South Carolina S 241: Eliminate Marriage Tax Penalty

Bill Text

2025-2026 Bill 241 Text of Previous Version (Jan. 16, 2025) - South Carolina Legislature Online 

South Carolina General Assembly
126th Session, 2025-2026

Bill 241

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 SO AS TO ENACT 
THE "ELIMINATE THE MARRIAGE TAX PENALTY ACT"; AND BY ADDING SECTION 12-6-525 SO 
AS TO ALLOW MARRIED TAXPAYERS WHO FILE A JOINT FEDERAL RETURN TO CALCULATE 
THEIR AMOUNT OF SOUTH CAROLINA INCOME TAX OWED FOR THE TAX YEAR AS THOUGH EACH 
TAXPAYER FILED A RETURN AS A SINGLE TAXPAYER IF THE TAXPAYERS' CUMULATIVE TAX 
OWED WOULD BE LESS THAN THE AMOUNT THEY WOULD OWE HAD THEY FILED A JOINT 
RETURN.

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

SECTION 1. This act may be cited as the "Eliminate the Marriage Tax Penalty Act".

SECTION 2. Article 5, Chapter 6, Title 12 of the S.C. Code is 
amended by adding:

 Section 
12-6-525. Notwithstanding any other provision of law, married taxpayers who 
file a joint federal return may elect to calculate their amount of South 
Carolina income tax owed for the tax year as though each taxpayer filed a 
return as a single taxpayer. If both taxpayers elect to calculate their amount 
of tax owed as a single filer and consequently the taxpayers' cumulative tax 
owed is less than the amount they would owe had they filed a joint return, then 
the excess amount owed may be reduced from the amount owed on their joint 
return. Nothing in this section allows married taxpayers who file a joint 
federal return to file a South Carolina tax return using another filing status. 
The department may adopt rules and promulgate regulations necessary to 
implement the provisions of this section.

SECTION 3. This act takes effect upon approval 
by the Governor and first applies to tax years beginning after 2024.

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This web page was last updated on January 16, 2025 at 11:35 AM