South Carolina H 4134: High Growth Small Business Job Creation Act extension

Bill Text

2025-2026 Bill 4134 Text of Previous Version (Apr. 22, 2025) - South Carolina Legislature Online 

South Carolina General Assembly
126th Session, 2025-2026

Bill 4134

Indicates Matter Stricken
Indicates New Matter

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

Indicates Matter 
Stricken

Indicates New Matter

Amended

April 22, 2025

H. 4134

Introduced 
by Reps. Robbins, B. Newton, Dillard and Weeks 

S. Printed 4/22/25--H.

Read the first time March 5, 2025

________

A bill

TO AMEND THE SOUTH CAROLINA CODE OF LAWS BY AMENDING ACT 
80 OF 2013, RELATING TO THE "HIGH GROWTH SMALL BUSINESS JOB CREATION ACT," SO 
AS TO AUTHORIZE THE EXTENSION FOR AN ADDITIONAL TEN YEARS; AND BY AMENDING SECTION 
11-44-10, RELATING TO THE CITATION OF THE ACT, SO AS TO RENAME THE ACT THE 
"HIGH GROWTH SMALL BUSINESS JOB CREATION ACT OF 2013 - ANGEL INVESTOR TAX 
CREDIT ACT."

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

SECTION 1. Section 
1.B. of Act 80 of 2013, as last amended by Act 138 of 2020, is amended further 
to read:

B. The provisions of 
Chapter 44, Title 11, contained in this act are repealed on December 31, 20252035. Any carry forward 
credits shall continue to be allowed until the ten-year time period in Section 
11-44-40(B) is completed.

SECTION 2. Section 11-44-10 of the S.C. Code is amended to read:

 Section 
11-44-10. This chapter may be cited as the "High Growth Small Business Job 
Creation Act of 2013 - Angel Investor Tax Credit Act."

SECTION 3. Section 11-44-30 of the S.C. Code is amended to read:

 Section 
11-44-30. For purposes of this chapter:

 (1) 
"Angel investor" means an accredited investor as defined by the United States 
Securities and Exchange Commission, who is:

 (a) 
an individual person who is a resident of this State or a nonresident who is 
subject to taxes imposed by Chapter 6, Title 12; or

 (b) 
a pass-through entity which is formed for investment purposes, has no business 
operations, does not have committed capital under management exceeding five 
million dollars, and is not capitalized with funds raised or pooled through 
private placement memoranda directed to institutional investors. A venture 
capital fund or commodity fund with institutional investors or a hedge fund 
does not qualify as an angel investor.

 (2) "Department" means the South 
Carolina Department of Revenue.

 (2)(3) "Headquarters" means the facility or portion of a 
facility where corporate staff employees are physically employed, and where the 
majority of the company's or company business unit's financial, personnel, 
legal, planning, information technology, or other headquarters-related 
functions are handled.

 (3)(4) "Net income tax liability" means South Carolina state 
income tax liability reduced by all other credits allowed under Titles 11, 12, 
and 48.

 (4)(5) "Pass-through entity" means a partnership, an 
S-corporation, or a limited liability company taxed as a partnership.

 (5)(6) "Qualified business" means a registered business that:

 (a) 
is either a corporation, limited liability company, or a general or limited 
partnership located in this State and has its headquarters located in this 
State at the time the investment was made and has maintained these headquarters 
for the entire time the qualified business benefitted from the tax credit 
provided for pursuant to this section. A business that is 
either a corporation, limited liability company, or limited partnership must be 
on file with the South Carolina Secretary of State and in good standing for the 
duration of its registration as a qualified business;

 (b) 
was organized no more than five years before the qualified investment was made;

 (c) 
employs twenty-five or fewer people in this State at the time it is registered 
as a qualified business;

 (d) 
has had in any complete fiscal year before registration gross income as 
determined in accordance with the Internal Revenue Code of two million dollars 
or less on a consolidated basis;

 (e) 
is primarily engaged in manufacturing, processing, warehousing, wholesaling, 
software development, information technology services, research and 
development, or a business providing services set forth in Section 
12-6-3360(M)(13), other than those described in subitem (f); and

 (f) 
does not engage substantially in:

 (i) 
retail sales;

 (ii) 
real estate or construction;

 (iii) 
professional services;

 (iv) 
gambling;

 (v) 
natural resource extraction;

 (vi) 
financial brokerage, investment activities, or insurance;

 (vii) 
entertainment, amusement, recreation, or athletic or fitness activity for which 
an admission or fee is charged.

 A business is 
substantially engaged in one of the activities defined in subitem (f) if its 
gross revenue from an activity exceeds twenty-five percent of its gross 
revenues in a fiscal year or it is established pursuant to its articles of 
incorporation, articles of org