returning tax dollars 
to hardworking South Carolinians who achieve self-sufficiency;

 (2) reducing dependency on 
governmental assistance and limiting the size of government;

 (3) encouraging work and 
personal responsibility, ensuring that incentives are tied to economic 
productivity;

 (4) empowering South 
Carolina-based businesses without excessive government mandates;

 (5) promoting fiscal 
responsibility by preventing long-term entitlement expansion and reducing 
governmental expenditures; and

 (6) supporting South 
Carolina's economy by requiring that all educational and vocational training 
institutions be based in the State, reinforcing workforce development within 
South Carolina's borders; and

Whereas, this legislation is not a handout, it is a hand-up, 
rewarding those who take personal initiative and contribute to South Carolina's 
economy. By reducing governmental dependence and promoting private-sector 
growth, this policy represents a sustainable, conservative approach to economic 
mobility; and

Whereas, this legislation does not increase taxes or create new 
entitlement programs; instead, it reallocates existing workforce development 
funds; and 

Whereas, by encouraging individuals to transition off of governmental 
assistance, the State will reduce entitlement spending over time, ensuring 
taxpayer money is reinvested into economic growth. A sunset provision is 
included, requiring the program to be reevaluated after five years to assess 
economic impact and effectiveness. Now, therefore,

Be it enacted by the General Assembly of the State of South Carolina:

SECTION 1. The purpose of this act is to:

 (1) 
return tax dollars to hardworking South Carolinians who transition from 
governmental assistance to gainful employment;

 (2) 
encourage workforce participation and personal responsibility through a 
limited, time-bound tax incentive;

 (3) 
reduce long-term governmental dependency, reinforcing South Carolina's 
commitment to free-market solutions;

 (4) 
empower South Carolina-based businesses to hire and retain employees without 
unnecessary governmental intervention; and

 (5) 
lower government spending over time by incentivizing work and decreasing 
reliance on entitlement programs.

SECTION 
2. This act may 
be cited as the "South Carolina Workforce Advancement and Taxpayer Reinvestment 
Act."

SECTION 3. Chapter 6, Title 12 of the 
S.C. Code is amended by adding:

Article 43

Workforce 
Advancement and Taxpayer Reinvestment

 Section 
12-6-5800. (A) A South Carolina 
resident is eligible for a temporary state income tax exemption if he:

 (1) has previously received any form 
of governmental assistance including, but not limited to:

 (a) Supplemental Nutrition Assistance 
Program (SNAP);

 (b) Temporary Assistance for Needy 
Families (TANF); or

 (c) Housing Choice Voucher Program 
(Section 8);

 (2) successfully completes a 
vocational certification, associate's degree, or workforce training program 
from an accredited institution located in South Carolina; and

 (3) secures full-time employment with 
an annual salary exceeding one hundred fifty percent of the federal poverty 
level or at least ten percent above the area median income, whichever is 
greater.

 (B)(1) An eligible individual shall 
receive a one hundred percent exemption from South Carolina state income tax 
for one year after securing qualifying employment.

 (2) If the individual remains employed 
for a second consecutive year, he shall receive a fifty percent exemption on 
his state income taxes for that income tax year.

 (3) If the individual remains employed 
for a third consecutive year, he will receive a twenty-five precent exemption 
on his state income taxes for that income tax year.

 (4) This incentive is not renewable 
beyond three years, ensuring it remains a temporary benefit that encourages 
financial independence rather than prolonged reliance on governmental programs.

 (C)(1) Individuals who voluntarily leave 
employment without securing another qualifying job within ninety days forfeit 
any remaini